It’s not just the subsidies that come in the form of cash that massively undermine fair competition.
The financial realities of aviation competitiveness are also affected by other areas of governmental control.
In Europe there are taxes on air travel, high airport charges, emissions requirements, night flight bans, and job protection, among other elements aimed at increasing safety and worker protections.
The state of Qatar and the United Arab Emirates lack all of those elements.
They don’t behave in a way that is consistent with either private sector competition or expected market behavior based on their air service agreements.
In these tables it is clearly outlined how the United Arab Emirates and Qatar approach their aviation industries in ways that are incompatible with their current air service agreements.
Emirates, the national airline of Dubai, has collected subsidies from their government for years. Learn about the different ways they have collected subsidies from the United Arab Emirates.
Etihad Airways has collected subsidies from their government since they were founded. Learn how much they have collected and the different ways they have collected subsidies from the the emirate of Abu Dhabi in the United Arab Emirates.
Qatar Airways never needed to depend on profits to keep their airline in business. When funds are running low, they can depend on a check from their government. Who else is going to buy all of those A350s?