Chinese Airlines – August 2026: Moderate Demand Growth; Higher PLF amid Pricing Competition

August 2026 domestic demand growth remained resilient, broadly sustaining July's recovery. Domestic RPK for the Big Three increased 3.4-10.3% YoY in August, broadly holding the July recovery of 4.4-9.6%. SPA remained the domestic leader at +12.4%, but its growth lead over CA narrowed further to 2.1ppts from 3.1ppts in July, amid elevated peak season PLFs. On the international side, RPK increased 9.2-15.4% YoY for the Big Three; CA remained the strongest despite moderating from +17.4% in July, with international PLF improving 5.6ppt. SPA's international RPK fell 4.0% YoY, likely from Japanese routes' impact, while PLF was largely flat on a high base. For cargo, international RFTK increased 15.3% YoY for CA and 8.8% for CEA, versus 2.9% for CSA; international FLF improved 1.8ppt for CEA and was broadly flat for CSA, while CA fell 2.1ppt amid aggressive capacity deployment. Peak season PLFs strengthened MoM across all four airlines;