Get Ready For More Flights To China

AirDude

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Feb 10, 2004
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Will American Airlines get to fly to Shanghai from Chicago?
What about Hong Kong from Chicago?


By Marilyn Adams, USA TODAY
Negotiators for the United States and China appear to be on the verge of greatly expanding the 108 weekly flights now permitted between them.

Representatives of the U.S. Department of Transportation have been meeting with Chinese counterparts monthly since February in pursuit of an agreement to expand flights to meet the needs of the nations' burgeoning trade. Talks are set to resume Tuesday in Beijing.

A major new deal is possible this week, and top DOT officials are eager for one.

"We have an agreement that no longer serves the needs of our economies," says Jeff Shane, DOT's undersecretary for policy.

China has become America's top Asian trading partner, eclipsing Japan. Yet a 24-year-old agreement limits the number of weekly round-trip flights to 108 — half by American carriers, half by the Chinese. By contrast, airlines fly 300 round trips a week between the USA and Japan.

United and Northwest airlines are the only U.S. passenger carriers allowed to fly between the USA and China, and only United flies non-stop. Federal Express and UPS have rights for cargo planes.

Mo Garfinkle, a Washington, D.C.,-based airline consultant who advises the Chinese, said air traffic was sparse before China blossomed into an economic powerhouse. In addition, he says, "the Chinese were also very restrictive about who they allowed in." But China-U.S. trade has leaped to $170 billion last year from $4.8 billion in 1980. U.S. companies have invested nearly $500 billion in China.

These days, demand is such that it can be tough to get seats to China, especially on non-stop flights. A coach seat on United's Chicago-Beijing flight with three days' advance booking runs $1,783 round trip; a business-class seat is $6,346 round trip.

A new agreement is likely to let DOT name one new U.S. passenger airline this year and one new U.S. cargo carrier next year to serve China, Garfinkle says.

The U.S. has proposed that each country, upon signing, be allowed to add 14 passenger flights a week and 24 cargo flights a week. Several more U.S. passenger and cargo airlines could be serving China by 2010 under terms of the talks.

No. 1 American Airlines, which has long sought access to China, will press for flight rights as soon as a deal is signed. American wants to fly Boeing 777s non-stop from Chicago to Shanghai, a route no U.S. airline now serves.


Will Ris, American's top lobbyist, says service could start next year if the airline gets flight rights. "We're pretty optimistic. It's a huge deal."
 
Good luck to AA, but make no mistake about it -- DL and CO WILL launch strong bids for China services as well.
 
avek00 said:
Good luck to AA, but make no mistake about it -- DL and CO WILL launch strong bids for China services as well.
You are right... AA, DL, and CO will be tripping over each other going after this opprtunity...
 
I would think AS and HP would be front runners for those routes, they seem to be in good with Washington these days! Seriously, seems DAL would have A/C availability issues. All MD-11's are gone, and what few 777's it has are probably tied up (and no more coming)
 
lpbrian said:
DAL would have A/C availability issues. All MD-11's are gone, and what few 777's it has are probably tied up (and no more coming)
You nailed that one! I think DL has 7 or 8 777's in their fleet.
 
CAL and DAL already operate to China via NWA code share. I think AA stands the best chance.
However, Jetblue may pull a few strings. Perhaps the coalition of Spirit, Airtran, and Frontier will lobby for slots. Airtran will fly a 717 from MIA-ATL. Then a 320 ATL-DEN. Frontier 318 DEN-SEA. Spirit MD80 SEA-ANC-Dutch Harbor-Adak-Vladivostak-Bejing. This flight will be marketed as one flight (seemless travel)...ie FLT 5. The flightcrew could work for low wages and no benefits. But in since it's "international" they'd be seriously stoked. Naturally the pax would love this service because of low fairs. The Chinese might impose some sort of import tariff because Air China crewmembers wouldn't fly their 747/777 at Airtran payrates.
 
What aircraft other airlines have or do not have is irrellevent. AA is a HATED company at the DOT and DOJ and they will do everything in their power to thwart AA's attempt to fly to China!
 
avek00 said:
Good luck to AA, but make no mistake about it -- DL and CO WILL launch strong bids for China services as well.
Good point Avek, except your forgetting the "little texas TURD" in the WH.

Plus I think there may be some left over sympathy over 9/11 for AA
(as you know, UA already is flying china)

NH/BB's
 
I think AA should get it for several reasons. UA already has ORD to NRT & PEK service. AA needs to build up its routes to Asia away from Japan so ORD-PVG would work nicely for them. The DOT should grant AA additional service to HKG from ORD & LAX. No one flies from LAX to HKG right now nonstop, UA did until recently & DAL used to in the early 1990's along with UA( Two at the same time plus CATHAY). AA should fly from LAX to HKG and KIX as well as the new NRT service, this would really tuen LAX into a Pacific HUb for them.
 
Theres no doubt AA SHOULD get it. But we should all remember what happened when AA "Should" have gotten routes to Japan. DOT came up with all sorts of convoluted reasons to deny AND give additional routes to UA.
 

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