COVID-19 grounds aerospace industry
With air traffic at a standstill, this sector is in for a wild ride. Read this EDC Economics overview to discover how it could take years for this industry to recover.
The COVID-19 pandemic has severely restricted air travel, forcing many airlines worldwide to ground the bulk of their fleets and send workers home. While demand for urgent air cargo transport has increased due to a decline in shipping by sea, the volume is minor compared with the loss in passenger traffic. Airlines are likely to experience a two- to three-year recovery phase, while some analysts expect it will take the commercial aircraft manufacturing and parts supplier sector up to five years to see a return to pre-crisis levels.