U.S. and Qatari diplomats have reached an agreement to
maintain Open Skies agreements between the two countries in exchange for
greater financial transparency from Qatar Airways, the U.S. State Department
announced.
The agreement addresses the long-standing claims by several
U.S. carriers, including the three largest, that Qatar and the United Arab
Emirates both are violating Open Skies agreements by operating with substantial
state subsidies. The Gulf carriers have held firm that they do not benefit from
such subsidies.
Under the agreement, Qatar in the year ahead will release
public annual reports that include financial statements audited according to international
accounting standards. Within two years, it will "publicly disclose
significant new transactions with state-owned enterprises and take steps to
ensure that such transactions are based on commercial terms."
Qatar also has agreed not to add any fifth-freedom flights
to the U.S.—meaning flights to the U.S. originating from a country other than
Qatar—according to the Partnership for Open & Fair Skies, the coalition
leading the charge against the Gulf carriers.
The CEOs of all three of the U.S.'s largest airlines applauded
the decision. "Today's agreement by the state of Qatar is a strong first
step in a process for commercial transparency and accountability," Delta
CEO Ed Bastian said. "We remain committed to working with the
administration [of U.S. President Donald Trump] to address the harmful trade
violations by the United Arab Emirates, as well."