SIA renews push for US Australia route
Singapore Airlines has renewed its push for foreign carriers to be
allowed to fly the lucrative transpacific route between US and
Australia.
In a submission to the center-left Labor government's National Aviation
Policy Green Paper, SIA said it believes the international air services
policies of past governments have "not adequately balanced competing
interests.
And it said, this has come at a cost to the tourism industry through missed opportunities to capitalize on growth.
SIA singled out the so-called transpacific route between Australia and the US for particular criticism.
It said that Australia's regulatory approach "maintains protection for
Australian carriers, which is counter to its position of supporting
open and free trade elsewhere.
The route is currently dominated by national carrier Qantas Airways and UAL Corp's United Airlines, due to a policy of only allowing Australian and US carriers to fly the route.
SIA said there's simply not enough competition on the transpacific route.
With only Qantas and United Airlines servicing the route, the Singapore
carrier said fares are very high and uncompetitive as a result.
SIA also said protecting Qantas' interests is "serving only the
interests of Qantas, not Australia's national interest, which depends
on tourism growth.
It added that it's a "long-term player in the Australian market" and has a "keen interest" in developing a strong relationship with the new Australian government.
Australia's Victoria state government, in a separate submission, also called on the federal government to grant SIA and other "third country" airlines access to the Australia to US route. - 938Live