Transatlantic Market Grows by 55% Over 15 Years: Insights from OAG
The transatlantic air market has seen significant expansion, operating with 49 airlines for the upcoming Summer 2025.
Overview
The transatlantic air market, recognized as the fifth-largest international air market globally, has experienced a 55% increase over the last 15 years. This growth is attributed to high passenger demand and the operations of 49 airlines projected for Summer 2025.
Market Composition
Among the leading players, US carriers hold the largest share of transatlantic capacity at 34%, down from 40% in 2010. In comparison, Canadian carriers account for 16%, while UK and German airlines each share 14%. French airlines contribute 11% to the capacity.
Challenges for New Entrants
While the transatlantic market is appealing due to robust passenger traffic, new entrants face challenges including:
- High operational costs.
- Slot availability limitations.
- The strong influence of airline alliances.
- Seasonality in demand.
Examples of failed attempts include Norwegian, which ceased its long-haul operations in January 2021 due to obstacles such as fuel expenses and intense competition from established carriers.
Dominating Carriers
As of Summer 2025, both United Airlines and Delta Air Lines lead the market with a 12% share each, showing the competitive yet fragmented landscape governed by strategic alliances. Major factors for incumbents’ success include:
- Membership in global alliances that help coordinate schedules and capacity.
- Loyalty programs that retain frequent flyers.
- Control of key take-off/landing slots enhancing schedule flexibility.
Flight Frequency and Routes
Among the most frequently traveled routes, the JFK-LHR route is noted as the world’s busiest long-haul international route, offering 44 daily flights. British Airways operates 8 returns daily, with other key players being Virgin Atlantic and American Airlines. Overall, British Airways leads with 23 daily return flights across major routes.
Conclusion
Despite its profitability, entering the transatlantic air market proves challenging, limited mainly by alliance dominance and resource allocation. Future prospects appear to favor established carriers unless new entrants find effective niches or underserved destinations.
Source: OAG
