The first talks between US and Japanese aviation officials in five months ended in January with no big surprises, and any future progress is likely to be both difficult and time-consuming.
Both sides described the meetings as 'exploratory' but little was achieved bar plans for renewed talks in late February or March. 'We are just in the very beginning stages of talking,' admits a US official.
'The Japanese are reacting to what we are saying and they are not nearly as enthusiastic as we are for an open skies agreement. But that comes as no surprise.'
Both sides retain a fierce reluctance to compromise. 'We are even more determined to bring in open aviation markets than we have ever been,' says the US official. 'The Japanese, meanwhile, are no less desirous of wanting to control the marketplace.' The Japanese firmly reject full liberalisation, claiming US carriers are subsidised by their domestic market. Japan is also seeking a redistribution of slots at Tokyo/ Narita, where US carriers hold some 800 of the 2,400 weekly slots against 860 for all Japanese carriers.
Tokyo also wants to restrict US carriers' formation of alliances claiming that these, together with open skies, would wipe out Japanese carriers in the international market. This request is regarded as 'unacceptable' by the US official, as is a proposal that two carriers from each side be given preferential rights in any new bilateral.
With so many points of contention, and so little sign of compromise, the US official agrees that no progress is expected soon.
Source: Airline Business