{"id":6954,"date":"2025-05-06T00:00:06","date_gmt":"2025-05-06T04:00:06","guid":{"rendered":"https:\/\/www.packagingindustrynews.com\/?p=6954"},"modified":"2025-05-06T00:00:06","modified_gmt":"2025-05-06T04:00:06","slug":"airline-catering-association-warns-of-adverse-consequences-of-proposed-tariffs","status":"publish","type":"post","link":"https:\/\/www.packagingindustrynews.com\/?p=6954","title":{"rendered":"Airline Catering Association Warns of Adverse Consequences of Proposed Tariffs"},"content":{"rendered":"<p> <br \/>\n<br \/><\/p>\n<div>\n<p>The Airline Catering Association (ACA) today expressed deep concern over the Trump Administration\u2019s recently proposed tariff measures targeting key supplies for the inflight catering industry.\u00a0<\/p>\n<p>If enacted, ACA says, the duties would force caterers to pass on significantly higher costs to airlines\u2014further straining air transport at a time when both carriers and travelers are still recovering from pandemic-related challenges.<\/p>\n<p>\u201cInflight catering is the unseen backbone of the passenger experience,\u201d said Fabio Gamba, Managing Director of ACA. \u201cTariffs on food ingredients, <a href=\"https:\/\/www.packagingstrategies.com\/articles\/104866-sea-tac-airport-moves-to-all-reusable-or-compostable-foodservice-materials\" id=\"\">packaging materials<\/a> and specialized equipment will undoubtedly drive up ticket fares and onboard service costs.\u201d<\/p>\n<p>Gamba added that the Trump Administration\u2019s approach risks undermining consumer confidence in air travel and could lead to a reduction in bookings, which in turn could jeopardize tens of thousands of catering jobs worldwide.\u00a0<\/p>\n<p>ACA says that, if implemented, the proposed tariffs will have direct consequences on sectors that weren\u2019t supposed to be impacted originally and will result in knock-on effects on the whole air transport sector.<\/p>\n<ul>\n<li>\n<strong>Escalating Supply Costs:<\/strong> Imported goods such as specialized aluminum trays, high-grade plastics and gourmet foodstuffs make up 40 percent of typical catering supply budgets. Tariffs of 10\u201325 percent would push these costs up by nearly $200 million industry-wide in the first year alone.\u00a0<\/li>\n<li>\n<strong>Higher Fares and Fees: <\/strong>Airlines operate on razor-thin margins. Even a modest catering cost increase of just $1.50 per passenger can translate into a surcharge of up to $5 on ticket prices.\u00a0<\/li>\n<li>\n<strong>Service Reductions &amp; Job Losses: <\/strong>To absorb price shocks, some caterers will be forced to streamline menus, cut staff or consolidate kitchens\u2014degrading onboard service and community employment. \u00a0<\/li>\n<\/ul>\n<p>\u201cRather than safeguarding American industry, these tariffs threaten to cripple one of the fastest-growing segments of our travel economy,\u201d added Gamba. \u201cWe urge the administration to engage with stakeholders in a constructive dialogue before moving forward. Our doors are open\u2014let us pursue smarter, targeted solutions that strengthen U.S. competitiveness without penalizing travelers or carriers.\u201d<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.packagingstrategies.com\/articles\/105639-airline-catering-association-warns-of-adverse-consequences-of-proposed-tariffs\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Airline Catering Association (ACA) today expressed deep concern over the Trump Administration\u2019s recently proposed tariff measures targeting key supplies for the inflight catering industry.\u00a0 If enacted, ACA says, the duties would force caterers to pass on significantly higher costs to airlines\u2014further straining air transport at a time when both carriers and travelers are still [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":6955,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[165],"tags":[36,1719],"class_list":["post-6954","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-packaging-news","tag-supply-chain","tag-tariffs"],"_links":{"self":[{"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/posts\/6954","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6954"}],"version-history":[{"count":0,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/posts\/6954\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=\/wp\/v2\/media\/6955"}],"wp:attachment":[{"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6954"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6954"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.packagingindustrynews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6954"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}