Hope for Industry: Mineta's View | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

** Airborne 07.25.14--CLICK HERE! ** HD iPad-Friendly Version--Airborne 07.25.14 **
** Airborne 07.23.14--CLICK HERE! ** HD iPad-Friendly Version--Airborne 07.23.14 **
** Airborne 07.21.14--CLICK HERE! ** HD iPad-Friendly Version--Airborne 07.21.14 **

Tue, Jun 03, 2003

Hope for Industry: Mineta's View

Delivering the keynote address to the IATA convention that opened Monday in D.C., Secretary of Transportation Norm Mineta presaged some of IATA Director General and CEO Giovanni Bisignani's ideas, outlined (elsewhere in ANN today) in what the organization is calling the "Washington Declaration."

More competition can be a good thing.

Mineta (right) said early, "In recent years, many of the world's long standing and restrictive bilateral agreements have been replaced by more liberal open skies agreements. This liberalization has been successful because it produces public benefits that are simply not possible under restrictive regulations. Liberalization provides airlines with the opportunities and incentives to become more efficient. It provides airlines with new business opportunities while strengthen existing operations. This freedom to grow and compete should be at the heart of every aviation agreement worldwide."

Maybe we need a new way to run things...

"While bilateralism opened markets in the 20th century, the 21st century requires a new model," Mineta continued. "In order to further expand aviation markets, we need a broader, multilateral or regional framework that replaces the current patchwork of aviation agreements. I encourage you to join us in crafting a vision for what is possible in global air transportation." There is no way, he seemed to be saying, that he would let market conditions simply find a solution; government must be the answer.

How about getting more money into US airlines?

Aware of how badly US airlines, in particular, have been hit by the increasing cost of compliance with expensive "safety" regulations, he thought that foreign investors might like to send more money this way; American investors seem to be all tapped out, and wary of the current premium-airline model.

He noted, "The U.S. Department of Transportation recently submitted to the Congress a request for consideration of a proposal to grant U.S. airlines greater access to foreign capital markets. The request raises the permissible level of foreign ownership of voting stock in U.S. airlines to 49 percent, provided that effective control remains in U.S. hands. This change would make U.S. law broadly consistent with the EU rules governing ownership and control of EU member-state airlines."

FMI: www.dot.gov

Advertisement

More News

It's Turbo Time! AeroVee Turbo Orders Now Accepted

Will Offer Significant Performance Boost For Sonex Aircraft Sonex Aircraft announced at a press and customer briefing Sunday morning that orders are now being accepted for the long>[...]

There's A New Light Sport Amphib Coming To The Block

MVP.Aero Introduces What It Calls The Worlds 'Most Versatile Plane' A new sport plane that is designed to operate from runways, water, and snow and ice was introduced Sunday aftern>[...]

Historic OSH2014 Sponsor: Bendix-King by Honeywell

OSH2014 Sponsor: Bendix-King by Honeywell The history of the Bendix name runs parallel to the development of King Radio until the mid-1980s, when the Allied Corporation purchased B>[...]

Revolutionary OSH2014 Sponsor -- Aviation Modifications Leaders

Aviation Modifications Leaders -- Unique Solutions For Critical Applications During two decades of designing, engineering and installation of Satcom systems with Honeywell (Allied >[...]

OSH2014 Sponsor: 'Super-App' ForeFlight

LONG-TIME ANN Sponsor, ForeFlight, Provides GREAT Guidance For Oshkosh 2014! ForeFlight was founded in 2007 by aviation entrepreneurs who set out to build elegant, high-performing >[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2014 Web Development & Design by Pauli Systems, LC