Europe's transport ministers have turned down a request from the European Commission (EC) to broaden the remit of its open-skies talks with the USA to include negotiations on traffic rights. EC transport commissioner Neil Kinnock hopes to raise the issue again at the next meeting, in December.
Kinnock was given the go-ahead to open US talks in July 1996, but only on "soft rights" such as slot allocation and competition policy. He claims that Washington has so far shown little interest in negotiations that fail to address the issue of US airline rights within the European Union.
The proposals, put to transport ministers meeting in Luxembourg on 9 October, were again blocked by France and the UK, which fear that talks at European level could jeopardise their own open-skies negotiations with the USA.
France is preparing to re-open tough negotiations with the USA on 15-17 October, the first under the new French Government. Both sides have agreed the target of eventual full open skies, but Washington is looking for a three-year transition period, while France is holding out for a deal to be phased in over nine years, carried out in three distinct stages. Air France is keen to see a quick deal, to help it accelerate its own transatlantic-alliance plans.
The UK is also at a crucial stage in its parallel efforts to seal a US open-skies pact and see through the British Airways alliance with American Airlines.
The two airlines are due shortly to start negotiations with the EC competition commissioner Karel Van Miert over approval for the alliance. Van Miert has confirmed that the EC is looking for BA to give up around 350 slots a month at London Heathrow. He adds that there may be room for "slight" modification in the number, but that the conditions are not open to "horse trading".
Source: Flight International
