Delta Air Lines and American Airlines on Friday said they are suspending their already reduced service to mainland China as the rapid spread of coronavirus hurts demand to the country.
American said it would immediately suspend its service to mainland China through March 27. American flies to China from Dallas/Fort Worth International Airport and Los Angeles International Airport, but the carrier will continue to fly to Hong Kong a spokesman said.
Delta said it would halt China service starting Feb. 6 and last through April 30, but it will continue to operate the service until then to “ensure customers looking to exit China have options to do so.”
United is likely to follow suit with its own service cuts.
The State Department has advised against travel to China, and has permitted non-emergency employees at its diplomatic offices there to leave.
Stocks plunged on Friday as concerns over the increasing impact of the corona virus, with airline stocks down more sharply than the broader market. In late morning trade, Delta was off 2.3%, United, which has the most service of the U.S. carriers, was down 3%. American shares were trading 3.3% lower.
The increasing isolation of China in the business world is echoed in the Trump administration’s actions and rhetoric. The president himself has characterized the outbreak as largely a Chinese problem that is “under control” in the United States. Commerce Secretary Wilbur Ross, meanwhile, said this week that the coronavirus could actually be positive for American manufacturing and jobs as companies reevaluate their supply chains.
Some airline employees say it is easier if there is an outright ban on China travel from the U.S. government because it provides greater clarity and makes planning easier compared with frequently changing schedules according to new warnings.
Dozens of carriers around the world including United, Cathay Pacific, British Airways and others have slashed or suspended service to China because of the outbreak. Delta was the first in the U.S. to suspend service altogether. Large companies spanning industries from technology to packaged food have suspended business trips to the country because of coronavirus, driving down demand for flights to China.
On Thursday, the union that represents American Airlines’ pilots said it filed a lawsuit to force the company to stop its already-reduced China flights.
-CNBC’s Michael Calia and Phil LeBeau contributed to this report.
