China’s Big Three airlines lose US$1.2 billion

China’s three largest state-owned carriers — Air China, China Eastern and China Southern — reported combined first-half net losses of approximately 8.2 billion yuan (US$1.22 billion).

Their losses have now extended to a seventh consecutive year.

Fuel costs increased 35–38% across the three carriers, while first-half revenue at each airline still rose about 10%, helped by international travel.

The numbers are a powerful reminder that traffic growth does not automatically translate into airline profitability.

For Asia’s aviation industry, fuel exposure, pricing pressure and international capacity remain the central financial questions.