Luís Rodrigues is the CEO of TAP Air Portugal. Until recently, he was also the 
Star Alliance member’s Chairman, but that role was relinquished to enable him to focus on his primary role. This is particularly important during this period of uncertainty because of privatization and more.
The quest for privatization has been rumbling on for years, and it has been relaunched. Speaking in a prerecorded interview at Routes World in Hong Kong, Rodrigues was clear. Even if it is achieved, it might not be the silver bullet that is desired, as only a minority stake—not a controlling stake—is up for grabs.
TAP’s Long Road To Privatization
Rodrigues is after another airline to acquire part of TAP, with the Air France-KLM Group already advancing its bid. To be a contender, a carrier must have at least €5 billion in revenue in any of the past five years. This financial requirement will reduce the number of operators who could express interest. But this is the point: it should make them more realistic operators and those who, Rodrigues inevitably hopes, will make a real difference to TAP.
“The outcome of privatization must be a properly run airline,” he said. Given that TAP is entirely state-owned, this is unsurprising. Stereotypically, state-owned airlines are known for having a myriad of problems, and the Portuguese flag carrier’s financial figures typically bear this out.
If TAP finds an appropriate suitor, and if it materializes as planned, it’d be another form of consolidation. This has been discussed in aviation for decades. Except for things on the fringes, not much has happened in Europe, with Turkish Airlines’ part-purchase of Air Europa being the most recent activity. Although TAP’s position means it is predictable, Rodrigues said,
“I think consolidation is inevitable, and it’s a positive development for the industry [if not for customers]. The lack of [airline] scale comes at a huge cost. We will be improving the situation over the next few years.”
Brazil Is The Crown Jewels Of TAP’s Network
An airline revolves around its network. It is its bread and butter, and it influences everything. Everything—including the fleet—flows from it. “Brazil is probably the top reason for another airline to buy us. It is what the airline groups are keen to secure.”
According to Cirium Diio data for the final quarter of 2025 (October-December), TAP is the market leader to/from Europe. It accounts for 27.8% of the continent’s flights to Brazil. However, its dominance is necessarily reduced for passengers, seats, and available seat miles, mainly due to the growing role of the Airbus A321LR.
|
Brazilian Cities With Competition From Europe |
Brazilian Cities Without European Flights By Other Airlines |
|---|---|
|
Fortaleza, Recife, Rio de Janeiro, Salvador, São Paulo |
Belém, Belo Horizonte, Brasília, Florianópolis, Maceió, Manaus, Natal, Porto Alegre, |
As shown above, TAP flies to 13 cities in Brazil, of which eight are not served by another airline from Europe. “Whoever comes will want to build on this and strengthen our presence in Brazil. If anything, it will get better.” A critical factor is Lisbon’s almost complete lack of slots, as JetBlue has discovered. And a new airport, if it materializes, is a long way off.
Lisbon’s Slot Shortage Will Be A Major Hurdle Once The Fleet Cap Goes
Lisbon’s lack of slots is a two-edged sword. While it prevents TAP from doing much more, it also means other airlines—whether they’re competitors or alliance members or other partners—are in the same position. “I have a lot of work to do in the current network that’ll underpin our focus in the next few years. There will be some new routes, but we’re dealing with significant constraints in Lisbon. We can’t expand much, so we have to be extremely careful with what we add.”
Another limitation is TAP’s fleet cap, which was part of its restructuring plan that was approved by the European Commission in December 2021. This cap will cease at the end of 2025. “Once it goes away, we effectively have an infrastructure cap—we have no slots available at Lisbon. There’s no point growing the fleet in the future if we can’t grow flights.”
Given that 93.3% of TAP’s services are to/from the Portuguese capital, that’s a huge impediment. And growing at Porto, Faro, and Funchal offers fairly limited opportunities. “Until now, we did not consider Porto to be a hub, but it could become a mini hub for us. It’s now our biggest growth opportunity.” Rodrigues said its new Porto-Boston route, which launched in May 2025, is doing well. Given its forced greater focus on Portugal’s second most populous city, that’s just as well.
