+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

A group of US Airlines is teaming up against American, Delta, and United

Aug 4, 2015, 03:11 IST

Flickr/Joseph Williams

The dispute between America's three largest domestic airlines - American, Delta, and United - and the Middle Eastern trio of Emirates, Etihad, and Qatar Airways just got more complicated.

Advertisement

A coalition of four US airlines- JetBlue, Hawaiian, Atlas, and FedEX - have spoken out against a request from the legacy carriers, which they refer as the "Big 3," to renegotiate America's respective Open Skies agrements with the UAE and Qatar.

The alliance - known as "US Airlines for Open Skies" (USAOS) - submitted a letter on Monday to the US Government detailing the harm that could be done to their respective businesses, consumers, and the US economy should the government comply with the wishes of the Big 3.

"The Big 3 do not speak for all, or even most, U.S. airlines," Hawaiian CEO and President Mark Dunkerley said in a statement.

"Our coalition believes that the United States should honor its Open Skies commitments, which opens markets for U.S. carriers, promotes competition on international and domestic routes, and facilitates U.S. exports."

Advertisement

In the letter, which was addressed to the secretaries of State, Commerce, and Transportation, USAOS stated its belief that any restrictions placed on the Open Skies agreements with the UAE and Qatar would constitute a violation of the agreement itself.

USAOS also point out that there could be political and national security consequences to restrictions placed Middle Eastern airlines.

"The unilateral actions demanded by the Big 3 likely would provoke retaliation by the UAE and Qatar, encourage other Open Skies partners to take restrictive actions, deter countries from entering into Open Skies agreements with the United States, and raise questions about the United States' commitment to the Open Skies regime," USAOS wrote in the letter.

Flickr / marksontok

This is particularly crucial for major cargo carriers such as FedEX and Atlas - both of which have significant operations in the Middle East.

FedEX currently operates a major sorting facility in the Dubai and 44 flights a week in and out of the emirate.

Advertisement

According to the coalition, both Atlas and FedEX operate support flights for US military operations in the Middle East.

While the large legacy carriers use their own interational flights to feed its domestic routes, smaller airlines such as JetBlue and Hawaiian credit the growing presence of international airlines such as the Middle Eastern three with increasing traffic for its domestic service.

In fact, JetBlue believes Big 3's goal is to roll back the clock on the airline business.

NOW WATCH: This drummer created a whole song by only using the sound of coins

Please enable Javascript to watch this video
You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article