Top US airlines are exiting India and the reason can seriously dent the Indian aviation market
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Even though New Delhi and Washington share strong bilateral and trade relationship, especially in IT and agriculture sector, the US is not happy with the aviation trade between the two nations.
As per a top airlines executive, Government subsidies have forcedmajor US airlines out of the Indian market.
Chief Executive ofDelta Airlines Richard Anderson said that in essence the US did not have any aviation trade. “We have exited the market completely," said Anderson.
"Because essentially what these carriers have done is with subsidised government strategies, come into the marketplace to basically shift the traffic off of us and take us out of the Indian market," he added.
Anderson said the US flag carriers should be Indian market but airlines like American and Delta were not sustainable.
“When you have $41 billion worth of subsidy it's very difficult, if not impossible for us to be able to compete. And that harm is immediate," he informed.
Anderson said a white paper by the American airlines industry proved beyond doubt the subsidies provided by several governments like that of India.
A long-haul wide--body 777 in the US, drives about nearly 1,000 jobs per flight.
Anderson said when they put a 777 or a 74 or an A-350 or a 787 on a daily nonstop across the ocean, it drives almost 1,000 jobs for each one of these carriers. “And those jobs aren't here," he said.
(Image: Indiatimes)
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As per a top airlines executive, Government subsidies have forced
Chief Executive of
"Because essentially what these carriers have done is with subsidised government strategies, come into the marketplace to basically shift the traffic off of us and take us out of the Indian market," he added.
Anderson said the US flag carriers should be Indian market but airlines like American and Delta were not sustainable.
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“When you have $41 billion worth of subsidy it's very difficult, if not impossible for us to be able to compete. And that harm is immediate," he informed.
Anderson said a white paper by the American airlines industry proved beyond doubt the subsidies provided by several governments like that of India.
A long-haul wide--body 777 in the US, drives about nearly 1,000 jobs per flight.
Anderson said when they put a 777 or a 74 or an A-350 or a 787 on a daily nonstop across the ocean, it drives almost 1,000 jobs for each one of these carriers. “And those jobs aren't here," he said.
(Image: Indiatimes)
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