The process could provide an avenue of complaint for Lufthansa and Air France-KLM, both of which have long accused Gulf carriers Emirates, Etihad and Qatar Airways of accepting illegal state subsidies. The three Gulf airlines deny those charges.
The European Union on Thursday proposed a rule that would create a complaint process for airlines that believe they have been harmed by anticompetitive practices of non-EU carriers.
The process could provide an avenue of complaint for Lufthansa and Air France-KLM, both of which have long accused Gulf carriers Emirates, Etihad and Qatar Airways of accepting illegal state subsidies. The three Gulf airlines deny those charges.
Under the proposed rule, European carriers could submit a complaint about anti-competitive practices to the EU for review. If the complaint were to be found valid, the EU would be empowered to take corrective measures, including levying fines against the offending carrier. Measures that violate open-skies agreements between the EU and the offending airline's home country wouldn't be allowed.
The EU proposal drew praise in the U.S. from the Partnership for Open & Fair Skies, a lobbying group comprised of airline industry unions and United, American and Delta, which also accuse the Gulf carriers of accepting illegal state subsidies.
"We respectfully ask the Trump administration to join the growing global consensus that action is needed to level the playing field against the Gulf carriers' expansion scheme," partnership spokeswoman Jill Zuckman said in prepared remarks.
To be implemented, the EU proposal must be adopted by the European Parliament and approved by the council of EU member states.
Source:
Travel Weekly USA