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The Rise of Turkish Airlines: Competition Intensifies in Europe

Problems in Brussels: The Unfulfilled Single European Sky Goal European air traffic management remains far from the centralization goals of the Single European Sky program, which has been supported by the European Council for over 20 years. Resistance from Eurocontrol member states against unified air traffic control (ATC) has led to a complex management of air navigation services across the region. This situation has resulted in increased congestion, emissions, and costs across Europe, with unnecessarily long flight routes becoming a major issue. Political Disruptions and Industrial Disturbances Dysfunctional airspace management is not the only issue facing European air transport. However, one of the biggest problems often arises from political and industrial disruptions. John Strickland, director of London-based JLS Consulting, notes that the lack of commitment to air transport by the EU and individual governments has created this situation. He explains that Europe views aviation as a "necessary evil," unlike emerging markets such as the UAE and Saudi Arabia. France’s Industrial Strikes and Delays Industrial strikes in France have caused significant disruptions to European air traffic. According to Eurocontrol, last year, half of the air traffic delays were due to industrial disruptions, with 99% of these caused by strikes by French air traffic controllers. These disruptions mainly affect flights connecting France to other destinations rather than domestic flights. The EU’s Aviation Policies and the Need for Reform Ryanair has called on the EU to reform air traffic management and ties its demand to a fight for the greater good. Strickland points out that isolated decisions by some EU member states have further complicated aviation. Examples such as capacity restrictions at Amsterdam Schiphol show that Europe has failed to implement necessary reforms in air transport management. Airport Investments and Financial Challenges ACI Europe states that the financial situation of European airports has weakened during the COVID-19 pandemic and the subsequent recovery, with investment plans for the 2022-2024 period reduced by €27 billion. Furthermore, it is estimated that European airports will need a total investment of €360 billion by 2040, with most of the funds required to increase capacity and improve infrastructure. The Rise of Turkish Airlines and Turkey’s Growing Competition Turkey’s aviation sector has experienced significant growth, symbolizing a shift in power within European air transport. Istanbul Airport's target of 85 million passengers in 2023 and Turkish Airlines' expanding fleet pose significant competition to European airports and airlines. Airline Consolidation and Competition Airline consolidation in Europe continues, with large airline groups acquiring smaller operators. The Lufthansa Group is accelerating its plans to acquire the Italian airline ITA (formerly Alitalia), while the Air France-KLM group is advancing in its process to acquire SAS. However, some airline consolidations face challenges, especially due to regulations and financial difficulties. Sustainability and Decarbonization Challenges Europe faces significant costs in its quest to achieve net-zero carbon emissions. The European aviation industry is discussing the high costs of transitioning to zero emissions within the EU's timelines. IATA and A4E state that more support and incentive mechanisms are needed to meet the EU’s sustainability goals. Europe’s air transport sector must cope with the pressures created by the high costs and timelines of low- or zero-carbon fuels.

Turkish Airlines' Russia Flight Program to Be Restarted

In recent days, widespread delays in Turkish Airlines flights between Moscow and Turkey have caused many Russian tourists to wait for extended periods at Moscow's Vnukovo Airport. Rosaviatsia stated that Turkish Airlines is in the process of reorganizing its flight schedule and that its experts are working diligently on the situation. The agency noted that passengers affected by the delays were served in accordance with Russian federal aviation regulations. "Tour operators are in communication with tourists, and since the changes to flights are generally minor, there have been no mass complaints. Turkish Airlines is providing passengers with food and hotel accommodations depending on the length of the delays," the statement said. Following the temporary closure of Vnukovo Airport, some flights were redirected to Sheremetyevo and Pulkovo airports. Delays ranging from 15 minutes to 5 hours were reported on Turkish Airlines flights to Antalya, Dalaman, and Istanbul. Specifically, on the afternoon of September 2 and on September 3, flights to Antalya experienced delays of 25 to 45 minutes. In addition to the lengthy delays, flights TK 3957 (9 hours), TK 6897 (7 hours), and TK 3967 (6 hours), scheduled to depart from Moscow to Antalya, were also significantly delayed. Some of these disruptions were attributed to the temporary closure of Vnukovo Airport on September 1.

Turkish Airlines (THY) Signs Three-Year Agreement with WFS for Denver Flights

Turkish Airlines Increases Denver Flights In July, Turkish Airlines increased its Denver flights, which began in June with three weekly flights, to four weekly flights using Boeing B777 and Airbus A350 aircraft. Comprehensive Services Provided by WFS Under the agreement, WFS will provide Turkish Airlines with a wide range of services at Denver Airport, including ramp management, aircraft pushback, baggage handling, cargo loading and unloading, airside cargo transportation, and cabin cleaning. WFS's Role in Denver and Future Vision Paul Walton, Senior Vice President of Americas Ground Handling at Worldwide Flight Services, emphasized that Denver is a significant market attracting both international and domestic airline operators. He highlighted WFS's commitment to providing high-quality services for over 30 years. WFS’s Current Operations WFS continues to provide ground handling services to Turkish Airlines in Chicago and serves 21 airlines in Denver, managing the turnaround of more than 9,000 aircraft annually. Denver is one of WFS Americas' 81 stations in the U.S. and Canada and is an important part of the SATS Group's global network.

Turkish Airlines unveiled its new business class suites

Turkish Airlines, the airline that flies to the most countries in the world, shared the details of its new and state-of-the-art Crystal Business Class suite at the Farnborough International Airshow in the UK. These new suites mark the beginning of a new era for Turkish Airlines passengers and are the first seats in the fleet to feature an adjustable door. The new Crystal Business Class suite offers a comfortable experience with direct aisle access for all passengers, an adjustable privacy panel for middle seats, a 23-inch seat width, and a large footrest area. All aisle suites also provide direct window access. In line with the global brand's 'Flow' identity, the new suites feature lighter and warmer colors, a marble-look side table, and gold-toned details. Additionally, they offer many advanced features such as adjustable ambient and reading lights, a universal power outlet, Type-C charging ports, a wireless charging unit on the side table, a noise-canceling headphone jack, an adjustable mirror, enclosed storage space, ergonomic seat cushions, and a 22-inch IFE screen. Turkish Airlines' new seats were developed by its subsidiary, TCI Aircraft Interiors, to create a unique product for the airline. The seats highlight the flag carrier's roots by using leathers and fabrics sourced from Turkey. Regarding the new Business Class services, Turkish Airlines Chairman of the Board and Executive Committee, Prof. Dr. Ahmet Bolat, stated, 'Our new Crystal Business Class suite will open a new chapter for our long-haul luxury travel, taking our airline into the future with a new level of comfort and privacy across our extensive global network. Our specially designed seats, combined with our award-winning in-flight dining service, will continue to offer our passengers a unique experience above the clouds.' Turkish Airlines' new suites will be used on intercontinental flights and will be gradually integrated into Airbus A350 aircraft and the refurbished Boeing 777 fleet. The flag carrier is showcasing its in-flight products to participants on digital screens at the Farnborough International Airshow from July 22-26, 2024.

A Noteworthy Article from the Financial Times

According to a report by the renowned Financial Times, Turkey's aviation sector has experienced rapid growth post-pandemic, surpassing its European competitors. The article highlights that Turkish airlines carried 10% more passengers compared to the pre-pandemic year. Turkey's two largest airlines, Turkish Airlines and Pegasus Airlines, carried 115 million passengers last year, marking a 10% increase compared to 2019, the year before the pandemic, as reported by the globally acclaimed Financial Times. Similarly, the success of Turkish airports in terms of passenger numbers was also emphasized. According to a report on Habertürk, based on data from the OAG data firm, Istanbul Airport was the busiest airport in the region in terms of flight numbers last year, with Turkish Airlines ranking as the third busiest airline after Ryanair and easyJet. The rapid expansion of Turkey's aviation sector compared to its competitors has also positioned the country as a dominant player in the European market, according to the report. This growth has been attributed to investments in improved infrastructure and fleets by airlines and airports in the country, as well as the swift recovery of capacity following the pandemic. Andrew Charlton, an Aviation Advocacy Consultant, commented on the matter, stating, "Turkey is a developing country with a demographic rise that has the potential to become middle class and propel the entire country forward. Therefore, policy adjustments will set sail for growth." Turkish Airlines increased its Available Seat Kilometer (ASK) value, an important capacity measure for the sector, by approximately 25% last year compared to 2019, while Pegasus also increased its capacity by building its fleet despite the pandemic. According to the International Air Transport Association (IATA), Available Seat Kilometers (ASK) across the sector shrank by 5.6% during the pandemic, with many carriers laying off staff. Turkish Airlines, after placing orders for over 200 Airbus aircraft in December, plans further expansion. Similarly, Pegasus expects to receive delivery of 68 single-aisle Airbus jets for medium-haul flights over the next five years. While a second runway recently opened at Istanbul Sabiha Gökçen Airport, expansion works are ongoing in the capital Ankara and the tourism hub of Antalya. Turkey's dominant tourism sector has also been a driving force for the aviation industry. Tourism revenues reached a record $54 billion last year, with expectations to reach $60 billion in 2024 due to a strong increase in foreign visitor numbers, thanks to the weak currency. According to FactSet data, Turkish Airlines' revenue increased by nearly 14% to $21 billion in 2023, placing it among the top 10 global airlines in terms of sales. Profit before interest, taxes, depreciation, and amortization rose by 11.7% to $5.5 billion. "REVERSE SITUATION IN EUROPE" In contrast, Western Europe presents a reverse scenario. Major national airline groups like IAG, Air France-KLM, and Lufthansa continue to operate with more restricted schedules compared to 2019, despite cautiously rebuilding their businesses amid the challenges posed by the pandemic. Moreover, leading airports face difficulties in expansion due to concerns about noise and pollution's impact on local communities and rising carbon emissions from increased flights. London's Heathrow Airport, after decades of struggles to build a third runway, is now focusing on a scaled-down expansion plan, while the Dutch government pressures to reduce flight numbers at Amsterdam Schiphol. The Istanbul Airport, an $11 billion international transit hub opened in 2019, boasts a massive terminal approximately the size of 200 football fields. It accommodated around 76 million passengers from Istanbul, slightly below Heathrow's 79 million passengers. "THIS IS CONCERNING" A European airline executive remarked, "Tighter regulation means you can attract people to areas where there is less regulation," while another executive, who preferred to remain anonymous, stated, "This is concerning. In 2019, when pollution costs were cheaper in the EU, we didn't care as much, but now we're thinking 'oh my God.'" Despite geopolitical tensions, European airlines are closely monitoring the growth of Turkish airlines and Gulf carriers connecting the East and West through transfers, and this trend is expected to continue, according to analysts.

THY is one of the most valuable companies in the world

Turkish Airlines (THY) has achieved significant success in the ranking of the most valuable airline companies worldwide. According to the data released by Companies Market Cap, THY has risen to become the 8th most valuable airline company globally with a market capitalization of $12.29 billion. This success once again highlights Turkey's increasing influence on the international stage and the strong performance of THY. Bilal Ekşi, the General Manager of Turkish Airlines, expressed his satisfaction with this rise in the rankings in a statement on his social media account. Ekşi stated, "Turkey is growing, THY is flying high. THY has become the 8th most valuable airline in the world. We thank you, who have contributed to THY's growth, and the THY family." Behind THY's success lies impressive growth and innovative strategies, along with a strong operational performance that reinforces its leadership in the global travel industry. The company's position among its global competitors demonstrates its competitive advantage in the international market. According to this ranking, among the world's top 10 most valuable airline companies, Turkish Airlines, alongside American and Chinese airlines, holds a significant position. This underscores the diversity and competitiveness in the global travel industry. THY's success further solidifies the strong presence of the Turkish aviation sector internationally, while also highlighting its potential for future growth and development.

The Turkish Airlines (THY) will increase frequencies in two countries

Turkish Airlines (THY) is preparing to increase the number of flights to Tanzania and Iran. THY's latest move is directed towards Dar es Salaam, one of the important centers in East Africa. Until May 13, flights from Istanbul to Dar es Salaam were operated with a frequency of 7 flights per week. However, now these frequencies are being increased to 9. This step stands out as an important move by Turkish Airlines to meet the demand in the region and provide travelers with more options. On the other hand, there is also an increase in services to Mashhad, an important city in Iran. The Istanbul-Mashhad flights, which were operated with a frequency of 7 flights per week, will be increased to 10 flights per week as of May 15. This is considered a strategic move by Turkish Airlines to strengthen its presence in the Iranian market and enhance connectivity between Istanbul and Mashhad. These new steps by THY reflect the company's commitment to strengthen its presence in the region and offer a wider range of services to travelers.

Были объявлены лучшие авиакомпании мира

Согласно оценкам, проведенным среди клиентов авиакомпаний компанией Skytrax, известной как авторитет в своей области, объявлен список лучших авиакомпаний мира. Turkish Airlines заняла 6-е место в списке, за ней следует Singapore Airlines. Вот лучшие авиакомпании 2023 года; 1- Сингапурские авиалинии 2- Катарские авиалинии 3- ANA All Nippon Airways 4- Эмираты 5- Японские авиалинии 6- Турецкие авиалинии 7-Эйр Франс 8- Катай Пасифик 9- ЕВА Эйр 10- Корейская авиация Источник: Аэропорт Хабер

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