The climate emergency and urgency of system change

The most recent report of the Intergovernmental Panel on Climate Change (IPCC) released in March warns that global warming is “more likely than not” on course to surpass the 1.5-degrees-Celsius limit by 2040, and raises the alarm  that:.

  • “There is a rapidly closing window of opportunity to secure a livable and sustainable future for all.”
  • “Without a strengthening of policies, global warming of 3.2 degrees Celsius is projected by 2100.”
  • “Every region in the world is projected to face further increases in climate hazards.”
  • “Public and private finance flows for fossil fuels are still greater than those for climate adaptation and mitigation.”

Instead of broadly speaking of a collective and global “we” in the context of climate action, it is necessary to explore the different responsibilities and burdens borne by diverse communities for the climate and related crises.

According to the 2020 Oxfam report Confronting Carbon Inequality, during the critical 25-year period between 1990 and 2015, the richest 1% of the world’s population were responsible for more than twice as much carbon pollution as the 3.1 billion who represented the poorest half of humanity.

Climate Collateral, a November 2022 report from the Transnational Institute, shows that “the richest countries most responsible for the climate crisis are spending more on the military than on climate finance.”

Fossil fuel economy

Five of the top six companies in the Fortune Global 500 including BP (British Petroleum), ExxonMobil, Shell, Sinopec and China National Petroleum are in the petroleum refining industry.

As a July 2015 report by the Union of Concerned Scientists pointed out, “more than half of all industrial carbon emissions have been released into the atmosphere since 1988, after major fossil-fuel companies indisputably knew about the harm their products were causing to the climate.

“Unethical corporate funding, lobbying and the silence of the mainstream media have enabled polluting companies to project an environmentally friendly public image while simultaneously derailing legislation for emissions reduction.”

In Green Inc, investigative journalist Christine McDonald has shown that major conservation groups in the United States such as The Nature Conservancy, the Conservation Fund, Conservation International, the Environmental Defense Fund, and the Natural Resources Defense Council receive financial contributions from fossil fuel companies.

According to secret documents revealed by the Paradise Papers leaks, some environmental groups also directly invest in oil drilling.

The short-term costs of ending dependence on fossil fuels are significantly less compared with the staggering long-term environmental and social costs of accelerating climate change. However, the current international policy framework and neoliberal strategies are far from adequate to address the urgency of the climate crisis.

Status quo ‘solutions’

The 2015 Paris Climate Treaty ­provides no detailed timetables or country-specific goals for reducing emissions. There is neither a legal mechanism to force, a country to set a target by a specific date nor enforcement measures if a set target is not met.

The Paris Agreement does not mention fossil fuels, let alone the need to leave 80% of what remains in the ground, as many experts believe is necessary for climate mitigation. It also does not address the need to cut government fossil-fuel subsidies, military expenditures, air travel, shipping, etc as keys to global decarbonization.

The Paris Climate Conference was sponsored by fossil-fuel companies and the discussions were dominated by market-based solutions. As The Washington Post owned by Amazon owner Jeff Bezos puts it, “For better or worse, billionaires now drive climate policy.”

The United Nations Framework Convention on Climate Change strongly supports carbon trading. Since the agreement, seeing a huge new market and business opportunity, international financial interests have geared up to expand carbon trading.

Climate justice activists, however, are deeply concerned that carbon trading will lead to increasing “financialization of nature,” “the quantification and commodification of everything that can be seen as a carbon sink, especially forests but also agricultural land and even the ocean’s capacity to sequester carbon dioxide for photosynthesis via algae.”

Activists argue that the market-based cap and trade system designed to reduce carbon emissions has enabled major polluters to continue polluting while putting the onus of maintaining carbon sinks on the poorer countries and inhibiting their economic development.

Emissions trading takes attention away from the search for less complicated strategies, such as a carbon tax on polluters, as well as fundamental changes in economic production and energy use.

Since the Paris Agreement, the World Bank Group has invested more than US$12 billion in fossil fuels, of which $10.5 billion was “new direct fossil-fuel project finance.” According to a report by the International Energy Agency, governments spent more than €900 billion ($993 billion) on fossil-fuel subsidies in 2022, more than double what they spent in 2021.

The limits and failures of the dominant neoliberal approach demand that we critically reassess the global economic system and its underlying assumptions, values and (lack of) consciousness as the root of the climate crisis.

Global economic system

Trade liberalization in the last few decades has led to a consolidation of corporate control in every sector of the global economy, deepening economic inequality. In 2019, the world’s richest 26 individuals owned the same amount of wealth as half the world’s population.

The visions of market and technological domination over nature fail to recognize that if the climate is not stabilized, we will unleash long-term planetary forces far beyond our capacity to control. As Karl Polyani warned in his book The Great Transformation, “To allow the market mechanism to be the sole director of the fate of human beings and their natural environment … would result in the demolition of society.”

The contemporary climate and political-economic crisis, however, is more than a crisis of capitalism. Technology and the market per se are not the problems. It is the underlying consciousness and the intention that determine their advancement.

The failure and inadequacy of false solutions require that we question the fundamental assumptions of the dominant market and technological paradigm and shift toward an ecological partnership paradigm that can provide genuine solutions to the climate and related crises.

Transformation of consciousness

The roots of the climate crisis lie in the mistaken dualism between self and other, stemming from ignorance of the interdependence of all mental and physical phenomena. Today, “ego consciousness” and its ethics of individualism, domination, and competition are the driving forces at the personal, social and national levels as well as how humans relate toward other living beings.

This myopic consciousness has led and continues to lead to massive destruction of the environment and human society, widening economic disparities and social conflicts.

The alternative to ego consciousness, rooted in the psychology of fear and “self vs other,” is a universal ecological consciousness grounded in the truth of unity within diversity. This higher consciousness sees the other as an extension of the self and the well-being of the self and the other as inherently interdependent. It contributes to an ethic of partnership.

The transformation required in the world now is not simply an intellectual one; it is primarily a change in consciousness. Taught to live within an individualistic, exploitative, competitive and mechanistic economic system lacking compassion, many people are cynical about non-violent and collaborative processes.

Nevertheless, the climate emergency is a call to transcend the corporate-government “greenwashing” and shift toward a genuine change of the global capitalist economic system.

 ‘Ecological’ and compassionate economics

Economists E F Schumacher and Herman E Daly envisaged the needed transition as “Buddhist economics” and “ecological economics” respectively, while others have termed it “compassionate economics. As Schumacher has explained, it is necessary to distinguish between human needs and wants and to understand that we have the power to transform our individual and collective consciousness.

This has great relevance for the conscious inclusion of ethical, social and ecological criteria in economic decision-making. These principles would, for example, incorporate non-violence and respect for all life including biodiversity; generosity and honesty in speech and action, including corporate transparency and accountability.

As well as shifting to renewable energy, we need to shift away from the consumption of unsustainably produced commodities and to increase the democratization of control over global resources and economic decision-making. To eradicate poverty and hunger among marginalized groups, overconsumption by the wealthy and underconsumption among the poorer groups must be reduced and a fairer distribution of wealth and income put in place.

Social movements

Despite the climate emergency and related environmental and social collapse, the “top” 1% business-government media elite that rule the world are resistant to change. Strategies are used to divide and pit people against each other along ethno-religious, gender-sexuality and other “identity” lines deflecting attention away from class-based domination that is mostly responsible for climate and related crises.

Social change does not come by change in consciousness or individual mindfulness practice alone, but through increased citizen participation.

In the face of dramatically accelerating global warming, the failure of the Paris Agreement to address divesting from fossil fuel and the support of governments and multilateral organizations for new fossil-fuel projects, simultaneous action for climate protection and social justice – that is, climate justice – is intensifying around the world.

The goals of environmental sustainability and social justice can be achieved if we come together to “Change the System, not the Climate.”

As the Declaration on Climate Change, The Time to Act Is Now, states:

“If political leaders are unable to recognize the urgency of our global crisis, or unwilling to put the long-term good of humankind above the short-term benefit of fossil-fuel corporations, we … need to challenge them with sustained campaigns of citizen action.”

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Fourth Industrial Revolution slow to start in America

NEW YORK – While Chinese factories have installed 6,000 private 5G broadband networks to support AI applications in manufacturing, only a handful of large US manufacturers have done or are planning to do so.

General Motors, which sold more cars in China than in the US last year, was an early adopter, and machinery giant John Deere expects to have a 5G network operating sometime late in 2023. But there is no indication of widespread adoption as in China.

A key obstacle to 5G adoption in the United States is a cumbersome regulatory framework that makes it hard for private networks to gain access to wireless spectrum. “Spectrum supply is also a serious problem and part of why we haven’t seen more commitment to onshore, non-consumer 5G,” a US official told Asia Times on background.

C-Band, a mid-spectrum range of cellular broadband frequencies, would support private 5G networks well, but its deployment has been blocked by interagency wrangling. The Federal Aviation Administration claimed that C-Band might interfere with the avionics of commercial aircraft, a position disputed by wireless providers, who point out that C-Band is widely used in other countries and never has been associated with an airplane accident.

The US Defense Department meanwhile objected to commercializing another part of the wireless spectrum in the 3.1 to 3.45 Gigahertz range, claiming that it would cost $120 billion to relocate military equipment using those bands.

Because of these obstacles, one US official said, “It might well be more than five years before any spectrum designated for commercialization is brought to market, and probably another year before there’s significant service available.”

US industry has been slow to leverage the advantages of 5G. Image: Ericsson

There are a few published examples of private broadband networks installed at US manufacturing facilities, but they appear well behind China’s offerings. General Motors was the first to announce a private 5G network in 2022, for its Factory Zero plant in Hamtramck, Michigan.

But “GM, however, isn’t close to going completely wireless, a GM spokesman said in April. GM has been developing the system in partnership with Verizon for three years. The spokesman added that “the technology remains relatively new after decades of wired networks across the company’s operations.”

Ford announced its first industrial 5G network in partnership with AT&T in October 2021. And Mercedes’ Sindelfingen plant uses 5G/AI technology to detect manufacturing failures of bladed disks for jet engine turbines.

Huawei, by contrast, publicized its first fully-automated plant in August 2022.

Dow Chemical worked with Nokia and Microsoft to install a private 4G LTE network – a generation behind 5G – at its Freeport site, providing improved communications among 40 plants. LTE’s slow response time and limited data capacity can’t support Big Data/AI applications, which require the low latency and high capacity of 5G.

MdX, a manufacturing incubator supported by the Department of Defense, built an experimental 5G network at its test facility in Chicago in 2022 with support from the wireless infrastructure company Betacom.

“The goal is to test both approaches to 5G, and to allow manufacturing companies to come in and experiment with them, which is important because different 5G frequencies can perform differently on factory floors depending on local physical factors,” Networkworld reported last year.

A recent Nokia survey of 5G adopters showed modest results from the technology. Half of the companies surveyed showed a cost reduction of 6% or more from their 5G investment.

Manufacturing companies, according to an MdX spokesman, are still using outdated computer hardware that doesn’t support 5G. Cisco and Hewlett Packard have begun selling private 5G equipment, along with established telecom infrastructure providers Nokia and Ericsson.

But the hardware companies are still working the bugs out of their products, according to one industry expert. “They sent in 40 engineers who trip over each other and take forever to get anything done,” the expert said.

Two American football stadiums are installing private 5G networks, however.

Low latency and high capacity allow 5G networks to enhance factory automation. High-speed cameras upload thousands of pictures per minute to the Cloud, where AI algorithms identify defective parts, malfunctioning equipment or other manufacturing snags.

Huawei’s first fully automated factory began operations in August 2022 for the appliance manufacturer Midea. The suite of AI applications made possible by 5G doubled the factory’s shipping rate, Huawei claims.

5G-enabled lifts load containers from cargo ships with remotely controlled quay cranes. Photo: Huawei

The 6,000 networks that Huawei says already are installed haven’t reached that level of productivity by any means. Chinese manufacturers are adopting the technology because the government strongly encourages it, a Huawei representative said. But the adoption of this technology has already produced some impressive results.

In April, the top Chinese auto manufacturer BYD unveiled a compact electric vehicle with an $11,300 sticker price, well within the range of consumers in China and large parts of the Global South.

5G networks also multiply the productivity of ports and mines. Mining operations routinely damage communication cables, a problem solved by broadband.

5G broadband can link thousands of cameras in a coal mine, sending thousands of images per second to the Cloud, where AI algorithms identify potential problems before they cause damage, according to Huawei Technologies, the world’s largest provider of 5G hardware and applications. Operators on the surface control giant tunneling machines and conveyor belts with a minimum of personnel underground.

At China’s Tianjin Port, a 5G/AI system has reduced the unloading time for a large container ship to 45 minutes from the previous eight hours. Automated cranes read bar codes on containers and place them rapidly onto autonomous trucks that bring them to automated warehouses.

Follow David P. Goldman on Twitter at @davidpgoldman

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Chinese fast fashion giant Shein denies low prices due to forced labour

Shein’s efforts to green its image include a second-hand clothing business in the United States, materials research and integrating recycled materials in its products. While acknowledging “fair criticism” that its product pages offer consumers little detail about recycled content and other traceability factors, “we’re trying to enhance how we describeContinue Reading

Loss of FedEx HQ highlights Hong Kong legal fears

Along with UPS and DHL, FedEx Corp., one of the three largest express package delivery business, reportedly plans to relocate its Asia-Pacific regional offices from Hong Kong and nbsp to Singapore in order to” achieve greater speed and agility.”

According to Bloomberg, Kawal Preet, the local president of FedEx Express, will relocate to Singapore in September. Other Hong Kong-based executives will also relocate there, according to an unnamed staff member.

In an email cited by Bloomberg, the American courier claimed that it could more quickly and easily connect its operations in the Asia Pacific, Middle East, and Africa( AMEA ) in Singapore. While retaining a” significant” presence and leadership roles in the special & nbsp, administrative region, it stated that fewer than 15 % of its positions in Hong Kong will relocate to Singapore. & nbsp,

According to the organization, some positions that don’t need to be located in the offices city may be moved to Malaysia or India to cut costs. & nbsp,

Given that Sino-US social tensions are rising, commentators claimed that some foreign businesses are leaving Hong Kong because they are unsure whether they will one day become the target of Chinese regional security investigations or secondary sanctions from the US.

Chau Sze – tat, a political commentator from Hong Kong, writes in his YouTube channel,” The transfer of FedEx’s regional offices deals briskly to the city, which usually highlights its status as an international logistics hub.” The business relocates its top executives to Singapore, demonstrating that it no longer values Hong Kong as a major logistical hotspot for the region.

According to Chau, the authorities could always hold the pandemic responsible for the absences of foreign businesses in Hong Kong over the past three years. However, it demonstrates that Hong Kong’s long-term business environment has deteriorated if they are still leaving the city after all Covid standards have expired. Concerned about the National Security Law are some international businesses.

He claims that FedEx’s investigation by the Chinese authorities in 2019 for withholding Huawei Technologies’ packages may have played a role in the US courier company moving its regional offices. & nbsp,

After the British mail mysteriously diverted two packages intended for Huawei headquarters in China to the US and tried to divert two persons, Huawei announced on May 27 that it was reviewing its partnership with FedEx. The next day, FedEx expressed regret for handling Huawei’s packages improperly and claimed that no outside difficulty had caused it to request transhipment. & nbsp,

Photo: Pandaly

The Chinese government announced earlier in June 2019 that it was looking into FedEx in response to a complaint Huawei had made about misrouted packages. Later, in late July, it was reported that FedEx may have delayed the delivery of more than 100 items to Huawei. & nbsp,

Socially private, the incident occurred after Huawei Chief Financial Officer Meng Wanzhou was detained in Canada in December 2018 on suspicion of breaking US punishment. Following a formal arrangement with the US court, Meng was released in September 2021.

After anti-extradition protests broke out in Hong Kong in June 2019, Sino-US hostilities had increased. According to the Foreign foreign ministry, Todd Hohn, a FedEx Express aircraft and retired US Air Force commander, was detained on September 12 at the Guangzhou Baiyun International Airport and nbsp for leaving with an air gun pellet package. He was given parole, but smuggling ammunition was the subject of an investigation.

On June 27, 2020, Hohn was given permission to leave Guangzhou, just a few times before Beijing enacted the National Security Law in Hong Kong on June 30. & nbsp,

In an interview with HK01.com in December 2020, managing director Anthony & nbsp, Leung of Express Hong Kong and Macau expressed his confidence in his ability to manage the express business there in spite of the unstable global environment.

Leung described Hong Kong’s market climate as an international financial hub with many benefits, such as a prime area, no tariffs, and straightforward customs procedures. He declared that FedEx would have its top operations and support staff based in Hong Kong, where it has its Asia Pacific headquarters.

However, FedEx began moving its Hong Kong-based planes to San Francisco in January 2021, claiming that the Asian financial capital’s stringent Covid regulations were having an impact on its operations. It announced that it would close its team center in the neighborhood in November 2021. & nbsp,

Despite the fact that Hong Kong repealed all of its anti-epidemic regulations in late 2022, some critics claim that the worsening US-China relations continue to pose operational risks for international businesses based there.

Five Chinese businesses, including one in Hong Kong, were sanctioned by the US in February of this year for allegedly offering goods and services to the Russian army. It sanctioned 12 Taiwanese companies last quarter, the majority of which were based in Shenzhen, for sending electronic components from Hong Kong to Russia.
 
Additionally, according to Chief Executive John Lee, Hong Kong will pass other national security policy by the end of 2024 in accordance with the Basic Law’s Article 23. & nbsp,

The current National Security Law deals with crimes like independence, terrorism, corruption of the government, and cooperation with foreign power. The new legislation will focus on spying activities as well as treason, sedition, theft of state secrets, and & nbsp. & nbsp,

Study: New Sino-US tensions are sparked by the Fentanyl and Russia industry.

@ jeffpao3 Follow Jeff Pao on Twitter at & nbsp.

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Parliament to discuss rise in COE prices, hear ministerial statement on Singaporeans’ transport needs

SINGAPORE: When parliament meets on Monday, May 8, several members of parliament will raise concerns about the recent increase in Certificate of Entitlement ( COE ) premiums. S Iswaran, the secretary of transportation, is also scheduled to give a ministerial speech on meeting Singaporeans’ transportation needs. From the causes ofContinue Reading

New Qantas chief can’t charge sky-high prices forever

After the epidemic and border closures shuttered much of the regional aviation industry in 2020, Vanessa Hudson will take over as CEO of Qantas Airlines in November. She inherits a company that is still having trouble getting back to operations.

The good news for Qantas is that it can impose higher tickets because of the airline’s increased demand for air travel. In the second half of 2022, it even managed to report a profit ofA$ 1.43 billion( US$ 963 million ).

But these circumstances didn’t persist. As Hudson, an officer who joined Qantas in 1994 and has been the company’s general business officer since 2018, deals with the extremely different short-term difficulties that come with recovery, she did increasingly need to focus on all the long-standing problems that existed for the Australian flagship airline prior to 2020.

Demand for air travel is recovering more quickly than provide for two main reasons.

The first is the time and effort required to return to service the plane that were parked at nearby interior airports and aircraft storage facilities during the pandemic. About 100 of Qantas’ 126 aircraft were put into storage, six aging Boeing 747s were retired, and the delivery of the new Airbus A321neo and Boeing 77 – 9 aircraft was postponed.

Airlines have never had to hold this numerous aircraft in the history of civil aircraft. Restoring them to support necessitates thorough construction inspections and tests. Just a small number of skilled protection personnel can prepare so many aircraft to resume flight.

Which brings up the second, more crucial problem: the need to replace positions.

The economy was dealing with a global lack of skilled aircraft even before the pandemic. Since borders were closed in 2020, it has been struggling to replace every employee, including the air and ground crowd.

Nearly a third of Qantas’ 30, 000 individuals were fired, including nearly 2, 000 ground crew members who were forced to retrench illegally. By the end of 2024, it hopes to hire almost 2,000 people, with a number of 8,500 by the year’s side.

A Qantas plane parked at Southern California Logistics Airport in Victorville, California, in December 2022.
In December 2022, a Qantas aircraft was parked at Victorville, California’s Southern California Logistics Airport. a flickr

Most people who have found work in various fields are never coming back. Some in the field worry that air is no longer a desirable profession. Additionally, all of the aircraft, flight technicians, and technicians who are being re-employed need refresher training before being allowed to work.

The whole air offer chain, including producers, is being impacted by labor shortages. On different aircraft shipments, Qantas is currently experiencing difficulties of around six months.

vying for clients

As Qantas struggles to keep up with demand, competition for clients will be a fairly small issue. However, this won’t take as airlines expand their ships and the current high cost of air travel starts to drop. For instance, at the end of 2022, tickets in the US market returned to their pre-pandemic quantities( in inflation-adjusted terms ).

I anticipate that Qantas may be dealing with many of the same competitive pressures that motivated its pre-pandemic cost-cutting and outsourcing by the end of 2023 or original 2024. It is partially attribute this to the service provided by the global government to airlines, which had the unfortunate side effect of fewer flight falls in 2020 than in 2018 or 2019.

While Qantas made a return for every year between 2015 and 2019, profit margins were very slim.

There is a lot of discussion about how the crisis permanently altered the air travel industry. For instance, company journey might never return. In February 2021, consulting company McKinsey predicted that the post-pandemic competition for business travel may be 20 % smaller.

The problem for Qantas and some airlines will be to arrange and adapt services appropriately while the jury is still deliberating on this issue and others.

In the long run, Qantas needs to lessen its economic impact.

The Carbon Offsetting and Reduction Scheme for International Aviation of the International Civil Aviation Organization has established a requirement that all foreign steam ships must set off the carbon emissions associated with airlines starting in 2027.

More often, stricter domestic economic requirements are very good as a result of the drive to decarbonize financial aviation.

Due to the airline’s comprehensive network of moderate and long-haul flights( which use more gasoline ) and aging, less fuel-efficient fleet, this will be more difficult for Qantas than rivals.

Even over 15 years old on average, more than twice as old as competitors like Singapore Airlines. Ships replacement will be a difficult task.

Volodymyr Bilotkach is Associate Professor, Purdue University

Under a Creative Commons license, this story has been republished from The Conversation. Read the original publication.

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Go First: What went wrong with Indian airline?

Go First airline, formerly known as GoAir, Airbus A320-271N passenger aircraft prepares to take off from Chhatrapati Shivaji International Airport in Mumbai, India, May 2, 2023.Reuters

One airline’s bars stand out as being noticeably vacant in the busy airports of India.

Budget airport Go Really immediately filed for bankruptcy protection earlier this week and postponed its planes for a few days. Although the aircraft guarantees refunds to clients, its agents are currently taking calls from angry customers.

The turbulent events bring back memories of Jet Airways, the largest airport in India at the time, going bankrupt in 2019. The second significant Indian airline to meet Jet in four years is Go First.

The National Company Law Tribunal heard the airline’s bankruptcy case on Thursday. The aircraft has requested time court orders to allow it to operate and has also requested limitations on any unfavorable regulatory action. However, the court claimed that the rules did not include a provision for interval relief.

Choose Really claims that its problems are not a result of poor financial management but rather of engine problems. The business claims that so far, it hasn’t missed a single mortgage payment date in its debt papers.

It has accused US engine manufacturer Pratt & watts, Whitney, of grounding many of its aircraft” due to the ever-increasing number of failing engines” it supplied, which the airway claims resulted in a serious cash flow issue.

Go First counters at Delhi Airport

ANI

According to Go First, it was forced to ground 25 aircraft, or roughly half of its fleet of Airbus A320neo planes, costing about 108 billion rupees($ 1.3 billion,£ 1 billion ) in lost revenue and expenses. Cirium, a provider of air analytics, estimates that Go Really will fly 6,225 times in May, totaling more than 1.1 million seats.

Pratt & amp, Whitney have been charged by the airline with disobeying an emergency arbitrator’s order to provide” at least 10 serviceable spare leased engines by April 27, 2023.”

Pratt & amp, Whitney responded, was” complying with the March 2023 arbitration ruling” and was unable to add anything else because” this is now a matter of litigation.”

A320neos with Pratt & amp, Whitney engines make up about 90 % of Go First’s fleet.

The lack of spare parts and a lag in the supply of retrofitted vehicles from the engines builder have caused the helicopters to be grounded since 2020. Flight schedules were impacted and there were occasional cancellations as a result of nearly half of its fleet being unavailable.

Based on scheduled absences, Go First was the fifth-largest flight in India. The firm’s owners, the Wadia Group, according to its operations, have no plans to leave. According to Go First CEO Kaushik Khona, the debt trials are intended to revive the airline rather than sell it.

Crowd of travellers wait to check-in for their flight at Indira Gandhi International Airport (Delhi Airport) in Delhi, India, on May 31, 2022

shabby picture

The aerospace industry in India has expanded quickly. However, due to financial difficulties brought on by increased competition, unnecessary debts, and rising costs, a number of flights have also been shut down or forced to combine, including Jet Airways, Kingfisher Airlines, Air Deccan, Paramount Airways and MDLR Airlines.

Despite receiving approvals, Jet Airways has not yet been able to resume operations because of the protracted debt technique it is going through.

According to Mark Martin, the founder and CEO of the air consulting company Martin Consulting, this is the first instance in which an Indian-based aircraft has collapsed as a result of an issue with component supply.

According to Go First, the airline had a steady stream of fantastic flights up until 2020, when the issue of serial engine failures began to affect it.

According to the company’s bankruptcy filing, the pandemic, which affected air travel, already exacerbated the decline in its financial performance.

Due to a lack of rental payments, some of Go First’s leased aircraft have been repossessed by rent business. Fuel marketing companies had looked for an immediate payment design, and as revenues decreased, they were having trouble making every fuel payments.

Jet Airways

shabby picture

The firm’s operations stalled despite constant investments from the Wadia Group( 32 billion rupees in three years ) and a government emergency credit line established to assist businesses in coping with the pandemic.

The decline of Go First highlights the fierce competition in the nation’s airline industry, which has experienced one of the most robust air traffic recoveries since the pandemic.

In the first three months of 2023, domestic airlines transported more than 37.5 million passengers, an increase of 51.7 % from the previous year.

India’s private air traffic is anticipated to reach 350 million customers by 2030, according to the CAPA Centre for Aviation.

Competitors like IndiGo, Air India, SpiceJet, and new competitors like Akasa Air may benefit from the Go Air problems by gaining a larger market share.

Clients, however, didn’t enjoy themselves as much. According to Mr. Martin, prices on Go First’s roads are anticipated to increase significantly over the next three to four months by between 50 and 60 percent.

More than 50 aircraft may be grounded if Go Really shuts down. There are straps on many flights as well. Existing carriers do not even have the capacity to meet the need, he claims, which is quite high.

IndiGo Flight is taking off at Netaji Subhash Chandra Bose International Airport in Kolkata on April 4, 2023.

shabby picture

According to experts, the business may also face problems with the supply chain for engines and aircraft.

The Pratt and Whitney motor bug has also had an impact on IndiGo, the nation’s largest flight by markets share.

60 plane have been grounded between IndiGo and Go First due to a lack of spare parts. However, IndiGo is in a better position thanks to its more than 250 plane ship, many of which have alternative motors.

SpiceJet has been experiencing financial hardship and suffering significant costs each quarter. The airport controller has been closely monitoring the unusually high number of snags that have plagued it over the past year.

However, according to experts, the American air market’s overall growing drama is still alive and will primarily be driven by two or three competitors.

Air India and Vistara, the nation’s further and third-largest companies, announced their intention to combine in November. Air India additionally set a record for the world in February by ordering 470 plane from US-based Boeing and European Airbus.

BBC News India is now on YouTube. Click here to subscribe and watch our documentaries, explainers and features.

Presentational grey line

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PLA buzzes Taiwan as US arms makers eye the island

The People’s Liberation Army (PLA) has deployed at least 57 warplanes, 19 naval vessels and a military drone to the Taiwan Strait in a fresh eruption of anger over reports the United States is seeking to produce weapons on Taiwan.

Taiwan’s Ministry of National Defense said that, in the three-day period leading up to Thursday morning, 19 Chinese warplanes had flown across the Taiwan Strait median line. The ministry is closely monitoring the actions of the Chinese army, it said, and will announce at 6 am Friday Taiwan-time an updated count of the sorties involved.

The incidents happened as 25 US defense contractors attended the Taiwan-US Defense Industry Forum in Taipei on Wednesday morning.

Steven Rudder, a retired United States Marine lieutenant general, said during the forum that he and the group of American defense contractors “have been on a mission to have a shared vision of a free, open, resilient, and inclusive relationship not only between the US and Taiwan, but also for the region.”

Steven Rudder, a retired United States Marine lieutenant general, gives a speech at the Taiwan-US Defense Industry Forum. Photo: Central News Agency

“Some US defense contractors are considering including Taiwan in their supply chains,” said Julian Kuo, a Taiwanese political scientist and a former member of the Legislative Yuan. “Although it may not involve any transfer of high technology, it is possible that Taiwanese firms will produce ammunition for US firms.”

Kuo said that, with Japan planning to add more than a hundred fuel and munitions depots on the Ryukyu Islands, the US may also establish tens of arms factories in Taiwan. He said such a plan is necessary because it will be difficult to transport ammunition from the Philippines to Taiwan once a war breaks out in the Taiwan Strait.  

He said Taiwanese firms lack the experience of designing weapons but they are capable of producing parts for US weapon makers.

On Wednesday, the China Daily, an English newspaper owned by the Central Propaganda Department of the Chinese Communist Party (CCP), published an editorial titled, “US ups the ante in dirty game but should be forewarned.” 

The Chinese version of the editorial was republished by other state media on Thursday with a headline “It is a dangerous step if the US produces weapons in Taiwan.”

“US officials have arranged for a delegation of 25 arms dealers to visit Taiwan from Tuesday apparently to explore the possibility of manufacturing weapons, mainly drones and ammunition, on the island, and ostensibly to support its secessionist-minded leader Tsai Ing-wen’s pro-independence agenda,” writes the author of the article.

“By constantly supplying weapons to Ukraine, the US has failed to deliver weapons to Taiwan on schedule,” he says. “By manufacturing weapons in Taiwan, the US arms dealers as well as the US administration can bypass a lot of problems to sell arms to the island.”

He says the US has crossed a line and that its moves pose a grave challenge to China’s sovereignty and territorial integrity. By allowing the US arms dealer delegation to visit Taiwan, the Biden administration is “playing with fire” and will ultimately burn itself, he says further.

He adds that the nasty American behavior could change cross-Strait relations or Sino-US ties forever.

Military drones

In March 2019, Taiwan ordered four MQ-9B SkyGuardian drones from General Atomics Aeronautical Systems (GA-ASI) for about US$600 million. The US State Department approved the deal in November 2020.

MQ-9B military drone Photo: General Atomics Aeronautical Systems

The deal may have grown smaller in the interim and the drones in question seem to have been changed from the SkyGuardian to a more specifically maritime-oriented plane. Defense Post reported on Tuesday that the US Air Force had ordered four MQ-9B SeaGuardians for Taiwan but the order’s size was capped at $217.6 million. The manufacturer describes the SeaGuardian model as a “maritime patrol and reconnaissance aircraft.” The GA-ASI will also supply Taipei with two ground control stations, spare parts and other support equipment.

Lee Shih-Chiang, head of the Taiwanese Defence Ministry’s Department of Strategic Planning, said Thursday that the four drones will be completed in 2025 but the following six months of training will be conducted in the US, instead of Taiwan, due to cost concerns.  

Tsao Chin-ping, general officer of Taiwan Air Force, said all the four drones and related equipment will arrive in Taiwan by 2027 and be ready for use six months later.

Taiwan’s Defence Minister Chiu Kuo-cheng said Taiwan ordered 66 units of F-16V fighters from Lockheed Martin in the US but the delivery of the first batch of the jets has been delayed to the third quarter of 2024 from the last quarter of this year as production was affected by the pandemic.

On February 7 this year, Taiwan’s National Chung-Shan Institute of Science and Technology (NCSIST) unveiled a series of domestically made attack drones, including one similar to the American AeroVironment Switchblade 300. The NCSIST said it has partnered with private companies to build prototypes of its drones but it did not name its partners.

Switchblade 300 Photo: AeroVironment

China’s reactions

Following an April 11 Japanese media report that 25 US defense contractors would send their representatives to Taiwan to discuss joint production of drones and ammunition. Taiwanese media reported on April 26 that Lockheed Martin, Raytheon Technologies and AeroVironment would be among the delegates.

“US arms dealers are accustomed to inciting confrontation and conflict and taking advantage of opportunities to make money from wars, and the US government is also accustomed to protecting them,” Zhu Fenglian, a spokesperson of the Taiwan Affairs Office of China’s State Council, said on April 26. 

Zhu said that, over the past six years, the Democratic Progressive Party (DPP) had colluded with the US and recklessly purchased US weapons at high prices for a total of US$22 billion. She said Taiwan compatriots are now tied to the “Taiwan independence” chariot.

She said the DPP is not protecting Taiwan but harming and destroying it.

On the same day, the PLA sent a TB-001 military drone to fly around Taiwan. Taiwan said its Sky Bow anti-ballistic missiles at Chihhang Air Base were placed on full alert with some fighter jets taking off on April 27. On Wednesday of this week, China’s BZK-005 drone was seen flying around Taiwan.

China’s BZK-005 looks like the United States’s MQ-9. Photo: Baidu

Prior to this, China’s Ministry of Commerce said in February that it had added Lockheed Martin Corp and Raytheon Missiles & Defense to its “unreliable entities list” as they sold arms to Taiwan. It ordered the two firms to pay a combined fine of 99 billion yuan (US$14.4 billion) but it was ignored. 

The ministry said last month that it had strengthened its curbs by banning the duo from having any trade with Chinese companies. It claimed that the two firms would suffer from failing to obtain Chinese parts and rare earth.  

Read: Raytheon, Lockheed take a balloon war hit in China

Follow Jeff Pao on Twitter at @jeffpao3

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