China Economic Review
Charting China’s changing economic terrain · Since 1990

American Airlines wins delay in new China flights

September 17, 2008

American Airlines

American Airlines

In the United States regulators have approved a request by American Airlines to delay launch of new nonstop service between Chicago and Beijing for a year because of high fuel costs and problems in the airline industry.

The brief order from the Transportation Department said the agency approved the airline’s request to delay the service until no later than April 4, 2010.

Earlier this month, American asked the department for a delay in service that was scheduled to begin next April 9. American, the nation’s largest airline, already flies between Chicago and Shanghai, and last year it won the rights to add the Chicago-Beijing route.

American is the latest carrier to delay China flights, including United Airlines, US Airways and Northwest Airlines.

U.S. carriers are expected to post multibillion-dollar losses this year due to higher fuel costs and a weakening U.S. economy that could undercut demand for travel.
Source: BusinessWeek