Economy

Europe Prepares to Implement Open Skies Agreement with Qatar

Europe Prepares to Implement Open Skies Agreement with Qatar

The French newspaper La Tribune confirmed that the European Union is preparing to implement the open skies agreement with Qatar during the fall. This agreement will widely open European airspace to Qatar, allowing Qatar Airways to add routes it deems suitable from Doha. Additionally, Qatar's cargo airlines will also be able to operate freight flights between Europe and the United States.

The report, translated by "Al Sharq," indicated that the file, which has been pending for over five years, is close to completion. The European Union and its member states are preparing to ratify the open skies agreement with Qatar, meaning that the air traffic liberalization agreement allows member airlines to serve any city without restrictions on capacity or the number of flights.

Final Touches in the Fall

According to the report, this agreement has been awaiting final signature since March 2019 due to a dispute between the British and Spanish over Gibraltar. However, the recent exit of the United Kingdom from the EU has made it possible to resolve this long-standing issue and enable Brussels to relaunch the file last spring.

The report continued that starting from the European Commission, it is expected to be ratified by the permanent representatives of member states by the end of September and then by the Council of the European Union. Thus, the Commission could sign it on behalf of the EU this fall, with Qatar expected to follow suit afterward. The text will then be applied immediately on a provisional basis without waiting for ratification by national parliaments and the European parliament.

The newspaper stated that starting this fall, Qatar Airways will receive third and fourth freedom rights without restrictions in terms of routes, capacity, and frequencies between any point in Qatar and the EU, which is unprecedented for the Gulf carrier. Consequently, the Qatari company will be able to operate at full capacity to Europe once long-haul traffic resumes.

The agreement includes a five-year transitional period for traffic to Germany, Belgium, France, Italy, and the Netherlands, which have yet to liberalize traffic through bilateral agreements with Qatar. Currently, France grants Qatar Airways 42 frequencies, half of which are in Paris. This will gradually increase to 96 by the Winter 2023-2024 season, followed by a move to complete open skies the following year.

Cargo Activity

The newspaper explained that concerning cargo activity, the agreement goes further by granting fifth freedom rights, allowing a Qatari airline to operate flights between the EU and other countries. Initially, this will only concern the United States, with which Qatar and Europe have established open skies agreements. However, theoretically, this fifth freedom could extend to any country in North or South America. In return, European airlines will be able to serve most of Asia and Oceania from Qatar, but again, the interest is limited.

Nonetheless, Brussels has set some guarantees, and this fifth freedom will not be granted fully: it is limited to four weekly frequencies per member state at the time of signing, increasing to a maximum of seven during the IATA Winter 2023-2024 season. In fact, before the end of the year, Qatar Airways will be able to connect Paris directly to Chicago, which is beneficial for the company that has a substantial freight fleet consisting of two Boeing 747-8F and twenty-two 777F aircraft. By comparison, Air France-KLM has only six dedicated cargo planes after deciding over ten years ago to focus on shipments by reservation.

Qatar Airways should immediately benefit from the situation to boost its cargo transport to France by establishing dozens of flights between France and Qatar, in addition to six routes across the Atlantic. Therefore, the Qatari company will continue to develop cargo activities in France: from 290 full cargo flights in 2019, it increased to 1,200 flights in 2020, benefiting from the exemption policy set by the General Directorate of Civil Aviation to allow additional cargo flights for health-related reasons or the development of regional airports. This policy benefited, for instance, Vatry Airport, which had been receiving Qatari freight twice to three times a week for almost a year.

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