As of March 28th, the Colombian airline will begin to reactivate flight routes connecting Central American countries with North American and South American nations.
Due to the constant restrictions in different countries regarding the limitation of entry of tourists, as well as mobility within the cities, and the high uncertainty that passengers still have, the airline decided to suspend some routes in Central America.
The airline will temporarily suspend some international routes, which will be resumed according to the evolution of the pandemic, in some cases during the first quarter of the year, in other cases during the second semester, informed the Colombian airline on March 1.
The constant resurgence of covid-19, the closure of international markets and the loss of consumer confidence, postpone the beginning of the recovery of the air industry, a process that is predicted to be long in the context of the new business reality.
According to the International Air Transport Association (IATA), in this context of business and economic crisis in a large number of countries at the global level, there is no evidence of strong growth in global demand for cargo and its progress continues to be an extraordinary challenge for airlines.
Restructuring of airlines, preference for direct flights, modifications in the routes operated and the use of smaller aircraft are some of the changes expected in the regional air market in the context of the new business normality.
Air traffic has virtually disappeared in the last three months, as governments in Central America have decided to close borders and suspend commercial flights to and from the region's airports as a result of the covid-19 outbreak.
The Colombian-born airline, which operates in all Central American countries, voluntarily filed for bankruptcy in the United States following the company's economic losses due to the spread of covid-19 globally.
This process was necessary due to the unpredictable impact of the covid-19 pandemic, which has caused a 90% decrease in global passenger traffic and is expected to reduce industry revenues worldwide by US$314 billion, according to the International Air Transport Association (IATA), the company reported.
In order to prevent the spread of covid-19, all international flights have been suspended since March 22.
Panamanian President Laurentino Cortizo reported through his social networks that "... As of Sunday, March 22nd at 11:59 pm (04H00 GMT on Monday), arrivals and departures of all international flights to our country will be suspended for a period of 30 days."
The airline completed the sale of its shareholding in the Central American companies Sansa and La Costeña, which operate domestic flights in Costa Rica and Nicaragua, respectively.
The completion took place on May 31, 2019 and is an improvement of the share purchase agreement signed on April 22 between the parties, reported Avianca in a statement.
Honduras, Guatemala and El Salvador signed the Regulations for the Facilitation of Air and Airport Operations, which will allow some of the flights operating between the three countries to be considered domestic flights.
The Honduran Minister of Investment, Luis Mata, explained that "... this makes it interesting for local and regional airlines to be able to use their planes on regional flights now considered as domestic or local flights with preferential rates."
The company sold its stake in the Central American airlines Sansa in Costa Rica and La Costeña in Nicaragua, both dedicated to the operation of domestic flights.
Avianca clarified that Avianca's international routes served from Juan Santamaría International Airport in Costa Rica and Augusto Sandino International Airport in Managua, Nicaragua, will continue to operate normally.
The airline Aliana announced the cancellation of flight routes from Guatemala to the United States and Tegucigalpa, and from the capital of El Salvador to destinations in North and South America.
Some routes from Bogota, Guatemala and San Salvador will be canceled consisting of fleet changes and focus on routes with higher demand, the airline said in a statement.
Arguing that the South American country is not safe, American Airlines decided to temporarily suspend flights to Caracas and Maracaibo.
"... The safety of our employees and customers is always our top priority and American will not operate to countries not considered safe," the airline explained in a statement.
Avianca, United Airlines and Copa Airlines, signed a trade agreement that will allow them to agree flight routes in the American continent.
To ensure the commercial agreement reached on November 30th becomes effective, the three airlines plan to apply for regulatory approval and a complementary antitrust immunity (ATI) subsidy in the coming weeks from the U.S. Department of Transportation (DOT) and authorities in 19 Latin American countries.
The Mexican Volaris announced that next year will turn Costa Rica into its hub, from where it will open flights to South America and will put two or three more aircraft based in the Central American country.
The representatives of the low-cost airline reported that their plan for 2019 is to start direct flights to South America from Juan Santamaria International Airport and expand from four to seven the number of aircraft departing from Costa Rica.
Charges, taxes, high fuel prices and other costs at airport terminals can represent close to 30% of the value of air tickets in countries in the region.
Airlines that operate in the Latin American region face an uncompetitive market, since in 2018 these companies are projected to earn $2.95 per passenger, a figure much lower than the $15.67 estimated in North America or $7.58 in Europe, according to representatives of the International Air Transport Association (IATA).
Terminal 2, whose opening is scheduled for next year, promises to improve conditions at the Panamanian airport, making it competitive with other hubs in Latin America.
The new Terminal 2, which is 92% complete, will have capacity to serve aircraft in 20 contact doors and 8 remote locations, taxiways, parking platform and aircraft circulation, adding up to pavement surface measuring more than 250,000 square meters.