Amsterdam, Netherlands– KLM CEO Marjan Rintel has called for the European Union to implement measures to combatwhat she describes as unfair competition from Chinese airlines. Rintel argues that Chinese carriers enjoy an advantage due to their ability to fly over Russian airspace,a route closed to European airlines since the start of the Ukraine war.
Russia’s airspace is closed to European airlines, and Chinese carriers fly over it, Rintel stated on the Dutch television program WNL op Zondag. That sometimes saves you 2 to 4 hours. You see that reflected in the price, and of course, the costs are higher for us.
Rintelbelieves that this disparity creates an uneven playing field, with European airlines facing higher operating costs. She advocates for EU intervention to address this imbalance, suggesting measures such as pricing it or looking at it differently.
KLM, celebrating its 105th anniversary this week, is facing a challenging environment marked by rising fuel costs and a tight labor market. The airline has announced a major austerity plan aimed at increasing profits by €450 million per year. This plan includes potential adjustments to the catering offer during flights, with the possibility of eliminating free snacks anddrinks on European flights.
Our customers are not very happy with that sandwich and are saying: give me some choice and preferably for a fee, Rintel said, acknowledging the potential for customer dissatisfaction.
KLM is also addressing staff shortages among pilots and technicians by implementing measures to improve efficiency. There are many measures youcan think of, Rintel stated. We will discuss them with the unions and hope to increase capacity as soon as possible. Then you will also earn more money, and you can also cover your costs.
Rintel’s call for EU action highlights the growing concern among European airlines about the competitive landscape. Theissue of Chinese airlines utilizing Russian airspace has emerged as a point of contention, with European carriers seeking a level playing field. The EU’s response to this challenge will be closely watched by the aviation industry.
References:
- KLM wants EU measures to combat ‘unfair’ competition from China. (2024, October 6). NL Times. Retrieved from https://www.nltimes.nl/2024/10/06/klm-wants-eu-measures-combat-unfair-competition-china
Views: 0