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CAPA TV | October 22, 2020

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Finding A New Regime On The North Atlantic – As Regulatory And Operating Norms Change

  • On April 26, 2018

According to IATA, the North Atlantic provides the world’s most profitable major international traffic flow. It is also the most tightly held, with three groups effectively controlling over three quarters of the seats and the bulk of the premium market. After several years of open skies on the North Atlantic and the introduction of LCCs such as Norwegian in its various incarnations, the impact of Brexit now requires a renegotiation of the agreement to restore the UK to open skies once it leaves the EU.

The major JVs depend on open skies for them to gain anti-trust immunity to operate in the UK market, the largest premium route. This will not be straightforward, as for example US pilot unions have opposed the freedom it provides for airlines to establish there. Aside from the UK there are many untapped opportunities for LCCs. New aircraft types are providing route opportunities that were not previously viable, for non-stop and one-stop service between Europe and the US (and Canada).

  • What issues are involved in the UK renegotiation and what are the positions of the protagonists?
  • How significant will the impact of narrowbody aircraft be on trans-Atlantic routes
  • How are the traditional operators responding to long haul low cost competition?
  • How are low cost airlines innovating to enhance long haul connectivity?

Moderator: McGill University, Professor of Law, Brian Havel

  • Lufthansa Group, Vice President Airline Sales, The Americas, Tamur Goudarzi Pour
  • U.S. Department of Transportation, Director, Office of International Aviation, Brian Hedberg

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