2007 Agreement Covering Expansion From 2007 To 2009
In April, 2006, the two countries began negotiations for further liberalization of the bilateral agreement. Talks were suspended in August 2006, but later resumed. The United States has stated that suspension of talks was due to an unrelated issue. Unofficial Chinese sources report that there was concern because of a “gap” in Chinese airlines’ ability to compete with U.S. airlines. Negotiations were scheduled to resume in January 2007.
An agreement reached on July 7, 2007, allows nearly unlimited service between the People's Republic of China and Guam and between the People's Republic of China and the Northern Mariana Islands. These unlimited rights do not include Beijing or Shanghai flights operated by U.S. airlines but do include those cities for mainland Chinese airlines.
Not including the potential expansion to Guam and Saipan (Northern Mariana Islands), by 2011 the current bilateral between the two countries will expand the number of U.S. airlines flying to China from four to nine airlines and from 54 passenger flights weekly to 249.
Negotiations for an open skies agreement were scheduled to begin not later than March 25, 2010, according to a treaty between the two countries.
For the 2007, 2008, and 2009 awards, the Department of Transportation awarded routes at one time instead of considering one year at a time. United and Delta objected unsuccessfully to have the process separated.
Read more about this topic: Air Route Authority Between The United States And The People's Republic Of China
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