Open Skies Agreements Do Not Include The Transport Of Cargo

by admin on December 13th, 2020

A remarkable trend is the conclusion of bilateral open air services agreements, which provide unrestricted access to third-party, fourth- and fifth-freedom traffic rights, designation, capacity, spectrum, code-sharing and fares. The first such agreement was concluded in 1992 between the Netherlands and the United States. Since then, more and more open-ski agreements (OSAs) have been signed. In September 2016, more than 300 OSA were closed with more than 150 countries, with the United States leading the way with a total of 119 OSA signed. More and more countries have also signed OSA with the European Union or its members. Liberalisation measures and, consequently, increased connectivity have a overall positive impact on tourism, employment and the economy as a whole. Improved connectivity in air cargo increases productivity, opens up new markets, stimulates exports and increases competition and choice of foreign producers in the domestic market. The many states seeking regulatory convergence on liberalization and competition at the bilateral and regional levels demonstrate the importance of liberalization. Since the Chicago Convention, international civil rights have developed primarily through a series of bilateral agreements between the United States and abroad. Most of these agreements were “executive agreements” and not treaties, which avoided the requirement for consultation and approval of the Constitution7 and, as a general rule, a favourable language for the United States. As a result, the United States has designated both an unlimited number of gateway cities and an unlimited number of airlines.8 In addition, the agreements provided airlines with the right to determine capacity only with the most vague guidelines.9 When the United States began to deregulate its domestic aviation industry, administrations began to seek more liberal and market-based international agreements.10 Agreements with Australia, Switzerland and Japan allow the use of an Australian carrier , Swiss or Japanese for international travel between the United States and these countries as long as no “City Pair” fare is available between the cities of origin and the destination cities. In particular, commercial airlines in each country may set up the following services: (i) establish branches for the marketing and sale of transport services within the territory of the other country, and each country authorizes the administrative and commercial agents necessary to provide these services to enter its territory; (ii) sell airfares in the other country. , and (iii) the services required during planned stops in the territory of the other country.

For more information on the four open skies agreements and other specific national agreements, visit the Foreign Ministry`s website. More general information on open ski agreements can also be found in Federal Travel Regulation (FTR) bulletin 11-02 [PDF – 112 KB] and Bulletin 12-04 [PDF – 82 KB].

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