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July 12, 2024
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Airlines for America is the US airline trade group.  A4A (as it is known) airline members and their affiliates transport more than 90% of all U.S. airline passenger and cargo traffic.

A4A is upset with the US government and how poorly it treats its airlines compared to how the “state-owned foreign competitors” are treated by their governments.  While there is no mention here of the role of the Ex-Im Bank which enables many of these orders get be funded, aircraft financing is one issue that some US airlines have mentioned as creating an uneven playing field.

A4A makes a compelling case that the US does need some sort of aviation policy.  US commercial aviation seems to be the one place the government goes for tax revenues time after time – just look at the list of add-ons to your next ticket.  But what is the government doing to protect the goose, the layer of those golden eggs? While the international competitiveness and service levels of US carriers are improving, they still don’t match Singapore Airlines or some of the four and five star carriers from the middle east, so there are two sides to the competitiveness issue.  But financial support for purchasing airplanes is certainly one area in which to begin, as new technology aircraft bring efficiency and the latest technologies with which to better compete.

 

1 thought on “Middle Eastern Airline Orders at Dubai Airshow upset US Airlines

  1. Every country requires an aviation policy. However, US carriers have no vision, have no plan. The tight control of capacity, provided anemic profits that were mostly a function of increased ancillary fees and not core operations. US carriers are domestic airlines with an international operation. In effect international carriers including those in MENA have very little impact on the US carriers, after all they are not competing domestically. Emirates, Etihad and Qatar Airways fly to several points in the USA, on routes where most US carriers do not even fly or compete. They bring tourists and add to the GDP of the cities they serve in terms of employment. They buy aircraft from Airbus and Boeing providing financial stability to the aviation manufacturing sector in general. There is a growing middle class outside the USA and Europe and if US and European legacy carriers don’t want to serve that segment, then someone else will.

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