Deal Removes Restrictions On International Flights
Secretary of Transportation Ray LaHood today announced that the
United States and Japan reached agreement on the text of a landmark
Open-Skies aviation agreement, liberalizing U.S.-Japan air services
for the carriers of both countries. The agreement was reached after
five rounds of negotiations focusing on Open Skies, beginning in
May of this year.
“Achieving Open Skies with Japan, a major U.S.
transportation and trade partner, has been a long-standing U.S.
goal and is good news for air travelers and businesses on both
sides of the Pacific,” said Secretary LaHood. “Once
this agreement takes effect, American and Japanese consumers,
airlines and economies will enjoy the benefits of competitive
pricing and more convenient service.”
Under the new agreement, airlines from both countries would be
allowed to select routes and destinations based on consumer demand
for both passenger and cargo services, without limitations on the
number of U.S. or Japanese carriers that can fly between the two
countries or the number of flights they can operate. It would
remove restrictions on capacity and pricing, and provide unlimited
opportunities for cooperative marketing arrangements, including
code-sharing, between U.S. and Japanese carriers.
Although the 1952 U.S.-Japan aviation agreement was greatly
expanded in 1998, many U.S. carriers serving Japan were still
subject to restrictions on capacity, routing, pricing, and
code-sharing. Delta, Continental, United, and American have all
issued statements of support for the new agreement.
"By their nature, bilateral agreements create a system in which
some airlines receive aviation rights while others do not," said
Will Ris, American Airline's Senior Vice President - Government
Affairs. "Open Skies agreements, on the other hand, end
discriminatory aviation policies and are in the best interest of
American and Japanese people as well as the nations' airlines."
The agreement also would provide opportunities for growth of
U.S. carrier operations at Tokyo’s Narita Airport and ensure
fair competition regarding the new opportunities at Tokyo’s
close-in Haneda Airport. Once the agreement is finalized,
Japan will become the 95th U.S. Open-Skies partner. Both the United
States and Japan must affirmatively act in order to put the
agreement into effect.