Visit National Federation of Aviation and its Trades (FNAM) warns of the inexorable decline of the French airline industry, citing the damaging impact of rising taxes. In 2024, despite a recovery close to pre-Covid levels with 178.4 million passengers, the sector will lose one point of market share every year. The FNAM and the Union des Aéroports Français are calling for an urgent review of aviation policy in order to restore the competitiveness of the sector. competitiveness and limit a potentially catastrophic tax surcharge, threatening to exacerbate this worrying decline.
FNAM's alarming report
Visit National Federation of Aviation and its Trades (FNAM) recently expressed its deep concern
concerns about the current state of the French airline industry. According to the organization, air transport
in France is facing inexorable declinea state of affairs that reveals the permanent fragility of this
crucial sector. With market share slipping every year, the sector seems to be struggling to regain its former stability.
Reasons for a predicted decline
A number of factors are cited to explain this alarming trend. One of them is the ever-increasing weight
taxation, which weighs heavily on air transport. The FNAM asserts that these recurring tax increases
are undermining the competitiveness of the French flag. According to Pascal de Izaguirre, it is imperative to carry out an in-depth review of national tax policy in order to ensure
a sustainable future for the French airline industry.
Global trends and France's lag
Internationally, the aeronautics industry continues to develop at an ever-increasing pace, exploring
innovations such as sustainable fuels
to reinvent modern transport. France, for its part, is lagging behind, while the major companies in other countries
quickly adapt their strategies. This discrepancy accentuates local difficulties and erodes the French pavilion in the face of foreign competition.
The dangers of increased taxation
An escalation in tax levies threatens not only to curbing economic momentum of the sector, but also to discourage airlines from maintaining
their presence in France. With additional charges envisaged, the airline industry could be faced with a tax amounting to nearly a billion euros,
announces the FNAM. This situation is often decried as a potentially implacable disaster for the future of French aviation.
The reaction of industry players
Aware of the imminent perils, various industry players, including the Union des Aéroports Français (UAF), have joined forces with FNAM to
strongly condemned the announced tax hikes, underlining the urgent need to rethink France's approach to taxation. The organization calls for a
urgent dialogue with the authorities to relaunch the sector on new foundations. See the UAF and FNAM article.
The outlook for French air transport
While companies like Volotea introduce new
routes to stimulate regional traffic, others find themselves constrained by regulatory obstacles that make it difficult to turn around the business quickly.
French air transport. This set of challenges reinforces the FNAM's call for a clear, coordinated vision to restore French air transport's competitiveness.
France's historic place in world aviation.
Comparison of Problems and Solutions for the French Airline Sector
| Problems | Possible solutions |
| Tax increases | Reducing taxes to boost competitiveness |
| Loss of market share | Innovate to regain lost market share |
| Inexorable decline of the French flag | A new direction for French aeronautical policy |
| Passenger levels similar to pre-Covid | Improving the customer experience to attract more travelers |
| 1 billion euro tax increase | Negotiate a tax moratorium with the government |
| Lack of strategic vision | Establish a long-term strategic plan |
| Structural fragility of the sector | Strengthening the sector's capital and resilience |
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