BERLIN/SYDNEY (Reuters) – The crisis for airlines deepened on Thursday as Lufthansa (LHAG.DE) warned the industry might not survive without state aid if the coronavirus pandemic lasts a long time, and Qantas Airways (QAN.AX) told most of its 30,000 staff to take leave.
FILE PHOTO: Workers are seen near Qantas Airways, Australia’s national carrier, Boeing 737-800 aircraft on the tarmac at Adelaide Airport, Australia, August 22, 2018. REUTERS/David Gray
The United Nation’s International Civil Aviation Organization called on governments to ensure cargo operations are not disrupted to maintain the availability of critical medicine and equipment such as ventilators and masks that will help fight the virus.
“The spread of the coronavirus has placed the entire global economy and our company as well in an unprecedented state of emergency,” Lufthansa CEO Carsten Spohr said in a statement. “At present, no one can foresee the consequences.”
His comments echo other industry executives who have called for state support now that passenger operations are collapsing at an unprecedented rate as governments curb travel drastically and demand slumps.
Germany’s Lufthansa, which has parked 700 of its 763 aircraft, said it did not need state support yet as it slashes costs, but painted a bleak picture for the industry and its suppliers.
Spohr said his company was in talks with planemakers Airbus (AIR.PA) and Boeing (BA.N) about whether to take delivery of aircraft it had ordered, and on payments.
“We had planned this year to receive a ne