The aviation sector is going through the most serious crisis in its history – the pandemic has hit it hard, and fuel prices and air sanctions have “finished off” many air carriers that are barely staying afloat. As a result, as of the end of June 2022, the number of airlines that have gone bankrupt or ceased operations in the past 2 years has reached 89 – this is the largest bankruptcy in the history of the airline business. For some, however, “misfortune helped” – in same Turkey, on the contrary, airlines are actively being created – with the main purpose of transporting Russian tourists.
“Covid-19 has caused disproportionately large losses to the aviation industry. Bankruptcies of companies that started in the aviation sector before the pandemic has become more frequent. Despite the support provided by state administrations since 2020, when the pandemic broke out, in Europe, Asia, America, and Africa, airlines and airports are going bankrupt one after another,” experts describe the situation. For example, in 2021, the number of airlines that went bankrupt or ceased operations worldwide was 42. Also, according to the Airports Council Europe (ACI), 193 out of 740 airports in Europe are at risk of bankruptcy – mainly regional airports.
At the same time, even large primitives are under threat. Yes, Avianca, the second oldest airline in the world and the second largest airline in Latin America, went bankrupt. Even before the crisis, the Italian carrier Air Italy went bankrupt. German Lufthansa was saved only by state support, etc.
Meanwhile, in the existing conditions, a new crisis has ripened in the industry, the fruits of which tourists have to reap. Hundreds of thousands of employees have been laid off during the pandemic, resulting in a severe shortage of staff – from pilots to flight attendants, from security guards to airport baggage handlers – leading to aviation chaos across Europe. And the consequences of it – and especially mass flight cancellations – carriers will still have to experience.
But “misfortune helped” Turkey: Turkish tour operators, who cannot fly their Russian-registered planes to this country due to fears of air sanctions, are creating new airlines, already of Turkish nationality. So in Turkey, since 2020, two airlines in Turkey, Atlas Global, and Onur Air, have gone bankrupt, while four new airlines have been created – Southwind, MGA, BBN, Phoenix. It is also expected to create a Turkish copy of the airline RoyalFlight.