English Arabic Armenian Azerbaijani Chinese (Simplified) Chinese (Traditional) Czech Danish Dutch Estonian Filipino Finnish French Galician Georgian German Greek Hindi Hungarian Icelandic Indonesian Italian Japanese Korean Latvian Lithuanian Malay Maltese Norwegian Persian Polish Portuguese Russian Slovak Slovenian Spanish Swedish Thai Turkish Ukrainian Vietnamese

Emirates denies subsidy claims

WASHINGTON, DC: American, Delta and United have asked the Obama Administration to review its Open Skies agreement with the UAE and Qatar alleging Emirates, Qatar Airways and Etihad have received US$42 billion in anti-competitive subsidies.

The move follows last month's declaration by FedEx saying the U.S. government "should not capitulate to the interests of a few carriers who stand ready to put their narrow, protectionist interests ahead of the economic benefit that Open Skies provides to the people of the United States".

The three U.S. carriers, supported by the Association of Professional Flight Attendants (APFA), the Teamsters union and the Allied Pilots Association, have launched a lobbying campaign based on a 55-page 'white paper' that claims the Gulf airlines have been subsidized by their respective governments since 2004.

Tim-Clark-President-Emirates-AirlineEmirates Airline president Tim Clark (right) responded saying: "All the debate about what constitutes a subsidy, what is fair or unfair competition under whose laws... are just distractions from the real issue at hand – which is that the three biggest U.S. carriers, who together with their joint-venture partners already control about two-thirds of international flights from the USA, want to further limit the international air transport choices available to American consumers, airports, local and regional economies."

Clark said consumers should ask the three U.S. carriers why they are among the most profitable airlines in the world but "nowhere close" to being ranked best for service or product.

Addressing the allegation of subsidies, Clark commented: "One can argue that the three largest US carriers themselves enjoy a number of unfair advantages including access to the world's largest aviation market in their own backyard, anti-trust immunity for their joint-ventures with whom they co-ordinate prices and capacity under anti-trust immunity, Chapter 11 and pension relief legislation, various types of support from individual U.S. states, and fuel tax breaks."

According to Emirates, it has carried 470,000 tonnes of airfreight between a total of nine U.S. points and Dubai since the airline began flying to New York in 2004 - making Dubai the No.1 U.S. export market in the Middle East with growth of 503 percent in 10 years.

"The three U.S. carriers' obsession with market share makes all the more apparent what they are really after: not competition, not open markets or Open Skies, but outright government directed market allocation. Considering there is hardly any overlap between Emirates' route network and that of Delta, American or United, this campaign by the U.S. carriers is really about them protecting the revenue they earn from their joint-venture partners," Clark said.

Emirates says it is in the process of producing a "point-by-point" rebuttal of the allegations.

Meanwhile, despite support from the APFA for the Delta, United and American subsidy petition, it is the International Association of Machinists and Aerospace Workers (IAM) that is supporting the unionization of Delta's flight attendants. With a vote due in the spring or early summer, some 12,000 out of a total of 20,000 cabin staff are reportedly supporting the move at the largely non-union airline.

News

Written on 18/08/2017, 21:43
mexico-boosts-miami-air-cargo-volumeMIAMI: August 17, 2017. Miami International Airport has reported a 4.8 percent growth in cargo traffic for the first half of 2017 with domestic traffic...
Written on 17/08/2017, 18:44
turkish-cargo-helps-save-livesMOGADISHU: August 15, 2017. In March this year actor Ben Stiller and other celebrities launched a viral crowdfunding on behalf of the famine in Somalia....
Written on 17/08/2017, 18:01
first-flight-out-for-hungarian-horsesBUDAPEST: August 15, 2017. Cargolux and Hellmann Worldwide Logistics have flown 14 Hungarian-bred racehorses from Budapest via Luxembourg and Beijing to...
Written on 11/08/2017, 15:35
european-commission-supports-hna-purchase-of-frankfurt-hahn-airportFRANKFURT HAHN: August 10, 2017. The HNA Group has completed its acquisition of Frankfurt-Hahn airport from the German state of Rhineland-Palatinate. The...
Written on 10/08/2017, 21:40
veteran-wins-fedex-grant-to-upcycle-military-surplusMEMPHIS: August 10, 2017. FedEx has awarded the Grand Prize in its 2017 small business grant competition to Sword & Plough founders Emily Núñez...
Written on 10/08/2017, 15:39
fortune-50-companies-back-no-fee-recruitment-in-supply-chainsNEW YORK, NY: AUGUST 07, 2017. Ford, General Motors, Hormel Foods, Marriott Hotels and Michael Kors have agreed to promote ethical labor policies in their...
Written on 08/08/2017, 02:14
matson-to-add-marshall-islands-serviceHONOLULU: AUGUST 07, 2017. Matson is adding to its Marshall Islands (RMI) service in the first quarter of 2018 with a new biweekly sailing from...
Written on 04/08/2017, 20:56
xpo-on-the-m-a-road-againGREENWICH, CT: August 04, 2017. XPO Logistics has reported a net income of US$73.2 million on revenue of US$7.3 billion for the first six months of...
Written on 03/08/2017, 17:48
ups-provides-logistics-key-to-circular-business-solutionATLANTA: August 02, 2017. UPS is helping New Jersey-based Terracycle turn hard-to-recycle items into trashcans and park benches while diverting 40 million...
Written on 03/08/2017, 13:50
hyperloop-one-lifts-offNEW YORK: August 02, 2017. Following a successful first test last month, the vacuum transport system built by Hyperloop One has now reached a speed of 192...
Written on 02/08/2017, 16:28
no-american-investment-from-qatar-airwaysDOHA: August 02, 2017. Qatar Airways is not proceeding with its initial 7.5 percent "passive" stake in American Airlines (AA) for an estimated US$808...
Written on 28/07/2017, 20:54
turkey-logistics-investment-continuesISTANBUL: July 27, 2017. Private equity manager Abraaj Group has acquired an unspecified "significant minority" stake in Netlog Lojistik Hizmetleri, one...
Written on 27/07/2017, 17:55
supply-chain-staff-crisis-warns-dhlBONN: July 26, 2017. A report sponsored by DHL Supply Chain into a shortage of industry talent says as much as a third of the current workforce is at or...
Written on 25/07/2017, 20:14
dp-world-australia-wins-cosco-endorsementSYDNEY: July 25, 2017. DP World Australia has set up a logistics stevedoring subsidiary DP World Logistics Australia and full-service container park...
Written on 25/07/2017, 19:40
bollore-signs-new-cameroon-concessionKRIBI, Cameroon: July 25, 2017. CMA CGM and Bolloré Transport & Logistics have signed a 25-year concession to manage a new container terminal at the...
Written on 21/07/2017, 19:35
new-india-tax-will-mean-savings-say-expertsDELHI: July 21, 2017. The implementation of a new Goods and Services tax (GST) in India, as a replacement for a myriad of local and state levies, has...
Written on 20/07/2017, 22:27
america-s-largest-trade-gateway-aims-for-near-zero-emissionsSAN PEDRO BAY, CA: July 19, 2017. The ports of Los Angeles and Long Beach, America's two largest ports, have published a plan to reduce trucks and...
Written on 19/07/2017, 17:41
post-brexit-britain-to-rely-on-emerging-marketsBAAR, Switzerland: July 19, 2017. As Britain's Conservative government acknowledges the one-time cost of leaving the EU could be £66 billion, Agility...
Written on 18/07/2017, 18:26
politics-not-economics-key-to-inequality-says-researchBOSTON: July 17, 2017. Research by Oxfam suggests the poorest half of the world's population has received one percent of the total increase in global...
Written on 14/07/2017, 19:08
first-circular-economy-msc-launchedCRANFIELD, UK: July 14, 2017. Cranfield University is launching the world's first MSc course on the circular economy in October. The part-time...

- powered by Quickchilli.com -