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United States, Brazil Reach Open-Skies Aviation Agreement

Representatives of the United States and Brazil have agreed to implement an Open-Skies aviation regime, which will significantly liberalize U.S.-Brazil air services for airlines of both countries over a transition period.

“This agreement means the travelers, shippers, airlines and economies of both the United States and Brazil will benefit from competitive pricing and more convenient service,” said U.S. Transportation Secretary Ray LaHood.

The agreement immediately removes restrictions on pricing and on the routes between each country that can be served by U.S. and Brazilian scheduled and charter airlines.  The agreement also provides immediately for full code-share rights and additional charter flexibility.  Between October 2011 and October 2014, U.S. carriers will be allowed to operate significant increases in scheduled combination, all-cargo and charter flights, including additional services to the currently restricted and highly congested Sao Paulo and Rio de Janeiro airports.

When full Open Skies take effect in October 2015, airlines from the United States and Brazil will be allowed to select routes, destinations and prices for passenger, cargo and charter services based on consumer demand and market conditions.

Brazil will become the 101st U.S. Open-Skies partner.

Monday, December 6, 2010