NVDA gained a massive 197% since our AI first added it in November - is it time to sell? 🤔Read more

British Airways, Iberia suspend direct flights to mainland China amid virus fears

Published 2020-01-29, 02:50 p/m
British Airways, Iberia suspend direct flights to mainland China amid virus fears
LHAG
-
AIRF
-
UAL
-
ICAG
-

LONDON (Reuters) - British Airways (L:ICAG) has suspended all direct flights to and from mainland China, one of the biggest names in aviation to do so, as worries grow about the impact of the spreading coronavirus on global travel.

BA.com, the airline's website, shows no direct flights to mainland China are available to book in January or February, but the airline said in an email that the cancellations were in effect until Jan. 31 while it assesses the situation.

Direct flights to the Chinese-ruled autonomous region of Hong Kong were unaffected.

Iberia, part of the IAG group along with BA, said on Wednesday it was temporarily suspending all flights to Shanghai, its only mainland Chinese destination, "because of coronavirus".

BA's move followed some flight cancellations to China by U.S. airline United Airlines Holdings Inc (O:UAL), which blamed a sharp fall in demand.

Fears over the spread of the flu-like virus, which originated in the central city of Wuhan, are growing as the death toll rose to 132 and countries warned their citizens over travel to China.

Britain's Foreign Office on Tuesday advised against "all but essential" travel to mainland China due to the coronavirus outbreak.

BA said customers due to travel to or from China in the coming days could find out more on its website.

"We apologize to customers for the inconvenience, but the safety of our customers and crew is always our priority," BA said in an emailed statement on Wednesday.

UK-based airline Virgin Atlantic said its flights to Shanghai would continue to operate as scheduled.

British Airways usually flies daily between London's Heathrow airport and both Beijing and Shanghai.

The temporary suspension of flights comes days after BA had offered passengers the chance to cancel or rebook tickets to China during February, a move which could have resulted in its large long-haul jets flying half empty.

Iberia's suspension, which will last throughout February, will come into force from Friday, when its next Madrid-Shanghai flight had been due to fly.

According to analysts, IAG (L:ICAG), the group which owns BA and Iberia, is less exposed to the Asia-Pacific region on a capacity basis compared to rival European airlines like Air France-KLM (PA:AIRF) and Lufthansa (DE:LHAG).

Asia Pacific accounts for about 19% of both Air France-KLM and Lufthansa's available seat kilometers and 8% of IAG's in 2019, Goodbody analysts said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.