Canada’s Air Transportation Industry: Industrial Outlook Summer 2016

The Conference Board of Canada, 12 pages, September 19, 2016
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This report examines the short-and medium-term economic and profitability outlook for Canada’s Air Transportation Industry.

Document Highlights

  • Tourism—U.S. citizens are flying to Canada in record numbers as the relatively low value of the loonie makes Canada a more cost-friendly destination.
  • Jet Fuel Price—Although the drop in the Canadian dollar offsets some of the benefit of falling jet fuel prices, the industry’s cost savings have been substantial.
  • Demand—Rising incomes in emerging markets are driving up demand for luxury services such as tourism and air travel. This will be a sustained source of growth for Canadian airlines going forward as they continue to expand capacity to these markets.

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