Canada’s Air Transportation Industry Outlook: Flying Turbulent Skies in 2016

The Conference Board of Canada, April 6, 2016
Recorded Webinar by
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Canadian airlines are gaining altitude at the moment. The low dollar is attracting international visitors, keeping Canadians travelling within the country, and for those travelling internationally, reducing their incentive to fly out of U.S. airports. Low jet fuel prices have also provided a boost to the industry’s bottom line, pushing pre-tax profit margin to record levels.

However, the outlook is not all blue skies. Canadian air carriers are also contending with a weak domestic economy where softer labour markets continue to restrain consumer spending. The fallout from the swooning oil patch continues to hurt business travel. Furthermore, new low-cost carriers are launching in the Canadian market, which will put downward pressure on prices and weigh on industry revenues over the medium-term. So how will the industry fare in 2016?

Join Todd Crawford as he discusses the newly-completed economic outlook for the Canadian Air Transportation Industry, and explores why and how airlines will be expected to balance the competing trends looming on the horizon. Based on the Conference Board’s unique Industrial Economic Trends model, this webinar provides a perspective you won’t find anywhere else, and expert analysis on key indicators including: production, price, investment, employment revenues, labour and material costs, profits and profit margins.

Webinar Highlights

In this 60 minute webinar, Todd will explore topics such as:

  • Impact of the low loonie—The dollar is expected to stay in the 70 cent range this year—what that will do to the industry outlook?
  • Domestic economy—The economic climate in Canada has weakened considerably in the past year. To what extent will this curtail demand for air transportation over the next few years?
  • New competition—Canadian air travel has historically been dominated by few large players. But with new low-fare carriers entering the market, consumers will continue to expect lower fare prices going forward.

About Todd

Photo of Todd CrawfordTodd Crawford is Senior Economist in the Conference Board’s Industrial Economic Trends research group. He conducts industry-specific research on a wide variety of issues including: labour market supply and demand, profitability, public policy, and a variety of economic impact and footprint studies. Since joining The Conference Board of Canada in 2006, Todd has worked in a number of areas and has moved into increasingly senior roles. He was responsible for forecasting all matters related to Canada’s energy sector. Todd has a B.A. in Economics from the University of New Brunswick and an M.A. in Economics from the University of North Carolina.

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