Ryanair Morocco expansion Europe taxes aviation strategy
Ryanair is redeploying part of its aircraft to Morocco and other markets deemed less costly. The airline is simultaneously reducing its offer in several European countries and regions where taxes and airport fees remain high.
The Irish airline is planning limited traffic growth during fiscal year 2027. Unable to significantly increase its capacity, it is choosing to concentrate its aircraft on markets that reduce air taxes and offer favorable conditions for opening new routes.
On Bladi.net : Ryanair Shifts Growth to Morocco Amid EU Tax Frustration
Morocco is among the countries favored by Ryanair, alongside Albania, Italy, Slovakia, and Sweden. The airline has notably just opened a new base in Rabat, one of three inaugurated this summer with Tirana and Trapani.
Morocco gains flights lost elsewhere
This expansion comes at the expense of markets considered too expensive. Ryanair announces it will withdraw flights and traffic from Austria, Germany, Dublin, and several Spanish regions due to the level of taxes and airport costs.
"Our limited capacity is being redeployed to states, regions, and airports that reduce air taxes and lower fees to encourage growth," the airline explains in its quarterly results presentation.
This decision comes as Ryanair’s net profit fell 34% in the first quarter of its fiscal year, to 538 million euros. Traffic nevertheless increased 6%, to 61.3 million passengers, but average fares declined proportionally.
On Bladi.net : Ryanair Slashes European Routes, Pivots to Morocco Amid Soaring Airport Fees
Rising fuel costs also weighed on accounts. Operating costs increased 11%, while the price of kerosene not hedged by the airline more than doubled during the quarter. Despite this context, Ryanair maintains its objective of transporting 216 million passengers over the entire fiscal year.
