Japan, American airlines seek alliances after flight approval
Airlines from Japan and the United States yesterday welcomed a proposal by US authorities to grant antitrust immunity allowing more alliance cooperation on flights between North America and Asia. The US Department of Transportation on Wednesday...
Airlines from Japan and the United States yesterday welcomed a proposal by US authorities to grant antitrust immunity allowing more alliance cooperation on flights between North America and Asia.
The US Department of Transportation on Wednesday proposed to grant the immunity to two alliances for services between the United States and Japan, subject to the signing of an Open Skies agreement between the countries.
The decision would allow Oneworld alliance members American Airlines and Japan Airlines (JAL), and separately Star Alliance members United Airlines, Continental Airlines and All Nippon Airways to more closely coordinate operations in trans-Pacific markets.
The US Department of Transport and the Japanese Ministry of Land, Infrastructure, Transport and Tourism have to give final approval.
Once that is secured, Tokyo and Washington will move to finalise an existing Open Skies pact drawn up in December 2009 to liberalise commercial aviation, the companies said.
Immunity from competition restrictions would allow JAL – undergoing state-backed restructuring after declaring bankruptcy earlier this year – and American to implement a joint business venture over flights between North America and Asia, they said. They will continue to operate as separate entities.
“These new opportunities afforded by developments in the aviation landscape in Japan will allow us to optimise flight schedules, pricing, and enhance operational efficiency,” said Tsutomu Ando, executive officer of International Affairs at JAL.
American Airlines Senior Vice President in government affairs Will Ris added the deal “will benefit the US and Japanese economies, promote increased cultural exchange and provide more travel choices and greater access to discounted fares for millions of consumers”.
American persuaded JAL to remain part of the Oneworld alliance earlier this year after a push by Delta Air Lines to lure it into its rival SkyTeam grouping.
JAL will commence daily flights between Tokyo’s Haneda airport and San Francisco as well as Honolulu starting October 31 while American will begin daily flights between New York’s John F. Kennedy International Airport and Haneda in January 2011, the statement said.
In August, JAL announced details of a rehabilitation plan that will see thousands of job cuts as well as route closures and a debt waiver.