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Airfares peaking as travellers in Europe, Asia seek savings

Reuters
Aviation
Transportation
VIEW FULL NEWS STORY HERE >

SUMMARY

Airfares in Europe and Asia are leveling off or decreasing as the post-COVID travel surge subsides, challenging airlines with high costs and limited aircraft availability. Initially, a mismatch between flight supply and demand drove up prices. However, rising living costs and inflation are now making travelers more price-sensitive. In Europe, fares were stable in early 2024, while Asia-Pacific saw a 16% drop in January-April year-on-year. Despite high travel demand, especially in the U.S., budget-conscious European travelers are opting for cheaper destinations. Analysts predict airfares will continue to normalize throughout 2024.

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