Japan's Ministry of Transport is to convene a “expert meeting” on the country's domestic airline sector to address issues such as “changes in demand structure” and macroeconomic challenges.
The Ministry of Land, Infrastructure, Transport and Tourism (MLIT) says the meeting was held in Tokyo on May 30th and brought together seven academic experts.
The meeting will be held as the meeting warns that the stability of the domestic operating environment is “inconsistent” due to pandemic-driven changes in demand and “foreign currency dominated costs such as maintenance and fuel.”
“If the situation continues, it could have a negative impact on the domestic aviation network. This could be an important mode of transportation that supports (many) livelihoods, revitalizes the region and attracts local travelers to the region,” the ministry adds.
The “Council of Experts” discusses and proposes measures regarding stability and growth in the domestic aviation sector, says MLIT.
Japan's two largest airlines, Japan Airlines and all Japan Airlines, experienced healthy transportation and revenue growth in its domestic network up to March 31st of the year, amid measures such as “enhancing revenue management.”
Tokyo-based domestic airline Skymark Airlines reported a decline in operating profit until the end of March despite seeing an increase in passenger revenues as it was affected by a surge in costs worsened by foreign exchange losses.
