Delta is axing its Atlanta-Dubai service from next year, blaming “heavily subsidised” Middle East carriers for the decision.
From February 11 2016, Delta will no longer operate the B777 on the route, with it being redeployed to other transatlantic markets where competition is not “distorted by subsidised state-owned carriers”.
Delta has asked the US government to address the issue of claims that around $42 billion in subsidies is given to Gulf carriers, which it says “violates the Open Skies agreement” between the US and Middle East.
“It said: "Between 2008 and 2014, about 11,000 daily seats were added between the US and Dubai, Doha, and Abu Dhabi – more than 95 per cent of which are flown by Gulf carriers Emirates, Qatar and Etihad airlines.
"Of the 14 daily flights between the US and Dubai, only two are operated by US carriers."
The Middle East carriers deny the claims that Open Skies deal is weighted in their favour. Earlier this year, Qatar Airways CEO Akbar Al-Baker said the ‘Big Three’ US airlines were attempting to “block new competition and limit consumer choice”.
In June, Delta, United and American formed the Partnership for Open & Fair Skies coalition calling on the US government to enforce the open skies agreement, which they claim is weighted in favour of Gulf carriers.