Is This South Asian Airline Quietly Leading a Global Lithium Battery Cargo Revolution?
Abhishek Nayar
10 May 2025

In an electrifying move that’s turning heads across the global cargo landscape, SriLankan Cargo, the air freight arm of SriLankan Airlines, has become South Asia’s first airline cargo division to earn the CEIV Lithium Batteries Certification from the International Air Transport Association (IATA). This isn’t just a shiny badge—this is a mark of operational supremacy in handling some of the most sensitive cargo the modern world depends on: lithium and sodium-ion batteries.
The certification, officially known as the Center of Excellence for Independent Validators – Lithium Batteries (CEIV Li-Batt), is no walk in the park. It’s a rigorous and deep-dive audit that reviews quality and safety systems, personnel training, infrastructure, customer processes, and much more. And SriLankan Cargo? Passed with flying colors.
What’s the Big Deal About Lithium Batteries Anyway?
From the phone in your hand to the drone delivering your coffee—lithium and sodium-ion batteries power the modern world. They're in power tools, e-bikes, laptops, travel gadgets, RC toys, and even life-saving medical devices. But they’re also volatile. Mishandling during transport can cause overheating, fires, or worse.
That’s why IATA introduced the CEIV Lithium Batteries program—to standardize and elevate the global air cargo industry's handling of these delicate power sources.
As Brendan Sullivan, IATA’s Global Head of Cargo, put it:
“As global shipments of lithium batteries continue to rise, ensuring their safe and efficient transport is more important than ever... This milestone reinforces SriLankan Cargo’s commitment to excellence.”
Why SriLankan Cargo’s Win Is a Global Moment
The award isn't just a feather in the cap—it’s a passport to global trust. This certification removes major operational barriers that many airlines face when transporting battery-powered products. With this win, SriLankan Cargo becomes part of a small, elite club of carriers and logistics leaders worldwide who meet these tough standards.
According to Chaminda Perera, Head of Cargo at SriLankan Airlines:
“This certification allows us to safely handle lithium and sodium-ion battery shipments… while unlocking new revenue opportunities from the booming e-commerce sector.”
Translation? Fewer restrictions. More routes. Bigger market share.
What This Means for E-Commerce, Exports, and the Island Nation
Here’s where the ripple effects get interesting:
- E-commerce players now have a fully certified, regional cargo partner who can safely and efficiently move battery-powered goods across borders.
- Exporters in Sri Lanka gain a vital edge, as global buyers increasingly demand certified carriers.
- Sri Lanka’s economy could see an uptick in air freight trade, especially in high-value tech and electronics.
And for SriLankan Cargo? It’s a golden opportunity to expand its global footprint while offering a top-tier, safety-assured service to the logistics world.
Beyond Certification: A New Era for SriLankan Cargo
Certification wasn’t the end goal—it’s the new starting line. The process has already improved internal training, technology, and operational alignment. This means quicker turnarounds, safer handling, and elevated trust for customers and partners alike.
More than a regulatory checkbox, the CEIV Lithium Batteries badge signals leadership—a forward-thinking approach in an industry under pressure to evolve rapidly. With lithium battery transport now mission-critical for sectors like consumer tech, defense, renewable energy, and mobility, SriLankan Cargo just leapfrogged many of its regional competitors.
Final Take: Don’t Sleep on SriLankan Cargo
In an era where safe, certified cargo handling defines success in air freight logistics, SriLankan Cargo just planted a bold flag. As industries increasingly rely on lithium and sodium-ion battery-powered products, Sri Lanka is now firmly on the map—not just for tourism, but for technology-driven cargo excellence.
And all this from an island nation quietly making power moves in the skies.
So, what’s next for SriLankan Cargo? If they play their cards right—more global partnerships, bigger market share, and a solid foothold in the future of freight.
Would you trust your battery-powered cargo to anyone less than world-class certified?
Stay powered. Stay certified. Stay ahead.
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Boeing vs. Brussels: Will Jets Bear the Brunt of a Sky?High Trade Showdown?
Abhishek Nayar
09 May 2025

As the world’s two dominant aerospace powers square off yet again, the European Union is poised to retaliate against U.S. tariffs by targeting Boeing jets. With negotiations stalling and July’s tariff?pause deadline looming, both sides risk grounding a booming $150?billion industry in a dispute that could reshape global fleets.
What’s on the Runway?
- U.S. Tariffs on Europe: In April, Washington slapped a 10% tariff on nearly all EU exports (including Airbus aircraft), supplementing existing 25% duties on steel, aluminum, and cars. That levy could double to 20% after July?8 when President Trump’s 90?day suspension expires.
- EU’s Counter?Strike Plan: Brussels plans to add Boeing civil aircraft to a list of roughly $100?billion in U.S. imports that could face retaliatory duties if talks fail. Details are set to be published by the European Commission this Thursday.
Why Boeing Jets? The Logic of Reciprocity
Europe’s goal is “a level playing field” between Boeing and Airbus. By including jets in its counter?measures, the EU aims to mirror U.S. “reciprocal” tariffs and pressure Washington into revoking its levies. Given that Boeing exported over $35?billion in aerospace products to the EU in 2023, the impact could be seismic for its pricing and order book.
Airlines Caught in the Turbulence
- Ryanair’s Ultimatum: Europe’s largest low?cost carrier has warned it may cancel hundreds of Boeing orders or hold the manufacturer financially responsible for any tariff?induced cost increases. Yet legal and contractual hurdles may limit outright cancellations.
- Delta’s Delay Tactic: U.S. carrier Delta Air Lines has threatened to defer deliveries of Europe?built Airbus aircraft if tariffs persist, underscoring how both sides of the Atlantic are vulnerable to higher costs and fleet disruptions.
Industry Voices Call for a Cease?Fire
Unlike the bitter 2020–21 tariff tussle, Boeing and Airbus have publicly aligned in urging a return to duty?free trade.
- Airbus CEO Guillaume Faury appealed for a revival of the 1979 multilateral accord that spared aircraft from tariffs, warning “there could be only losers.”
- Boeing CEO Kelly Ortberg testified before Congress in April, advocating free trade and cautioning against levies that would stifle growth in a post?pandemic travel rebound.
The Negotiation Mile?High Club
EU Trade Commissioner Maroš Šef?ovi?, speaking in Singapore, stressed that talks remain the priority but “not at any cost.” He pledged to unveil “preparatory steps” on rebalancing measures and other options if the U.S. does not retreat on tariffs. Member states will weigh in over a month?long consultation before any duties take effect.
Potential Outcomes: Touchdown or Crash?
- Diplomatic Truce: Both sides agree to roll back tariffs, restoring tariff?free aerospace trade and averting higher ticket prices and delivery delays.
- Escalation: EU levies on Boeing jets take effect in mid?July, provoking U.S. reprisals on additional European sectors (chemicals, semiconductors), potentially igniting a broader trade war.
- Market Realignment: Airlines shift orders toward whichever manufacturer faces lower duties, temporarily distorting competition and supply chains.
Why You Should Care
- Airfares & Routes: Higher aircraft acquisition costs could trickle down to ticket prices or slow network expansions, affecting travelers worldwide.
- Investor Alert: Boeing shares and aerospace supply?chain stocks may see heightened volatility as markets price in tariff risk.
- Geopolitical Signal: How Washington and Brussels resolve this standoff will signal their broader commitment to free trade—or willingness to weaponize tariffs.
The coming weeks will reveal whether transatlantic diplomacy can clear the runway for a negotiated peace, or whether another chapter of tit?for?tat tariffs will leave airlines—and passengers—grounded in uncertainty.
With Inputs from Reuters
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A perfect storm of President Trump’s trade war and creeping economic uncertainty has pummeled U.S. airlines—but budget carriers have taken the hardest hit. In Q1?2025, Southwest, Frontier and JetBlue all saw their operating margins plunge into negative territory, while legacy giants Delta and United managed to hold the line. Budget?air margins tumbled as much as 10?percentage points year?over?year, compared with only modest slippage at full?service carriers—a reversal of the pattern seen in past downturns.
Why Premium Is the New Prime
Full?service airlines are thriving on a boom in premium travel. Delta reports that 41?percent of its passenger revenue now comes from premium cabins—up from 35?percent in 2019—fueling robust margins even as economy fares soften. United’s international network is also insulating it: Q1 pre?tax margin of 3.6?percent—its best first quarter since the pandemic—was driven by long?haul demand and higher yields on fewer seats.
Loyalty Programs: The Hidden Jet Fuel
Behind the scenes, loyalty?credit?card partnerships are pouring billions into full?service coffers. Delta’s payout from American?Express alone in Q1 equaled nearly one?fifth of its passenger revenue, underscoring how “customer loyalty” has become a strategic asset, not just a marketing slogan.
Budget Carriers’ Capacity Cuts and Cost Pressures
With domestic leisure demand softening—especially among lower?income households—budget airlines have slashed capacity to defend yields. JetBlue pulled back 4.3?percent of its ASMs in Q1 and saw an operating loss margin of –8.2?percent, even as it cut CASM by 17.4?percent. Southwest has reversed signature perks like free checked bags in a bid to offset rising expenses, risking the very brand loyalty that once buoyed it through past downturns.
A Tale of Two Strategies
Full?service carriers are executing a two?pronged playbook:
- Lock in high?value customers by expanding premium cabins and international routes.
- Poach budget flyers through targeted fare promotions on economy seats, leveraging superior loyalty benefits.
“Much like Southwest used to emerge stronger through downturns, this time it’s United’s turn, it’s Delta’s turn,” says JPMorgan analyst Jamie?Baker.
Can the Budget Model Bounce Back?
Frontier CEO Barry?Biffle insists the struggles aren’t model?driven but stem from oversupply of seats; he argues that a deeper recession would reverse fortunes as cost?conscious business travelers “trade down”. Yet with Spirit only just emerging from bankruptcy and Frontier profitable in just one of the past five years, the road ahead looks bumpy.
Looking Ahead: Who Will Land Smoothest?
- Full?service outlook: Continued strength in premium and international demand, plus sticky loyalty revenue, should protect margins even if domestic leisure sours. United forecasts higher revenue per available seat mile in all international markets for Q2.
- Budget outlook: With consumer spending weakest among their core demographic, further capacity cuts seem inevitable—but so does pressure on yields. Any rebound may hinge on renewed leisure demand or a broader economic downturn that reshuffles traveler priorities.
Bottom Line
The industry’s next “downturn winner” may no longer be the low?cost pioneer. Instead, airlines with deep pockets, premium cabins, and powerful loyalty ecosystems appear best positioned to glide through turbulence. For budget carriers, the question isn’t just how to cut costs—it’s how to rebuild the value proposition that once made them invincible.
With Inputs from Reuters
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From Spare Parts to Powerhouse: How India is Becoming the Global Cockpit of Aerospace Manufacturing
Jaideep Mirchandani
08 May 2025

In a world still navigating post-pandemic supply chain snarls and industrial bottlenecks, India is fast emerging as the unexpected hero of the global aerospace manufacturing industry. With international giants like Airbus, Rolls-Royce, and Collins Aerospace increasingly sourcing parts from Indian firms, the country is not just participating in the global supply chain—it’s starting to anchor it.
This transformation, once deemed ambitious, is now taking off at full throttle.
Airbus Bets Big on India: $2 Billion by 2030
When Airbus announced in March 2025 that it plans to procure $2 billion worth of components and services from India annually by 2030, it wasn’t just a business decision—it was a statement. Up from the current $1.4 billion, this surge is a direct nod to India's rising manufacturing prowess.
But Airbus isn’t alone. Rolls-Royce, a leader in engine technology, and Collins Aerospace, a systems titan, are also eyeing India as a trusted source for everything from landing gears to motion control systems.
Why India? Quality, Quantity, and Quick Turnarounds
According to Jaideep Mirchandani, Group Chairman of Sky One, the shift toward India is rooted in necessity and strategy. “India is quickly becoming a key source for manufacturing aircraft components... at a time when global players are dealing with part shortages, labour gaps, and supply disruptions,” he says.
What makes India so attractive?
- Cost-effectiveness compared to Europe and North America
- A technically skilled and young workforce
- A growing number of aeronautics firms scaling up production
- The ability to provide quick deliverables in a time-sensitive industry
A Market Ready for Takeoff
According to Grand View Research, India's aerospace parts manufacturing market was valued at $13.6 billion in 2023. But the runway is only getting longer. With a projected CAGR of 6.8% from 2024 to 2030, the industry is poised for explosive growth.
And it’s not just exports. India’s civil aviation sector is booming. Airlines are expanding fleets at breakneck speed, and with more aircraft in the sky comes more demand for maintenance, repair, and overhaul (MRO) services—further boosting the need for locally manufactured parts.
Beyond Assembly: Moving Up the Value Chain
India isn’t just content with assembling parts. As Mirchandani notes, the country is positioning itself to move into design, engineering, and system integration—areas typically dominated by aerospace veterans.
This is supported by a robust talent pipeline, with over 1.5 million engineers graduating annually and government programs like ‘Make in India’ offering incentives and streamlined policies for aerospace and defense.
Domestic Ecosystem on the Rise
While international contracts grab headlines, the true transformation lies in the creation of a self-reliant domestic aviation ecosystem. India's airports are expanding, air travel is becoming increasingly accessible, and indigenous aircraft development programs—such as HAL’s HTT-40 trainer and AMCA stealth fighter—are signaling a new era of homegrown aerospace capabilities.
As MRO services gain traction within India, the demand for locally sourced high-quality parts is also on the rise. This closed-loop development—where India designs, builds, flies, and maintains aircraft domestically—is where the real future lies.
Final Approach: Is India the New Aerospace Capital?
Is India ready to dethrone global manufacturing hubs? Maybe not just yet. But as Mirchandani aptly puts it, “This is the right time to take decisive steps toward becoming a major hub in a critical manufacturing sector.”
The trajectory is clear. India is not merely assembling parts anymore—it’s assembling a future where it could sit in the pilot’s seat of global aerospace innovation.
TL; DR
- Airbus to procure $2B annually from India by 2030
- India supplies major components like fuselage parts, electrical switches, and more
- Market to grow at 6.8% CAGR, reaching new heights by 2030
- Skilled workforce and policy support are fueling this transformation
- India is rising from vendor to visionary in aerospace
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Imagine boarding a flight emblazoned with the letters KD—short, snappy, and charged with promise. That’s exactly what ultra?low?cost start?up Air Kerala has just been allotted as its IATA designator, marking a pivotal leap toward its inaugural service between Kerala and the Gulf. With the coveted two?letter code “KD” in hand, the airline is one step closer to turning the aspirations of millions of expatriate Keralites into reality.
Why “KD” Matters
IATA codes are more than mere abbreviations; they’re the global shorthand that connects reservation systems, baggage tags, and boarding passes.
- Two?letter codes are particularly prized—most carriers must settle for a letter?plus?digit combination.
- Receiving “KD” signals industry recognition and puts Air Kerala in the big?league conversation alongside veterans like Air India (AI) and IndiGo (6E).
“Getting a two?alphabet code is a privilege. We are very honoured with this allocation,”
said Harish Kutty, CEO of Air Keral
What’s in a Name? The “Kerala Dream”
Every code tells a story. To founder and Chairman Afi Ahmed, “KD” stands for Kerala Dream—a nod to the homeland’s lush landscapes and the aspirations of its people. For travellers unfamiliar with God’s Own Country, “KD” might simply read as “Kerala to Dubai” or “Kerala to Doha,” but for the airline’s backers, it encapsulates something far more poetic:
- K for Kerala’s vibrant culture
- D for the diverse destinations awaiting its flyers
Clearing the Final Hurdle: AOC by June
Before “KD” appears on tickets, Air Kerala must secure its Air Operator Certificate (AOC)—the regulatory green light to carry passengers. The airline expects this by end?June, a timeline reaffirmed by both CEO Kutty and Chairman Ahmed. Once certified, “KD” will be officially activated, and the countdown to take?off begins in earnest.
Building the Dream HQ
On April 15, the airline threw open the doors to its brand?new three?floor headquarters in Kochi, strategically located near the Aluva Metro station.
- Inaugurated by Kerala’s Minister of Industries, P. Rajeev, the complex boasts modern training facilities and workspace for 200+ aviation professionals.
- MPs Hibi Eden, Benny Behanan, and MLAs Anwar Sadath and Roji M. John joined the celebrations, underscoring the project’s regional importance
Staffing Up: From Dozens to Hundreds
Air Kerala has already hired 69 employees, with an aggressive growth plan:
- 200 staff by launch
- 1,000 employees by year?end
- Seven aircraft in the fleet by December
Pilots and cabin crew are in training, eager to don the “KD” wings and serve the skies between Kerala and the Gulf.
Tapping into the NRK Goldmine
Non?resident Keralites (NRKs) in the UAE and the wider GCC are a natural market—numbering in the millions, they seek reliable, affordable links home. Air Kerala’s ultra?low?cost model aims squarely at this community by:
- Offering wallet?friendly fares
- Ensuring frequent services on high?demand routes
- Catering to cultural preferences onboard
With “KD,” every NRK ticket is a ticket to the Kerala Dream.
Routes & Fleet: What to Expect
While the inaugural destinations remain under wraps, Gulf?bound short?hauls like Kochi–Dubai and Kochi–Doha are near?certainties. By year?end, the planned fleet of seven aircraft—starting with three ATR turboprops—will open up connections to Bahrain, Kuwait, Oman, Qatar, and Saudi Arabia. This targeted network promises:
- Quick turnarounds
- High frequency
- Budget fares that undercut established carriers
Final Thoughts: A New Chapter for Kerala Aviation
The allocation of “KD” isn’t just an administrative footnote; it’s the spark that ignites Air Kerala’s journey from concept to cockpit. As Afi Ahmed’s Kerala Dream takes flight, travellers can look forward to a fresh challenger in the skies—one built on local pride, Gulf connectivity, and ultra?low?cost innovation. Will “KD” become synonymous with the next great aviation success story from India? All signs point skyward.
With Inputs from Air Kerala
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Cleared for Takeoff: Gol’s $1.375 Billion Lifeline to Escape Chapter 11 by June
Abhishek Nayar
03 May 2025

Brazilian carrier Gol Linhas Aéreas Inteligentes has just secured a critical infusion of capital that could see it emerge from Chapter?11 bankruptcy protection by the end of June 2025. On May?1, 2025—marking roughly 16 months since its initial filing—the São?Paulo–based airline announced a new agreement with an ad hoc group of holders of its 8.00% senior secured notes due in June?2026. That accord will inject an additional?$125?million into Gol’s restructuring efforts, bringing total exit financing commitments to at least?$1.375?billion.
The Anatomy of the Deal
Under the terms disclosed in a U.S. regulatory filing, the noteholders in this majority group have agreed to purchase the new securities—amortizing notes tied to Gol’s existing collateral package—thereby strengthening the company’s liquidity ahead of its planned Chapter?11 exit. Crucially, these new notes are non?convertible, meaning holders won’t gain equity upside; this structure helps shield existing shareholders from further dilution while satisfying creditor recovery thresholds.
Meanwhile, creditors outside the principal investing coalition will be able to subscribe for up to?$100?million of similar new?issue debt, with an additional?$50?million tranche reserved for broader participation. These provisions aim to balance recovery prospects across stakeholder classes, enhancing the likelihood that the overall restructuring plan will clear the necessary voting thresholds at upcoming confirmation hearings.
Why Creditors Are Signing On
Gol’s noteholders have navigated a roller?coaster over the past year. The airline’s capital structure was heavily strained by pandemic?era travel collapses, delivery delays from Boeing, and rising fuel costs. Under Chapter?11, Gol secured a $1?billion debtor?in?possession (DIP) facility in early?2024, negotiated lessor stipulations by September, and sealed a major tax and Boeing settlement by November—steps that undergirded its five?year strategic plan unveiled in January?2025. By committing fresh exit financing now, secured creditors can lock in anticipated recoveries—estimated at roughly 40% on the 2026 notes—rather than risk diminished recoveries in a protracted contest or liquidation scenario.
Revised Recovery Plan: What’s New
With this deal in hand, Gol will file amendments to its Chapter?11 disclosure statement, reflecting the updated financing terms. The revised Plan of Reorganization is expected to:
- Formalize new debt issuances for both core and external creditor groups;
- Outline recovery percentages by class, with senior secured creditors slated for highest recoveries and general unsecured creditors for modest recoveries;
- Detail governance adjustments, such as creditor committee representation and amended voting procedures to expedite confirmation.
These changes are designed to reassure the U.S. Bankruptcy Court and Gol’s diverse creditor base that value maximization is achievable under the adjusted framework.
A Five?Year Flight Plan
Beyond the immediate financing, Gol’s revitalized strategy targets a leaner, more profitable operation. Key pillars of its five?year plan include:
- Fleet Optimization – Expanding from 137 to 167 Boeing?737s, boosting unit economics through younger, more fuel?efficient aircraft.
- Network Rebuild – Restoring pre?pandemic domestic capacity by 2026, while strategically growing international routes in Latin America and beyond.
- Leverage Reduction – Driving net debt-to-EBITDA from an exit multiple of 6.1x down to under 2x by 2029.
- Margin Enhancement – Targeting EBITDA margins north of 23% through cost controls, digital revenue opportunities, and loyalty program enhancements.
What Passengers Can Expect
For travelers, Gol’s emergence from bankruptcy should translate into stabilized schedules, refreshed cabin products, and renewed emphasis on on?time performance. The carrier’s loyalty program (“Smiles”) is also slated for enhancements, including partnerships that could broaden redemption options across airlines and lifestyle brands. Improved cash reserves and lower financial stress may enable Gol to accelerate cabin refurbishments and customer?experience investments that were deferred under DIP constraints.
The Final Climb Toward Confirmation
Gol’s confirmation hearing for its Chapter?11 plan is scheduled for mid?June, with the emergence target set for late June?2025—coinciding with Brazil’s busy winter travel season. The support of the ad hoc creditor group substantially de?risks the vote tally, pushing the airline closer to a successful exit. Once the U.S. Bankruptcy Court signs off, Gol will refinance its DIP facility, repay exit?financing tranches, and transition into a streamlined capital structure poised for growth.
With Inputs from Reuters
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