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JULY 2025

Week 28

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Air New Zealand shrinks capacity 2.7% in May

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July 7th 2025

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Air New Zealand (Air NZ) cut back capacity in May because of ongoing maintenance requirements on engines powering its domestic and international fleets. Read More » Domestic capacity was lower by 5.5% in the month compared with a year ago, the airline said, and long-haul available seat kilometres were reduced by 2.2% in the 31 days. Additionally, short-haul international seats were trimmed by 2.2%. The Star Alliance member has shrunk ASKs year-on-year in the first five months of 2025 and in 12 of the last 13 months. "Capacity reductions in both the month and year-to-date periods are driven by reduced aircraft availability from global additional engine maintenance requirements," Air NZ said in a regulatory filing. Earlier this year, the airline forecast it would have 11 aircraft grounded due to maintenance checks on the Pratt & Whitney engines on its A320neo family fleet and Rolls-Royce engines on its 787s. The flag carrier flew 1.1 million passengers in May, 2.5% below the 1.2 million air travellers flown in the same month in 2024. Revenue per available seat kilometre (RASKs) on its short-haul network, which covered domestic, trans-Tasman and Pacific Islands flying, increased 0.4% in the month and long-haul RASKs were up 2.8%, the airline added.

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