Public Inquiry into the State of Competition in Air Travel launched in the U.S.

The  U.S. Justice Department’s Antitrust Division and the Department of Transportation jointly are starting a broad public inquiry into the state of competition in air travel. The agencies are seeking public information on consolidation, anticompetitive conduct, and a wide range of issues affecting the availability and affordability of air travel options. The topics covered in the agencies’ joint Request for Information (RFI) include previous airline mergers, exclusionary conduct, airport access, aircraft manufacturing, airline ticket sales, pricing, and rewards practices, and the experiences of aviation workers.

“Competition in air travel is a vehicle for better quality, better fares, and better choices for Americans,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “With this inquiry, we hope to learn more from the businesses and travellers at the centre of this essential industry. Their feedback will ensure the Justice Department can continue to build on its historic efforts to protect competition in air travel.”

“Americans count on air travel to visit loved ones, explore their country, and get business done,” said Transportation Secretary Pete Buttigieg. “Good service and fair prices depend on ensuring that there is real competition, which is especially challenging for the many American communities that have lost service amid airline consolidation. Our goal with this inquiry is to identify and remove barriers to competition so that more Americans can access the opportunities that come with good, affordable air service.”

Key topics in the RFI include:

General state of competition in the aviation sector and its effects on passengers, workers and jobs, regions and local communities, and economic growth.

Airline consolidation and the effects of previous mergers, common ownership, joint ventures, international alliances, structural advantages, exclusionary conduct, and other anticompetitive practices.

Airport access and its impact on airlines and their ability to enter and fairly compete in different areas of the country and the world.

Aircraft manufacturing and the impact of consolidation and anticompetitive practices on new aircraft manufacture and sale, aircraft leases, or secondary markets for used aircraft.

Air transportation sales channels, pricing, and airline rewards programs and the impact on the availability, access, and affordability of air travel.

Labor market issues and the effects of consolidation and anticompetitive practices in other parts of the aviation industry on pilots, in-flight crews, ground crews, airport services, union contracts, and/or travel agents or other vendors of travel services.

The public will have 60 days to submit comments at Regulations.gov, no later than December 23, 2024. Once submitted, comments will be posted to Regulations.gov. All market participants are invited to provide comments in response to this RFI, including passengers, consumer advocates, pilots, in-flight and ground crews, airport authorities, employers, airlines, private and charter aircraft operators, travel agents, trade groups, industry analysts, purchasers of corporate travel services, and other entities that provide or rely upon air travel services.

Regulations.gov

 

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