What's Happening?
Vienna Airport is anticipating a decrease in passenger numbers for 2026, following capacity reductions by low-cost carriers Ryanair and Wizz Air. After achieving a record 32.6 million passengers in 2025, the airport now forecasts around 30 million passengers for the upcoming
year. This decline is attributed to several factors, including the reduction of Ryanair's Vienna-based fleet from 19 to 14 aircraft and Wizz Air's decision to close its Vienna base, relocating its aircraft to neighboring countries. Additionally, Austrian Airlines, a major customer, is phasing out its Embraer E195LR regional fleet and adding new Airbus A320neo aircraft. The airport faces competition from other Lufthansa system hubs, such as Munich and Zurich, and is challenged by high location costs driven by Austria's aviation tax. Despite these challenges, Vienna Airport expects to maintain a net profit of €210 million for 2026, similar to 2025, due to cost-cutting measures.
Why It's Important?
The projected decline in passenger numbers at Vienna Airport highlights the competitive pressures and economic challenges faced by European airports. The capacity reductions by Ryanair and Wizz Air reflect broader trends in the aviation industry, where airlines are optimizing routes and reducing costs in response to high taxes and fees. This situation underscores the impact of government policies, such as Austria's aviation tax, on airline operations and airport competitiveness. The shift of capacity to countries with lower taxes, like Slovakia and Hungary, could influence regional air travel dynamics and economic activity. For Vienna Airport, maintaining profitability amid declining passenger numbers will require strategic adjustments and potential policy changes to remain competitive.
What's Next?
Vienna Airport's management is advocating for the reduction or abolition of Austria's aviation tax to enhance competitiveness. The airport has already reduced its fees by up to 4.6% to attract more international traffic. The ongoing capacity shifts by Ryanair and Wizz Air to nearby airports without aviation taxes may prompt further discussions on policy adjustments. Additionally, the airport's financial outlook depends on the absence of geopolitical disruptions or major traffic restrictions. Stakeholders, including airlines and government officials, may need to collaborate on strategies to address the economic pressures and ensure sustainable growth for Vienna Airport.
