general

EU may bar American travellers as it reopens borders, citing failures on virus

EU countries rushing to revive their economies and reopen their borders after months of coronavirus restrictions are prepared to block Americans from entering because the United States has failed to control the scourge, according to draft lists of acceptable travellers reviewed by The New York Times. That prospect, which would lump American visitors in with Russians and Brazilians as unwelcome, is a stinging blow to American prestige in the world and a repudiation of President Trump’s handling of the virus in the United States, which has more than 2.3m cases and upward of 120,000 deaths, more than any other country. European nations are currently haggling over two potential lists of acceptable visitors based on how countries are faring with the coronavirus pandemic. Both lists include China, as well as developing nations like Uganda, Cuba and Vietnam. Both also exclude the United States and other countries that were deemed too risky because of the spread of the virus. Travellers from the US and the rest of the world already had been excluded from visiting the EU — with few exceptions mostly for repatriations or “essential travel” — since mid-March. But a final decision on reopening the borders is expected early next week, before the bloc reopens on July 1.<br/>

India says it may allow some foreign flights to resume after US criticism

India's ministry of civil aviation said Tuesday it was considering allowing some international carrier flights to resume after Washington accused India of "unfair and discriminatory practices." The Indian ministry said in a statement posted on Twitter that as "we move from controlled and managed aviation evacuation of our citizens in different parts of the world and foreign nationals from India, we are now looking at the possibility of establishing bilateral arrangements." The US DoT issued an order Monday to require Indian air carriers to apply for authorization prior to conducting charter flights beginning in 30 days. The department sought "to restore a level playing field for US airlines" under the US-India Air Transport Agreement. The Indian government, citing the coronavirus, has banned all scheduled services and failed to approve US carriers for charter operations, it added. The Indian ministry added it is considering the "prospect of establishing individual bilateral bubbles, India-US, India-France, India-Germany, India-UK." It added that "final decisions pursuant to negotiations are expected to be taken soon."<br/>

US lacked outbreak plan for air travel that watchdog recommended in 2015

The US DoT was less prepared for the coronavirus pandemic because it failed to coordinate a national aviation preparedness plan for communicable disease outbreaks that a federal watchdog recommended in 2015 during the Ebola outbreak, a government oversight agency said. The lack of such a plan undermined the ability of public health and aviation officials to coordinate their response to the Covid-19 pandemic and provide consistent guidance to airlines and airports, according to the Government Accountability Office released Tuesday. “Not only could such a plan provide a mechanism for the public-health and aviation sectors to coordinate to more effectively prevent and control a communicable disease threat, it could also help minimize unnecessary disruptions to the national aviation system, disruptions that to date have been significant,” the GAO said in the report. Under President Donald Trump and his predecessor, Barack Obama, the transportation department disagreed with the GAO’s recommendation that aviation needed its own communicable disease plan, the department said in a statement. Doing so “would risk an uncoordinated and disparate approach across different transportation modes and critical infrastructure sectors,” it said.<br/>

Indonesia anti-trust agency says 7 airlines guilty over ticket prices

Indonesia’s anti-trust agency has found seven airlines guilty of hurting consumers by lifting airfares at the same time last year, but the carriers were not found to be acting as a cartel, the agency said in a statement late on Tuesday. Rising air ticket prices in 2019 had triggered inflationary pressures in Southeast Asia’s largest economy, while also impacting hospitality businesses across the archipelago. The agency, known by its Indonesian abbreviation KPPU, found Garuda Indonesia, its unit Citilink, rival Lion Group’s Lion Air, Wings Air and Batik Air, as well as Sriwijaya Air and its subsidiary NAM Air guilty of “concerted action or parallelism”, which means they follow one another’s move in setting prices and discounts. They were ordered to report to the KPPU whenever they plan to raise ticket prices, the agency said, but were not fined despite violating anti-monopoly rules. KPPU said it took into consideration the already tough trading environment for airlines amid the coronavirus pandemic when making its ruling. The airline industry is controlled by a tight oligopoly, with the seven carriers controlling 95% of market share, KPPU said, recommending that authorities create rules to let more players enter the sector.<br/>

Europe urges Vietnam to restart flights as FTA takes effect

Europe has joined the growing number of economies urging Vietnam to resume international flights, as the country appears virtually free of the coronavirus and represents a strong investment destination for those seeking diverse supply chains. Nicolas Audier, chairman of the European Chamber of Commerce in Vietnam, called on Hanoi to authorize and issue visas letting foreigners enter the country when he spoke with the Nikkei Asian Review in Ho Chi Minh City, the southern commercial hub of the communist-led country, on Friday. Hanoi currently permits foreigners to leave Vietnam and allows the entry of commercial planes to gather passengers for return to Europe. But standard Europe-to-Vietnam flights are not expected to regain authorization until 2021. The National Assembly in Hanoi approved a free trade deal with the European Union on June 8, making Vietnam the second Southeast Asian nation to have such a treaty with the European bloc after Singapore. The EU-Vietnam Free Trade Agreement is set to take effect as early as August. "EU companies will consider Vietnam [as an investment target] now even more than before because of EVFTA," Giorgio Aliberti, EU Ambassador to Vietnam told Nikkei in another interview in Hanoi, soon after the approval of the free trade agreement.<br/>

UK ministers in talks to create air bridges with 'core' European nations

Ministers are in talks to create “air bridges” with a number of “core” European countries including Spain, Italy, Greece, France, Turkey and Croatia to let holidaymakers go abroad this summer without having to quarantine on their return. Austria and Germany are also among the countries officials are considering, the Guardian understands. There are hopes an announcement will be made before the UK quarantine programme is officially reviewed next Monday, to give the travel industry more time to prepare. The countries being considered to share an air bridge must have a small enough rate of infection to allow British people to travel there and back without having to undergo 14 days of self-isolation on their return. A government source said the list was fluid and dependent on the rate of cases per 100,000 population, but reports that up to 12 countries – including Australia – could have travel corridors with the UK were played down. Instead, a “core of Mediterranean destinations” as well as some in central Europe are under discussion. “[Air bridges are] subject to intense scrutiny and it is a priority matter for the government, there’s no doubt about that,” the source said.<br/>

Unions see jobs threat as Airbus scraps bid to build engine parts

French unions and a regional body slammed a decision by Airbus to cancel plans to bring some engine work in-house on Tuesday, saying it would cost 350 French jobs. Airbus was due to take over production of some A320neo nacelles or engine housings from Raytheon Technologies Corp this month, gaining access to future maintenance profits. The plan dates back to 2017 when Airbus looked at "in-sourcing" two types of nacelle offered by France's Safran and what is now Raytheon Technologies, depending on the type of engine. It later decided to import only Raytheon's work. But a public-private consultative body in the Occitanie region, where Airbus is based, disclosed that the plans had now been dropped altogether and said Airbus would instead prolong Raytheon's nacelles contract beyond end-June. Coming days after France unveiled support for aerospace, the "politically and economically untenable" move means jobs will go to Mexico or China, Jean-Louis Chauzy, head of the CERER consultative body, said. "The loss of capabilities will accelerate offshoring," he said, adding it would sour broader Airbus restructuring talks.<br/>

Thailand: Airlines to get new relief measures

Aircraft parking charges will be waived and a discount on landing and takeoff fees offered to all domestic and international airlines in the latest relief package approved for aviation operators, according to the Civil Aviation Authority of Thailand (CAAT). The package was given the green light at a Civil Aviation Committee (CAC) meeting chaired by Transport Minister Saksayam Chidchob on Tuesday. The move improves on relief measures provided at the onset of the Covid-19 pandemic to help airlines save on expenses, that had included a 50% discount on parking fees. Parking fees are now free until the situation returns to normal, CAAT director-general Chula Sukmanop said on Tuesday. The CAC also agreed that the 50% takeoff and landing fee discount, previously extended to 11 countries in the region, will cover aircraft from all countries operating flights into and out of Thailand.<br/>