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EU: Gulf airlines face scrutiny

By  |  March 15, 2015

As the Emirates president, Tim Clark, plans to head out to Washington this month to hit back at allegations from US airlines of unfair competition from Arabian Gulf carriers, the European Commission has stepped into the row saying it will take up the issue on behalf of its aviation industry.

In a meeting of transport ministers from the European Union on Friday, the French and German representatives asked the commission to address the subject of government subsidies during discussions over a commercial aviation agreement with the Gulf later this year.

“European airlines are losing market share against the Gulf airlines, because of their unfair competitive practices, particularly because of the significant public subsidies and guarantees that they enjoy,” said the French transport minister, Alain Vidalies. He said that an extension of traffic rights given to foreign airlines in Europe should be accompanied by effective control of “the mode of operation of these airlines”.

 

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