Carriers bolstering trans-Atlantic schedules as US restrictions ease

Combination carriers are expanding operations between the U.S. and Europe starting this month, with passenger aviation receiving relief in the form of loosening travel restrictions for vaccinated foreign travelers to the U.S. effective Nov. 8. Carriers including United Airlines, American Airlines and IAG Group’s British Airways are adding new flights, restarting service or increasing frequencies connecting North America and Europe, in a move that will add capacity back to the trans-Atlantic lane for passengers and cargo crossing the ocean for the holidays. [caption id="attachment_93353" align="alignright" width="450"] American Airlines at London Heathrow Airport. Photo/Heathrow Airports Ltd.[/caption] Along with the uptick in passenger aviation, oil demand has also increased, as have jet fuel prices, according to Bloomberg Intelligence analysis and pricing data from the U.S. Energy Information Administration (EIA). Texas-based American Airlines is increasing connectivity from London Heathrow Airport (LHR) to nine U.S. cities during November and “onward,” according to a press release from the carrier. Operations from LHR will include two daily services each to New York’s JFK Airport and Dallas/Fort Worth International Airport (DFW), along with daily service to Boston Logan Airport (BOS), Seattle-Tacoma International Airport (SEA), Los Angeles International Airport (LAX), Miami International Airport (MIA), Philadelphia International Airport (PHL), Chicago O’Hare International Airport (ORD) and Charlotte Douglas International Airport (CLT). For the month of November, American will also operate between Frankfurt Airport (FRA) and CLT. The routes will operate with 777-200 and -300 or 787-9 aircraft. “We have really strong demand for all kinds of cargo including automotive parts, perishables like fresh salmon and flowers, and life science products like pharmaceuticals,” said Tim Isik, AA Cargo’s sales director for EMEA and APAC, in the release. Meanwhile, United Cargo’s November schedule reveals its 777 aircraft, which in early October Chief Commercial Officer Andrew Nocella announced were reentering cargo-only service, will operate trans-Atlantic, cargo-only flights between ORD and Brussels (BRU) in November. The carrier has also expanded its trans-Atlantic operations more broadly, bolstering frequencies on many routes from Nov. 7, according to the most recent schedule published for November. On IAG Cargo’s part, the airline group’s passenger affiliate/British Airways restarted service between LHR and Newark Liberty International Airport (EWR) as of Nov. 1 and is adding an additional frequency on its route between London Gatwick (LGW) and Grantley Adams International Airport (BGI) on Barbados in the Caribbean. The return of passenger traffic on trans-Atlantic routes will eventually lead to the return of badly missed cargo capacity on the routes, although according to October analysis from Clive Data Services, the trade lane will first see a capacity squeeze as passenger luggage fills up cargo holds before more frequencies are added back into the schedule. In the meantime, the return of trans-Atlantic passenger aviation will lead to a quick uptick in jet fuel consumption. Fernando Valle, analyst for Bloomberg Intelligence, expects more than 250,000 barrels of crude oil per day will go toward meeting the demand increase. That prediction is already borne out in rising prices for kerosene-type jet fuel, according to the latest price information from the EIA. Spot prices at the U.S. Gulf Coast have increased to their highest level since the pandemic began, reaching $2.36 per gallon on Oct. 14 — the highest price since October 2018.

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