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Europe Daily Bulletin No. 9381
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GENERAL NEWS / (eu) eu/united states

Differing reactions to draft “open Skies” agreement - Unanimity probably required in Council

Brussels, 07/03/2007 (Agence Europe) - The draft agreement reached on 2 March on opening the civil aviation market between the United States and the EU (Open Skies), has brought differing reactions from within the air sector.

Uncertainties about the prospects of an effective conclusion of the agreement increased further following the strong joint protest launched on Tuesday by British Airways (BA) and Virgin Atlantic, which, under the terms of the agreement, would be required to share Heathrow Airport with other European and American companies. A similar, but more moderate, position was adopted by the International Air Carrier Association (IACA), which, in a press release published on Wednesday, was critical that the draft agreement between the US and the EU brought no real benefits to Europe, and that the outcome of the negotiations was skewed heavily in favour of the United States.

As for the airlines, Air France-KLM backed the draft agreement, which would allow them “to sell their non-stop air services between any point in the EU and the US”, a press release, also on Wednesday, stressed, referring to the direct Frankfurt-Atlanta route.

The draft is due to be put to the Council on 22 March, when “consensus will be expected and even needed” for its adoption (as is the case with all joint agreements which are part Community competence - transport - and part member state competence), say Council sources. This consensus is far from being achieved, given the UK's indecision. Secretary of State Douglas Alexander said on Tuesday that the draft had to be improved. British diplomats say that “opinions are divided” on the draft agreement. For the Americans, Deputy Assistant Secretary for Transportation Affairs John Byerly, on Monday, called on EU ministers to approve the agreement, which could, he said, be the step which would hugely liberalise the world's largest international air market. (aby)

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