Chinese airlines grab market share from US and European carriers who have to fly around Russia

US and European airlines are banned from Russian airspace, and so must route around the world's largest country. This is causing much longer and costlier flights between North America and Europe, and destinations in Southeast Asia.

Chinese, Korean, and Indian airlines still enjoy Russian overflight privileges, however, and can thereby offer shorter and less expensive fares.

As a result, Chinese carriers are gobbling up markets and gates across international markets. Chinese airlines already operate with 30% lower costs on a passenger-mile basis compared to US- and European-flagged carriers, and their cost advantages only multiply after adjusting for the issues involving Russian airspace.

Resources and links:

Flight maps from Great Circle Maps www.greatcirclemap.com) and
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Closing scene, Qingdao Olympic Sailing Center and Lighthouse, Qingdao, Shandong