The Unfair Competition: U.S. Airlines vs. Chinese Carriers

The U.S. airlines and airline industry labor unions have brought attention to what they believe is an unfair competitive playing field between U.S. carriers and Chinese carriers. They argue that Chinese airlines have an advantage due to their access to Russian airspace, which U.S. carriers had to forgo during Russia’s invasion of Ukraine in March 2022.

The Department of Transportation (DOT) announced in February an increase in the flight cap for Chinese carriers to 50 roundtrips per week, up from the previous cap of 35 per week. This move has resulted in Chinese carriers operating a total of 200 U.S. roundtrips this month, while U.S. carriers are scheduled for only 143 round trips in April. The frequency of flights between the two countries has increased significantly over the past year, but it still remains lower than pre-pandemic levels.

In a letter addressed to DOT Secretary Pete Buttigieg and Secretary of State Anthony Blinken, U.S. airlines and unions expressed their concerns about the competitive disadvantage they face against Chinese carriers. They highlighted the advantage that Chinese airlines have due to their relationship with the Chinese government, which allows them to operate independently of standard market conditions.

The stance taken by U.S. airlines and unions has garnered some support in Congress. Illinois Democrat Raja Krishnamoorthi tweeted that if significant issues are not addressed by the U.S. government, U.S. aviation workers, travelers, and airlines will bear the brunt of the consequences of an expanding U.S.-China passenger carrier market.

The call for a fair competitive playing field between U.S. airlines and Chinese carriers is a valid concern that needs to be addressed by the Biden administration. The advantage that Chinese carriers have due to their access to Russian airspace and their relationship with the Chinese government puts U.S. airlines at a disadvantage. It is essential for the DOT and the State Department to carefully consider the implications of further increasing the number of flights allowed for Chinese carriers to operate to the U.S. to ensure fair competition and protection of the U.S. aviation industry.