Emirates Accused of Violating Aviation Agreement

On the 23rd of January, Emirates announced its newest Dubai-Newark route with a stop in Athens, Greece. This development triggered an immediate response from US airlines that blame the Dubai-based carrier of unfair competition due to state subsidies.

The Dubai-Athens-New Ark route, along with the already operated Dubai-Milan-New York route is what is called a “fifth freedom” flight. This means that the carrier is granted permission to carry revenue traffic between foreign countries as part of services connecting the carrier’s home country. Emirates plans on starting Dubai-Athens-New Ark flights on the 12th of March.

According to Open & Fair Skies, a lobby group representing many US airlines, Emirates is breaching the air services agreement that makes it possible for the company to operate US-bound routes. US carriers have accused the big three Middle Eastern airlines – Etihad, Qatar and Emirates – of benefiting from subsidies that their US counterparts see as unfair.

“By flagrantly violating its Open Skies agreement with the United States at the start of the Trump administration, Emirates is throwing down the gauntlet,” said Jill Zuckman, chief spokesperson for the Partnership for Open & Fair Skies. “We look forward to working with President Trump and his team to enforce these agreements and protect American jobs – something that the Obama administration failed to do.”

However, according to aviation analyst, Will Horton quoted by Reuters, American carriers lack arguments for protesting the new route, as none of them fly to Greece all year round. Another counter-argument would be the fact that Emirates is a major Boeing operator, which goes against the claims that Emirates is negatively affecting US jobs.

Hot this week

Stanbic IBTC Reinforces Capital Markets Leadership Through Dangote Refinery IPO

Stanbic IBTC Holdings Plc has reinforced its position as...

CBN Bags NES Distinguished Organisation Award for Economic Reforms

The Central Bank of Nigeria (CBN) has received the...

Leadway Assurance Backs ISSP Initiative to Deepen Insurance Penetration, Consumer Trust

Leadway Assurance, Nigeria’s leading insurance services provider and a...

RMB Nigeria Advises on BOI’s N274.18bn Domestic Bond Issuance

L-R: Head, Debts Capital Markets, RMB Nigeria, Laju Atake;...

LG Electronics Highlights Seven Home Appliances at IFA 2026

As routines and lifestyles evolve across Europe, consumers are...

Topics

East African Banks Dominate 2018 African Banker Awards

Winners of the 2018 African Banker Awards have been...

PayU Nigeria Upgrades Online Payments with PayU Receive

Businesses in Nigeria can securely request and receive payments...

Obabori of RedStar Express Wins Courier Personality Award

Group Managing Director and Chief Executive Officer of Red...

INEC: ‘We are Ready for Anambra Governorship Election, Security Assured’

Prof. Mahmood Yakubu Chairman INEC REMARKS BY THE HONOURABLE CHAIRMAN, INDEPENDENT NATIONAL...

Stanbic IBTC Reports N83bn Profit in 2020, Holds AGM May 27

In its audited financial statements for the period ended...

Leadway Sounds Alarm on African Swine Fever, Urges Farmers to Strengthen Biosecurity

As concerns grow over recent outbreaks of African Swine...

Business Journal Weekly Online Newspaper to go LIVE August 7

The Business Journal weekly online newspaper will commence publication...

Polaris Bank:  Best Digital Bank in Nigeria Award for 4th Year

Polaris Bank, Nigeria’s leading digital retail commercial bank, again...