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Russian Aviation Crushed: Flight Cancelations, Airspace Bons, Canceled Leases, Terminated Partnerships
Russian Aviation Crushed: Flight Cancelations, Airspace Bons, Canceled Leases, Terminated Partnerships 2022-03-27 15:22:09

After the invasion of Ukraine sanctions stop Aeroflot flying anywhere outside Russia except Belarus. The cancellation also applies to its subsidiaries Aurora and Rossiya.

The European Union gave companies until March 28th 2022 to end any rental contracts with Russia. The order means lessors need to get their planes back in order to lease them out again. Most of the aircraft leased to Russian carriers are Boeing or Airbus planes. Of the 861 aircraft (332 Boeing) in the fleets of Russian airlines, about nearly 600 belong to leasing companies, most of them from Ireland, according to Cirum, an aviation data company. Those planes are worth an estimated $12 billion. AerCap, which is based in Dublin, is the most exposed, with an estimated 142 leased aircraft in Russia, according to IBA. The company is the world’s largest leasing company for commercial planes and its customers include Aeroflot and Rossiya.
Separatly, Russia’s aviation authority, Rosaviatsiya, recommended that Russian airlines with planes registered in foreign jurisdictions suspend all flights abroad from 8 March because of fears that they could be seized by foreign governments. The suspension effectively leaves a handful of Western companies with no way of recovering hundreds of planes leased to Russian carriers. 

Aeroflot then said it was canceling its international flights because of “new additional circumstances impeding the operation of flights.” 

It's worth noting that  before Russian troops crossed the border into Ukraine Aeroflot used to fly to 146 cities in 52 countries around the world. Aeroflot has halved its international route numbers since the invasion began, prompted by the EU, the U.S., and Canada closing their airspace to Russian planes, UK announced a ban on the ability of the Aeroflot airline to operate in the UK. Further, some 36 countries have now banned the use of their airspace by Russian registered or related aircraft. Russia has reciprocated those bans. Most recently, Boeing has also reportedly suspended parts, maintenance, and technical support services for Russian airlines (presumably in line with those sanctions).

Russians can still fly foreign airlines to a number of destinations in the Middle East and Central Asia, including Armenia and Uzbekistan. Yet no airline—Russian or foreign—now flies between Russia and China connected in the wake of Western sanctions.

Beijing’s strict controls on international flights may be a cause of the lack of flights. The country operates a “Five One” policy, in which local airlines can run only one international flight per week to any country, and foreign airlines can operate only one flight to China per week. According to China's aviation regulator China will allow 644 scheduled international passenger flights to and from the country per week in the summer season.