29 JANUARY 2018
BTN also goes out by email every Sunday night at midnight (UK time). To view this edition click here.
The Business Travel News
PO Box 758
Edgware HA8 4QF
+44 (0)20 8952 8383
© 2020 Business Travel News Ltd.
In an announcement late Friday evening UK (and Northern Ireland) time the US International Trade Commission overturned by 4-0 votes a previous ruling from the American commerce department placing a 300% tax on Bombardier C Series to Delta Airlines.
It was a victory for common sense and a double defeat for Boeing. Not only was the move by Chicago not justified (let us assume it was HQ and not Seattle who instigated the protest against the 75 aircraft order), but the action did Boeing no good globally with airline goodwill. No one supported the move in the greater world and there were some in Boeing itself not in favour. The fact that the C Series does not compete with the larger Boeing MAX was reflected by the New York Stock Exchange where the shares stayed the same.
Someone very high up at Boeing should resign.
Maybe Delta will fly the C Series into London City Airport at an early stage from New York? A service would be a wonderful money-making flag carrying operation for the airline.
In a statement Bombardier said: “Today's decision is a victory for innovation, competition, and the rule of law. It is also a victory for US airlines and the American traveling public. The C Series is the most innovative and efficient new aircraft in a generation. Its development and production represent thousands of jobs in the United States, Canada, and the United Kingdom. We are extremely proud of our employees, investors and suppliers who have worked together to bring this remarkable aircraft to the market. With this matter behind us, we are moving full speed ahead with finalising our partnership with Airbus. Integration planning is going well and we look forward to delivering the C Series to the US market so that US airlines and the American flying public can enjoy the many benefits of this remarkable aircraft”.
All comments are filtered to exclude any excesses but the Editor does not have to agree with what is being said. 100 words maximum
William Tahil, France
Of course the C Series competes with the 737 and A320. An airline will look at the route and optimise (among other factors) the aircraft size and frequency for the route. So if they are coming up to a decision to place a fleet order, do we go with a smaller aircraft on the route, higher load factors and/or more frequencies or with a larger aircraft, lower load factors, lower frequency but more growth capacity – etcetera. Just because an aircraft is smaller does not mean it does not compete – the overall decision feeds in all the factors for optimised economics, holding/ developing market share, market development and so forth. Example: Qantas say they can operate two 777s on a route cheaper than one A380. Saying an aircraft does not compete with another because it is smaller is incorrect.