Just In>US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 9:48 am

US and Hong Kong authority has reached the agreement on liberalizing air services between the 2 areas early Saturday morning.

This will give airlines from both sides greater access to each others' airports.

Deals including:

-Cathay Pacific selling seats on OneWorld Alliance Partner American Airlines' domestic US flight.

-U.S. carriers gains more access on Passenger and Cargo flights.

Cathay has long sought to put its own flight numbers on services offered in the United States by American Airlines -- a practice known as code-sharing.

Due to this is the first press release regarding this news, more details will be provided soon.

H. Simpson
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RE: Just In>US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 9:51 am

Does it mean that we will see Dragonair or Cathay Pacific flying in U.S. domestic or more U.S. carriers to Hk?

thanks for the news
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RE: Just In>US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 9:53 am

Dragonair and Cathay obviously don't get cabotage, but Cathay Pacific and AA are gonna make big $$ with their new codeshare. Perhaps we'll also see AA going ORD-HKG or DFW-HKG...finally.

Aaron G.
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RE: Just In>US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 7:53 pm

Yes, good news for HKG and good news for CX and other airlines benefiting. Oneworld carriers seem to be benefiting most, with CX getting codeshare rights, AA being permitted to launch services and CX being allowed to add more cities.

Does this mean CX's proposed n/s to ORD will be back on the agenda for next year?

User avatar
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RE: Just In--US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 10:55 pm

I think now that the US and Hong Kong have reach a new deal on air services, the huge beneficiary is American Airlines.

This means that CX will likely fly from HKG to SFO, LAX, ORD, DFW and JFK. In return, we might even see AA 777-200ER's in HKG flying from ORD and DFW.

Hopefully, this new deal means that NW and UA might fly more flights into HKG, too. How this affects SQ's flagship flights SQ 001/002 is still unknown, though, since the HKG-SFO-HKG segment is one of the most profitable routes on SQ's entire system.
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RE: Just In>US-HK Reaches New Air Service Deal

Sat Oct 19, 2002 11:02 pm

The News on TV just said that 'hong kong airlines will gain rights to fly US domestic routes' and also "Cathay Pacific stated that the agreement only protects the benefits of airlines in the USA".

Don't know the details though.
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RE: Just In>US-HK Reaches New Air Service Deal

Sun Oct 20, 2002 4:18 am

Hong Kong and the United States of America have signed an expanded air services pact granting U.S. airlines access to Asia's skies... "to the dismay of Cathay Pacific".

U.S. carriers have been granted landing rights in HKG known as fifth freedom rights. Fifth freedom cargo flights will rise by 50 to 58 flights and passenger flights are up 28 to 56 per week.

Hong Kong's de facto airline can codeshare on American Airlines flights in the U.S.A.

"There are now very wide range of countries available to them (U.S. carriers)," said Andrew Pyne, Cathay's general manager for international affairs.

"In terms of passenger flights, we are talking about access to Japan, Korea and Southeast Asia, and for cargoes flights we are talking about almost worldwide coverage, excluding Australia and Japan," he said.

Asked about the effect of the deal on Cathay's bottomline, Pyne said: "we are concerned about the impact of the fifth freedoms."

"Cathay Pacific is disappointed with the outcome of the fifth freedom discussion which is a clear unbalanced exchange in favour of the U.S. carriers," Cathay said in a statement issued on Saturday.

"The U.S. negotiation team has achieved major success for the U.S. carriers. We are disappointed with the U.S. protectionism, which denies Hong Kong carriers' equivalent commercial opportunities," the statement said.

More information at the Reuters / Yahoo website and at the Reuters / Yahoo website

Information was gathered from the above hyperlinked webpages. Full information can be viewed by clicking the above hyperlink. There were no quotes or comments directly from the U.S. airlines.
Anyone can fly, only the best Soar.
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RE: Just In>US-HK Reaches New Air Service Deal

Mon Oct 21, 2002 9:29 pm

I think it is not a good news, but not too bad. This new agreement can help HK to become a logistics hub, but the HK carriers do not get enough benefit as US carriers get. It is unfair to HK because the US carriers can fly to SE region via HK, but HK cannot fly to S America or Europe via US.

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