The grounding of Boeing’s 737 Max might make your holiday more expensive
The fact that Boeing 737 Max planes have been grounded is unfortunately likely to have an adverse effect on the cost of many travellers’ holidays.
Flight-tracker OAG has conducted research that indicates that there will be about 41 million fewer seats on airplanes available to travellers this summer, compared to the schedules originally filed in mid-February. It found that many carriers appear to have a significant reduction in capacity offered because the scale of the grounding has been very disruptive. It is likely to impact carriers who find themselves unable to revenue manage their flights as originally intended when advance planning their schedules for 2019.
The research indicated that China Southern is the largest carrier impacted with a loss of 3.8 million seats. Five major North American airlines have dropped approximately 11 million seats between them from sales, with American Airlines losing almost two million seats. It is believed that the impact of the reduction in seats will be keenly felt during peak times like Christmas when demand traditionally increases.
The Boeing 737 Max planes were grounded for safety reasons in the aftermath of two fatal crashes that killed 346 people. All 189 people on board a Lion Air flight JT610 were killed in October when it crashed into the Java Sea off Indonesia, and 157 people died when Ethiopian Airlines flight ET302 crashed in March near the town of Bishoftu in Ethiopia, six minutes after takeoff. The final reports have not been released, but preliminary reports are focusing on faulty sensors and a flight control system designed to push the nose down in the air.
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