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Back in 2019, domestic and international airlines were roughly evenly split in China’s vast international air travel market. Now, all that has changed.

On August 27, Bloomberg reported that Chinese airlines have surpassed their competitors and captured a majority of flights to China.

China Southern Airlines, China Eastern Airlines and Air China quickly shook off the impact of the epidemic and rebuilt their overseas networks. According to scheduled capacity tracked by Cirium, Chinese airlines' international capacity this year has recovered to 89% of 2019 levels. Chinese airlines are expected to offer 63% of seats on flights to mainland China this year, an increase of about 10 percentage points from 2019.

Meanwhile, foreign airlines are finding it harder to make money in China’s $27 billion overseas travel market. British Airways, Qantas and Virgin Atlantic have exited routes that are financially unsustainable, while United Airlines has called its reduction in China business the “new normal.”

European and U.S. airlines face structural barriers that make Chinese routes less attractive.Since the Russia-Ukraine conflict in February 2022, Russian airspace has been a restricted area for airlines from the United States and its Western allies, while Chinese airlines can use Russian airspace, making flights shorter.

Air China plane prepares to land at London Heathrow Airport

Last November, British Airways' round-trip economy class ticket from London to Shanghai cost $843. The departure flight alone was more than an hour longer than that of China Eastern Airlines, whose ticket price was $682.