American Airlines looks to end of spat
CEO says more time needed to assess results of talks between US, UAE governments
The head of American Airlines said he was “very pleased” with the conclusion of talks between the US and the UAE governments meant to resolve the ongoing spat between carriers of the two countries.
Doug Parker, chairman and chief executive officer of American Airlines, said yesterday, however, that US carriers need more time in order to assess the results of the talks.
“We’re very pleased with the result of the talks between the US government and the UAE and Qatar, and we are grateful for what the US government was able to accomplish there,” he told reporters in Sydney.
“We need to see more … We [need] enough time to make sure that those resolutions actually have the effect that we hope for.”
Asked what more he would like to see, Parker simply said, “Time.”
His comments come nearly three weeks after the US and the UAE signed a deal to resolve a dispute that began in 2015 over unfair competition.
The largest US airlines — Delta, American and United — had filed a report claiming that Emirates, Etihad Airways and Qatar Airways received $50 billion (Dh183 billion) in government subsidies, which allow them to compete unfairly and take up market share.
The three Gulf carriers have long denied those accusations.
Last month, the US and the UAE concluded negotiations during which they affirmed their commitment to the Air Transport Agreement and Open Skies policies.
Financial transparency
The UAE also told the US government that its airlines have no plans to add Fifth Freedom flights, and that its airlines will ensure financial transparency.
“That gives us comfort,” American’s Parker said with regards to the Fifth Freedom flights matter.
Speaking on the sidelines of the 74th annual general meeting of the International Air Transport Association (IATA), Parker also discussed his concerns regarding rising trade tensions around the world.
“We are fans of global trade and free trade, so we always
get concerned when you start to see tensions elevate around free trade and global trade,” the CEO said.
“As of yet, [there’s been] nothing that’s affected our revenues, but [this is] certainly the kind of thing that you watch and hope that countries are able to work together.”