Air France-KLM at the Paris Air Forum 2026: Competitiveness, Consolidation and Decarbonization on the Agenda

As part of the program, leaders from across the Air France-KLM Group, including Group CEO Benjamin Smith, Air France CEO Anne Rigail, and Transavia France CEO Olivier Mazzuchelli, were invited to exchange with other leaders from the sector and share valuable insights with attendees. 

Benjamin Smith: "We aim to create a European global champion, connecting the entire continent, from North to South to the rest of the world." 

During a keynote address, Benjamin Smith, CEO of Air France-KLM, outlined the Group's strategic direction in the current environment. He reaffirmed the Group's ambition to play a leading role in European aviation consolidation, with a focus on progressing toward a majority stake in SAS and preparing a binding offer for TAP Air Portugal. He stressed the importance of creating a European global champion capable of connecting the continent to the rest of the world. On fleet and product, he confirmed that the Group's premiumization strategy remains firmly on track. By 2028, the share of premium seats is set to reach 24% at Air France and 21% at KLM. He also called on European institutions to urgently address the competitive distortions created by regulations such as the EU Emissions Trading System (ETS) sand Sustainable Aviation Fuel (SAF) mandates, which place European carriers at a structural disadvantage compared to their international competitors. 

Anne Rigail: “Managing crises is part of our daily lives. We are almost systematically one of the first sectors impacted by any geopolitical, health or weather event." 

Anne Rigail, CEO of Air France, participated in a panel discussion alongside representatives from Thalès, Groupe ADP, and the French Civil Aviation Authority (DGAC), on the challenges posed by the current geopolitical environment. She described how Air France responded swiftly to the recent conflict in the Middle East, immediately suspending flights to Dubai, Riyadh, Tel Aviv and Beirut, and redeploying aircraft to meet surging demand on Asian routes, a level of agility she attributed directly to lessons learned during the Covid crisis. On fuel, she noted that while the Group's hedging policy, covering 66% of consumption in 2026, provided a financial buffer in the first quarter, the full impact of higher kerosene prices will be felt from the second quarter onwards, with an estimated additional cost of $2.4 billion for the Air France-KLM Group this year. She also addressed the longer-term structural question of European competitiveness, calling for fair competition rules and a regulatory framework that acknowledges the international dimension of the aviation industry, while confirming that decarbonization efforts, including fleet renewal and SAF investment, will remain a priority for the Group. 

Olivier Mazzucchelli: "A displacement of traffic rather than effective decarbonization; that is the risk if the playing field remains uneven." 

Olivier Mazzucchelli, CEO of Transavia France, spoke on the growing regulatory and fiscal burden weighing on French and European carriers. During a roundtable discussion, he highlighted the cumulative impact of overlapping environmental frameworks, including EU ETS, ReFuelEU SAF mandates and CORSIA, noting that for Transavia, the cost of SAF compliance is expected to increase sixfold by 2030, despite the fact that industrial SAF production capacity has been slow to ramp up. He warned that a potential extension of EU ETS to international flights could severely undermine price competitiveness on routes served by non-European carriers not subject to equivalent constraints. He called for a strengthened framework as a more balanced path to decarbonizing international aviation, along with a greater reallocation of EU ETS revenues to the aviation sector to support fleet renewal and SAF development. 

Overall, the Group's presence at this year's Paris Air Forum reflected both the breadth of challenges currently facing the aviation industry and Air France-KLM's determination to engage constructively in the debates shaping its future. From geopolitical resilience and fair competition, to decarbonization and regulatory reform, the Group's leaders made clear that while the current environment is demanding, Air France-KLM remains committed to its strategic direction.