The ban on flights over Russia for Western airlines has increased the duration of flights from Canada to Asia and led to higher ticket prices, states Radio Canada. At the same time, Asian carriers who are not affected by the ban, can take the same flights faster and cheaper, which puts Canadian airlines at a sure loss, writes the publication. The largest airline in the country in this regard, requires the authorities to eliminate the competitive gap, but does not specify how to do it.
Because of the ban on flights over Russia for Canadian, U.S., British and European airlines, airfares have increased significantly, states Radio Canada. As the newspaper reports, the most affected were European airlines. They had to change their routes for flights to Asia and some regions in the Middle East. The Canadian carriers are also not spared. As a result, flights are getting longer and fuel and labor costs are rising. The increase in these costs is affecting passengers, who have to pay more to buy tickets, the article notes.
“This is certainly a negative for Canadian and American companies. It’s quite a challenge,” admits Helein Becker, an airline specialist at TD Cowen.
The ban on Russian airspace is increasing the length of flights to Asia by an average of 10 percent. This, in particular, affects flights between Vancouver and Hong Kong or between Toronto and Delhi, says Robert Kokonis, president of AirTrav. Other nonstop flights, including those from Vancouver to Bangkok or Seoul, have also required adjustments. Thus, the price of jet fuel for air travel this March was $2.68 a gallon, up 41% from four years ago.
Overall, the cost of a one-way flight from Vancouver to Hong Kong by Canadian airlines rose 41% from January 2019 to January 2023, according to analyst firm Cirium. The cost of a flight from Toronto to Delhi rose 47% over the same period. That said, when you consider airlines that can still fly over Russia, such as China Airlines or Air India, the cost of flying from Vancouver to Hong Kong dropped 22% over that period, while the price of flights from Toronto to Delhi rose by only a quarter.
The situation puts Air Canada and other airlines affected by the ban at a disadvantage, notes Ross Eimer, CEO of Aero Consulting Expert, himself a former civil aviation pilot.
“Every minute we add to a flight adds to the cost. If we can cross the North Pole, we save one to two hours. But now we have to use the farther south route,” the expert lamented.
“Several Air Canada flights to Asia, India and the Middle East have had to be cancelled because of the ban on Russian airspace,” says Peter Fitzpatrick of Canada’s number one carrier. He said some flights, such as Vancouver-Delhi, have been suspended. Because of this, Air Canada wants authorities to “ensure a level playing field that guarantees fair competition and equal opportunities for all carriers.”
At the same time, the company does not specify how this principle can be translated into policy, the newspaper writes. For now, the airline has to be content with partnership programs with Asian carriers, which allow getting at least limited profits from the sale of tickets for other people’s flights, notes Radio Canada.