Asia-Pacific airline stocks were boosted by the Australia-New Zealand travel bubble, adding to optimism
Qantas A380 takes off on August 21, 2020 on the runway in Saxony, Dresden
Tino Plunert | Image Alliance | Getty Images
SINGAPORE – Asia Pacific airline stocks traded Tuesday after numerous announcements significantly improved the outlook for international air travel.
Qantas Airways shares in Australia rose 2.55% while Air New Zealand shares rose 6%.
Those stocks rose when New Zealand Prime Minister Jacinda Ardern announced that the “travel bubble” between her country and Australia would begin on April 19th.
Meanwhile, the Singapore Aviation Authority announced that from May the country will start accepting travelers using the International Air Transport Association (IATA) mobile passport for pre-departure checks. Singapore Airlines shares rose 0.2% on Tuesday.
“The trust of a leading airline like Singapore in the IATA Travel Pass is extremely important,” said Willie Walsh, general manager of IATA, in a statement.
“With ongoing testing, we are on track to see that the IATA Travel Pass is a critical tool in restarting the industry by providing governments with verified travel health information. And travelers can have full confidence that their personal information is secure and be under their own control, “said Walsh.
Elsewhere, Korean Air Lines stocks were flat, while Japanese airline stocks lagged the broader region. Japan Airlines fell 2.44% while ANA Holdings fell 2.19%.
Local media reported that as of Monday, quasi-emergency Covid-19 measures were carried out in several prefectures in Japan to contain a resurgence of infections.
The air travel industry has been one of the sectors hardest hit by the coronavirus pandemic as authorities tightened border restrictions around the world to contain the spread of the virus.