Rep. Israel and Bipartisan Group of Lawmakers Lead Effort to Fight for U.S. Airline Jobs

Press Release

Date: April 30, 2015
Location: Washington, DC
Issues: Transportation

U.S Congressmen Robert Dold (IL-10), Dan Lipinski (IL-3), Frank Pallone (NJ-6), Tom Emmer (MN-6), Paul Cook (CA-8) and Steve Israel (NY-3) today announced they are leading a bipartisan group of over 250 Members of Congress in an effort to highlight and stop illegal government subsidies by Gulf States to their state-owned airlines. Every lost or foregone international round-trip by U.S. carriers because of this subsidized competition equals a net loss of hundreds of American jobs.

"Our nation's economic success depends on a robust and healthy commercial airline industry. The governments of Qatar and UAE should play by the global rules in the Open Skies agreement," said Rep. Steve Israel. "Unfair subsidies tip the scales against the economic success of our country and the aviation industry. This bipartisan letter seeks to ensure that all parties are following both the letter and spirit of these agreements."

Recent investigations have documented that, over the past decade, the governments of Qatar and the UAE have directly interfered in the commercial airline market by granting over $40 billion in concealed and other unfair benefits to their state-owned carriers. In a letter to Secretary of State John Kerry and Transportation Secretary Anthony Foxx, the Representatives are urging formal consultations with the governments of Qatar and the United Arab Emirates (UAE) regarding the use of subsidies and other unfair practices to distort the market in favor of their state-owned airlines, contrary to the Open Skies policy.

The letter is an effort to preserve Open Skies and fair competition in aviation. Open Skies is an international agreement, which creates a free-market environment for the airline industry - a policy that has advantaged travelers by lowering fares and increasing service. Among the goals of the agreement are eliminating government interference in commercial airline decisions about routes, capacity and pricing. This frees carriers to provide more affordable, convenient and efficient air service to consumers, promoting increased travel and trade, and spurring high-quality job opportunity and economic growth.


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