Three major U.S. airlines, among the biggest in the world, have jointly alleged that three prominent Persian Gulf carriers are relying on unfair government subsidies to dominate the profitable long-haul air traffic segment into the United States, mostly from India.
The Big Three – American Airlines, United Airlines and Delta Air – charged in a widely-circulated note, “Over the past decade, the government of Qatar, Abu Dhabi and Dubai have granted over $40 billion in subsidies and other unfair benefits to their state-owned carriers in order to stimulate their economies by promoting the flow of international passenger traffic through their Gulf hubs.”
The note continued, “State-owned Qatar Airways, Etihad Airways and Emirates Airlines are now using this huge, artificial cost advantage to exploit the open access they have to the U.S. market.” The airlines wanted the U.S. government to modify its Open Skies policy to address the subsidies.
Etihad Airways dismissed the allegations in a paper submitted to the U.S. government.
17/06/2015 Saritha Rai/Forbes
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The Big Three – American Airlines, United Airlines and Delta Air – charged in a widely-circulated note, “Over the past decade, the government of Qatar, Abu Dhabi and Dubai have granted over $40 billion in subsidies and other unfair benefits to their state-owned carriers in order to stimulate their economies by promoting the flow of international passenger traffic through their Gulf hubs.”
The note continued, “State-owned Qatar Airways, Etihad Airways and Emirates Airlines are now using this huge, artificial cost advantage to exploit the open access they have to the U.S. market.” The airlines wanted the U.S. government to modify its Open Skies policy to address the subsidies.
Etihad Airways dismissed the allegations in a paper submitted to the U.S. government.
17/06/2015 Saritha Rai/Forbes
