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  • Commercial aviation helps drive more than 10M American jobs and 5 cents of every dollar of U.S. GDP

  • Commercial aviation drives more than $1 trillion per year in economic activity

  • U.S. airlines move 50,000 tons of cargo per day

  • U.S. exports by air are 130 times the value of exports transported by sea

  • For every 100 airline jobs, some 360 are supported outside of the airline industry

  • Federal taxes constitute $61 – or 20% – of the price of a typical $300 domestic round-trip ticket

  • As of early 2011, FAA projecting 1 billion passengers to be enplaned in FY 2021

  • From 2000-2010, U.S. airlines carried 15% more traffic while using 2.1 billion fewer gallons of fuel

  • NextGen could reduce annual fuel consumption by 1.6 billion gallons

  • Domestically, airlines drive 5% of economic activity but account for 2% of man-made GHG emissions

  • From 2000-2010, reduced greenhouse gas emissions by 10% while transporting 15% more passengers and cargo

  • From 1975-2010, the number of U.S. residents exposed to significant noise levels fell 95%

  • Commercial air travel is the safest form of intercity transportation in the United States

  • In the most recent decade, scheduled air service on U.S. airlines was 7 times safer than in the 1970s

  • From 2000-2010, U.S. airlines improved the on-time arrival rate from 72.6% to 79.8%

  • From 2000-2010, U.S. airlines halved the flight cancellation rate from 3.30% to 1.76%

  • Airfares are a bargain: From 2000-2010, U.S. CPI rose 27%, while average domestic fare (excl. taxes) rose just 1%

  • Adjusted for inflation, the average roundtrip domestic fare in 2010 fell 21% (from $398 to $316) compared to 2000

  • 2007 domestic flight delays cost the United States approximately $31 billion

Economics - Taxes & Fees

Screen with economic data trend lines

PubZone1
Along with traditional income and payroll taxes, airlines and their customers (passengers and shippers) pay many special taxes and fees to a variety of authorities, both at home and abroad, including taxes and fees for homeland security, environmental protection, disease control, infrastructure enhancement, airport and airway operations and maintenance and agency financing. This section includes information about U.S. aviation excise taxes and fees, the Airport and Airway Trust Fund and passenger facility charges. 
Taxes and Fees
A vibrant U.S. airline industry is critical to U.S. economic growth and global competitiveness. Over the years, the government has imposed a growing burden of taxes and fees on aviation, travelers and shippers.
 
Government-Imposed Taxes on Air Transportation
Airlines and their customers pay many special taxes to a variety of government authorities
 
Airport and Airway Trust Fund (AATF)
Established 1970 “to provide for the expansion and improvement of the nation’s airport and airway system.”
 
Passenger Facility Charges (PFC)
Fees levied on airline tickets by U.S. airports to fund federally approved capital-improvement projects
 
A4A Presentation: Industry Review and Outlook
A4A charts and graphs review recent trends and current economic forces shaping the U.S. airline industry

 

U.S. Airlines Set New Records for On-Time Performance, Customer Service (2/14/2012)
A4A today reported the best performance ever in 2011 for three key customer-service metrics, including the best on-time arrival rate for any fourth quarter in history.
A4A Says White House Budget Proposal Would Offset Deficit on Backs of Airline Customers (2/13/2012)
A4A said the White House budget proposal to offset the deficit on the backs of airline customers by adding even more tax increases, would impact demand for air travel and ultimately cost jobs and service to communities.
A4A Forecasts Decrease in Winter Holiday Air Travelers (12/20/2011)
A4A today estimated that the upcoming holiday travel period will see fewer fliers than a year ago due to lingering economic concerns; however, flights are still expected to be full, as airlines have adjusted capacity in response to rising cost pressures.
A4A Monthly Passenger Yield (Fares per Mile) (12/8/2011)
Average price paid to fly one mile, excluding taxes, for ATA sample group
A4A Presentation: Industry Review and Outlook (12/6/2011)
ATA charts and graphs review recent trends and current economic forces shaping the U.S. airline industry
Taxes and Fees (12/1/2011)
A vibrant U.S. airline industry is critical to U.S. economic growth and global competitiveness. Over the years, the government has imposed a growing burden of taxes and fees on aviation, travelers and shippers.
Airline Handbook Chapter 8: Airports (11/6/2011)
Airline Handbook Chapter 8: Airports
Airline Handbook Chapter 4: Airline Economics (11/6/2011)
Airline Handbook Chapter 4: Airline Economics
Airline Handbook Chapter 3: Airline Certification and Structure (11/6/2011)
Airline Handbook Chapter 3: Airline Certification and Structure
Airline Handbook Chapter 2: Economic Deregulation (11/6/2011)
Airline Handbook Chapter 2: Economic Deregulation
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U.S. airlines are indispensable facilitators of the U.S. economy.

Related Links
Airline Handbook
Aviation: The Real WWW
BTS Data Release Calendar
BTS Traffic Tool
FAA Admin. Fact Book
FAA Forecasts
Stop Air Tax Now
MIT Airline Data Project
What the Experts Say:
“We have to play what-ifs on this [DHS] committee. We have to find the money to fund your department. Now if there's a $117 million shortfall because we don't enact this [proposed tripling of the passenger security] tax, which I don't think we will, where do you propose to cut that amount of money? We need to know.”
Rep. Hal Rogers (R-KY), Appropriations Committee , House of Representatives

​Rogers

02/15/2012
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