Walter Cho, CEO of Korean Air, has told the media that his company is concerned about the current trade war. Cho admitted that Korean Air’s success greatly depends on a healthy economic relationship with both China and the U.S.
“Korea’s economy is in between the US and China, and we depend on both economies as well, quite a bit,” Cho said.
Cho stated that the airline industry has already experienced a significant downturn since 2024. “We’re already seeing the downturn in passenger volume between trans-Pacific (routes) and also to Europe. It’s subtle, maybe 5% compared to last year, but it has some significant impact to our business.”
Cho stated that if lower passenger numbers persist throughout 2025, Korean Air could face a revenue loss ranging from $50 million to $100 million annually.
Moving forward Cho says his company is treading carefully, “We are bracing for the impact we’re looking at. I don’t expect this year to be great for the Korean economy, and we are looking at our costs as we speak. But I hope, I hope I’m wrong.”
By CEO NA Editorial Staff