Air Cargo in Decline as Chinese Air Takes a Hit

The big three of Chinese Airlines have begun to ground aircraft and cut flights as their domestic market continues to slump. Adding to woes are lower fuel prices as the airlines had signed hedge contracts.

The big three are Air China that has seen double-digit drop in year over year traffic, China Southern that saw a net loss of $118 million in its third quarter and China Eastern, whose president, Li Fenghua noted as the airline grounded some aircraft, that, “Nowadays almost all the big carriers are cutting flights, especially international flights,” according to Air Transport World.

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