Qantas cancels additional flights and warns of more changes

Qantas has canceled additional flights to Asia due to faltering demand and warned customers Friday to expect further changes as the coronavirus crisis evolves. The coronavirus, which could wipe as much as $US113 billion off global airline revenues, is seriously impacting travel in the Asia-Pacific as the outbreak spreads. The new cancellations are in addition to those announced at the airline’s half-year results which will see Qantas cut capacity by 16 percent and Jetstar by 14 percent through April and May. READ: Forecast COVID-19 airline impact soars as high as $US113 billion. The airline also said group flying between Australia and New Zealand would be reduced by 5 percent and by about 2 percent on domestic markets. Weakening demand on Japanese routes has prompted Qantas to cancel five Sydney-Sapporo return flights and flag cancellations on Brisbane-Tokyo (Narita), Melbourne -Tokyo (Narita) and Sydney-Osaka (Kansai). Also axed: five Melbourne-Auckland return flights and eight return flights between Sydney and Hong Kong. Qantas is contacting customers affected by the new round of cuts and offering them alternative flights. And it indicated there were more adjustments to come. “The Coronavirus situation and its impact on international travel demand is evolving and we’re monitoring closely,’’ it said in a statement. “Further changes are expected.” Airlines across the globe have been hit by a combination of fears about the virus, uncertainty about travel insurance coverage and changing country entry requirements. READ: Lufthansa cancels flights to Israel over entry requirements. Qantas low-cost offshoot Jetstar moved this week to stimulate demand with a million-seat sale offering fares such as Sydney-Gold Coast for $A45 one-way and Sydney-Perth for $A139 one-way. The financially robust Flying Kangaroo is well placed to weather the coronavirus storm but the crisis has already claimed its first scalp with the grounding of UK regional carrier Flybe. Analysts expect other financially struggling carriers in Europe and Asia to follow suit.