An airline group has ''paused'' a programme covering the size of carry-on luggage after opposition from travellers.

A regional air fare war is looming as Jetstar starts services to provincial cities where Air New Zealand has had a stranglehold.

Jetstar plans to start flights to new regional destinations later this year in what will be a major shake-up for domestic air travel.

The national carrier's shares dropped 10 per cent ahead of an impending Jetstar announcement.

Jetstar is about to make a significant announcement on the expansion of its domestic operations.

Qatar Airways has won top airline at the Skytrax awards announced in Paris after nearly 19 million passengers voted.

Cathay Pacific's new boss in New Zealand is 25-year veteran Mark Pirihi. He started in a sales job when the airline ran just two services a week between Auckland and Hong Kong.

European aerospace giant Airbus is believed to be in the running to buy Air New Zealand's Safe Air engineering subsidiary.

The Paris Air Show saw a surprise first-day surge in long-haul jet demand.

Air New Zealand will broaden the range of wine in premium cabins as it pushes back on claims it is being stingy in economy.

Air New Zealand is reviewing 60 engineering jobs as the airline shifts heavy maintenance work overseas.

Boeing forecasts demand for 38,050 new planes during the next 20 years, worth close to NZ$8 trillion.

Boeing found room to shoehorn in as many as 14 more seats on its 777 by shrinking the lavatories.

Air NZ has appointed two leading international wine judges and commentators to help select the one million bottles of wine its passengers drink annually.

Boeing has released video of a 787-9 Dreamliner practising for the Paris Air Show in the skies above Washington State.

Boeing is considering the largest-ever narrow-body jetliner to fill a void left when production of the 757 model ended.

Air New Zealand shares fell by nearly 5 per cent after news that it could face competition on its lucrative direct routes to the United States.

Global airlines buoyed by a record profit forecast are also grappling with how to mend a rift between US and Gulf carriers.

Airline profits are expected to almost double this year to US$29.3 billion - amounting to US$8.27 per passenger carried.

A contest to develop new drone technology for the film industry has attracted 30 entries a month out from the cut-off point.

Air NZ and Air India have signed a codeshare deal providing smoother access for travellers in both directions.

Airbus Group is about to face a fresh challenge in reviving sales of its A380 as used aircraft hit the market.

Bombardier's new CEO Alain Bellemare has a tough job of securing sales for the planemaker's newest jet, the CSeries.

Businesses as well as the Government are hoping for a spinoff from a high profile at the World Transport Forum in Germany.

Air freight - a barometer of global economic activity - has recovered and is growing at sustainable levels, a transport summit has heard.

A corporate travel specialist has a new strategy - encouraging some business people not to travel.

New Zealand has signed an air services deal with Greece that will allow for code share flights.

Jets approaching Auckland will use a third satellite-guided flight path from September, in an attempt to reduce fuel use and spread air traffic over a wider area.