Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

European airlines slide amid fears over spreading COVID-19 cases in China

Published 12/29/2022, 08:18 PM
© Reuters.
LHAG
-
AIRF
-
ICAG
-
STOXX
-

By Scott Kanowsky 

Investing.com -- Shares in European long-haul airlines dropped on Thursday as concerns mount over the impact of the spread of COVID-19 cases in China.

German carrier Deutsche Lufthansa (ETR:LHAG), as well as rivals Air France KLM (EPA:AIRF) and International Consolidated Airlines Group (LON:ICAG), all fell towards the bottom of the pan-European STOXX 600.

On Thursday, the European Union's Health Security Committee - an informal council advising high-level European officials - called for joint action to address a potential uptick in COVID-19 cases as China begins to lift its long-standing strict pandemic restrictions. Beijing previously announced that it will remove quarantine rules for arrivals on January 8, sparking hopes that the world's second-largest economy may be moving past an era of strict coronavirus regulations. But that optimism is showing signs of fading as cases increase across the country.

"Coordination of national responses to serious cross border threats to health is crucial," said the EU's Health and Security Committee in a tweet.

The statement comes after the U.S. and Italy on Wednesday joined a list of nations - including Japan, India, South Korea, and Taiwan - requiring proof of negative COVID tests for inbound air travelers from China.

Italy's health minister Orazio Schillaci said the move was necessary to "ensure surveillance and detection" of any possible COVID-19 variants. He also urged Brussels to institute a bloc-wide testing rule for incoming travelers from China, arguing that many Chinese passengers enter the country via the EU's free travel area.

Health officials from the northern Italian region of Lombardy stated that high rates of infection have been found on two recent flights coming into Milan's Malpensa airport from China. One of the flights saw 52% of the 120 passengers on board test positive, as did 38% of another flight of 92 passengers.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.