Global Airlines

I ended up doing additional research on a previous post regarding global airlines and competition. I started by researching the competition between the foreign airlines and the domestic American airlines. I examined my previous post and revisited the topic taking into consideration new information and input from the in class discussion following the prior assignment. I also examined the recent merger of American Airlines and U.S. Airways and the impact it will have on a global level.

The domestic American airlines (including American Airlines) have long claimed to be unfairly treated by the U.S. government. They claim that some foreign airlines receive government support which provides them with an advantage on a global level.

They are currently lobbying the government for renegotiated international agreements which govern foreign airspace. These agreements attempt to eliminate government interference and allow domestic American airlines to compete with foreign airlines without as many restrictions. This comes in response to reports that foreign airlines are receiving government subsidies while domestic American airlines are not. This is not completely true.

There are reports that claim the domestic American airlines have received government subsidies as well. The latest report was 150 billion dollars over the last one hundred years (Arnold 2015).

American Airlines has lead most of the arguments against the U.S. government and the open skies agreement. They claim that the report does not account for what the money was spent on (they claim around 140 million was spent on a trust fund that supported Federal Aviation Administration spending).

They also claim that American based airlines have contributed money (around 10 million annually) including both American Airlines and United Airlines (Reed 2015).

American domestic based airlines still rule on a global level despite the recent success of the global airlines. This has not supported their argument.

American Airlines is now the largest airline following the recent merger. This allows them to compete even more on a global level (Rapoza 2015). This merger went through similar questions regarding competition and fairness that are currently being discussed regarding the open skies agreement.

I think that the competition between foreign airlines and the domestic American airlines is fair. They both have received support that have allowed them to compete and provided advantages on a global level.

This is a change from my previous post where I argued that the competition was unfair due to support received by foreign airlines. Through additional research I was able to supplement my knowledge and reach a new conclusion. The in class discussion prompted me to relook at this topic in an attempt to find new information and gain a better understanding. They both have received support (in different forms) that have allowed them to compete and provided advantages on a global level.

Arnold M. (2015 June 23). American Air CEO says GovernmentShould Address Subsidy Spat. Retrieved December 10 2015.

Rapoza K. (2015 May 24). American Airlines May Stand Alone inFight. Retrieved December 11 2015.

Reed T. (2015 April 14). U.S. Airlines have paid theGovernment Billions. Retrieved December 10 2015.

ATC Privatization

The privatization of the ATC system in the U.S. has been an increasingly discussed issue over the past few years. The airlines (according to Airlines for America) are now in support for the privatization of the ATC system. The airlines have realized that the promised upgrades in the ATC system (currently run by the Federal Aviation Administration) are not going smoothly and are not even close to implementation (Boyd 2015). The Federal Aviation Administration has created a long line of failed programs (including the most recent Advanced Automation System). The current program (the Next Generation Air Transportation System) has already been delayed and continues to have implementation problems.

The general aviation community is still against the privatization of the ATC system. They fear the privatization of the ATC system will create user fees (Tennyson 2015). The AOPA is currently fighting against the privatization of ATC.

The process to privatization would be long and time consuming. The idea is currently expected to be proposed as a bill. The bill would then go to voting in both the House of Representatives and the Senate. The bill would then have to go through implementation and the regulatory process (if the bill passes). This would include a notice of proposed rulemaking that would allow comment from various representatives from the industry.

There are many countries who have already adopted a private ATC system. The system seems to reduce the costs to the airlines by removing excess fees imposed by non-direct routes and ATC delays (although these countries have significantly less air traffic than the U.S.).

I do feel that a privatized ATC system would be more effective. Advanced technology would be easier to implement and the upgrade process would go smoother.

Tennyson E (2015 June 15). Any Change to ATC System Must Protect GA. Retrieved December 6 2015.

Boyd M (2015 October 6). Time to Privatize U.S. Air TrafficControl. Retrieved December 6 2015.

FAA GA Medical Reform

The current agenda for general aviation medical reform is to remove the requirement of renewing your third class medical certificate completely. Anyone who has received a third class medical certificate within the past ten years would not be required to renew that certificate if the bill passes. Anyone who receives a third class medical certificate (if the bill passes) would not be required to renew that certificate unless a new medical condition is developed requiring a special issuance medical certificate (Tennyson 2015). A logbook endorsement would take the place of renewing the third class medical certificate and would be completed by an aeronautical medical examiner every four years.

The suggested reform is already far in the regulatory process. The suggested reform is currently a bill and is awaiting vote on an amendment by the Senate (Tennyson 2015). The legislation must first be signed into law prior to the Federal Aviation Administration beginning the regulatory rulemaking process. The rulemaking process could take up to a year.

I agree with increasing the renewal time requirement of a third class medical certificate. This would allow third class privileges for a longer period of time which will benefit general aviation pilots (primarily those above the age of 40). I am against removing the renewal time requirement completely though. I think the third class medical certificate renewal should still be required (to ensure medical standards are met). Removing the requirement completely may create a safety hazard. I think requiring a logbook endorsement every four years by an aeronautical medical examiner is a positive response.

I do feel that medical reform is necessary for general aviation pilots. The current third class renewal time requirement is too short and should be extended to accommodate general aviation pilots (primarily those above the age of 40). Requiring them to renew their third class medical certificate every few years is not necessary.

Tennyson E. (2015 November 29). Closer Than Ever. Retrieved November29 2015.

Competitor to Airbus and Boeing

I do not believe this aircraft will ever receive FAA certification. This will prevent it from reaching primary markets and prevent is from operating within the United States. The certification problems come from a lack of competence exhibited by the Civil Air Administration of China (CAAC) during an earlier project in 2011 (Perret 2013). The aircraft may still be sold to local markets but the goal was to receive the FAA certification and compete with Airbus and Boeing products.

The certification of this aircraft would provide many challenges for American carriers. The public perception may play a role if American carriers chose to operate this aircraft. There is already a perception among the public that products produced in China are generally not durable and lack quality (because of mass production). I do not think American carriers would choose to operate this aircraft even if it was able to receive the required certification. Airbus and Boeing are both more reliable manufacturers.

The Commercial Aircraft Corporate of China (COMAC) is a Chinese state owned aerospace manufacturer. The primary project is currently the 919 (including receiving the required certification). The 929 and 939 are proposed projects and are larger variants (more seats) of the 919. The company was created (and owned) by the Chinese government to reduce the reliability on Airbus and Boeing products.

The certification of this aircraft would open up the opportunity for other aerospace companies to compete with Airbus and Boeing. This may provide additional problems as other companies may cut costs in an attempt to be competitive (risking safety in the process).

Airbus and Boeing have responded to the development of this aircraft by producing aircraft that are more economically friendly (including producing new variants of the A320 and 737-800). The engines on the older variants were replaced to provide the more economically friendly variants (Gates 2015).

Gates D. (2015 September 15). Boeing starts final assembly of 737 max. Retrieved November 8 2015.

Perret B. (2013 December 16). 919 may be largely limited to Chinese market. Retrieved November 8 2015.

Aviation Organizations

The Airline Pilot Association (ALPA) represents pilots of regional airlines in the United States. This includes pilots of Envoy Air (operating as American Eagle). I plan on becoming a pilot for Envoy Air upon reaching the ATP minimums. The Airline Pilot Association is the largest airline pilot union in the United States. They represent the views of pilots and negotiate with both Congress and the regional airlines (including negotiating regional airline contracts with mainline operators). The Airline Pilot Association will support me throughout my career by representing the needs of the pilot and promoting safety.

The Allied Pilot Association (APA) represents pilots of American Airlines. I plan on upgrading to American Airlines following employment with Envoy Air (operating as American Eagle). The Allied Pilot Association is the largest independent pilot union in the United States. They represent the views of the American Airlines pilots and work to promote safety within the airline. The Allied Pilot Association is operated by former American Airlines pilots and understands the need of current pilots. The Allied Pilot Association will support me throughout my career by representing the needs of the pilot and promoting safety.

Airline Pilot Association

Allied Pilot Association

Global Airlines

The domestic American airlines (including United and American) are currently lobbying the government for renegotiated international agreements which govern foreign airspace. This comes in response to reports that foreign airlines are receiving government subsidies while domestic American airlines are not. These agreements attempt to eliminate government interference and allow domestic American airlines to compete with foreign carriers without as many restrictions.

Emirates has already confirmed receiving government subsidies. The latest reports indicate the amount to be in the billions. Qatar has also received government subsidies. The latest reports indicate that the foreign carriers (including Emirates and Qatar) have received over 40 billion dollars in the last few years (Arnold 2015).

There are some reports that claim the domestic American airlines have received government subsidies as well. The latest report was 150 billion dollars over the last one hundred years. This report have do not account for what the money is spent on (around 140 million was spent on a trust fund that supported Federal Aviation Administration spending). American based airlines have even contributed money towards the fund. American based airlines contribute around 10 million annually to the fund (Reed 2015).

The foreign airlines have also taken advantage of below market interest rates. The United States Export Import Bank provides reduced interest rates to foreign purchases in an attempt to reduce credit risk to potential buyers. This has created a lot of controversy. Boeing was strongly lobbying Congress to have the United States Export Import Bank discontinued. Boeing manufactured jets are purchased by these foreign airlines at reduced interest rates.

I think this problem should be addressed. This provides an unfair advantage to foreign airlines. They have a better overall infrastructure due to massive government subsidies and are able to purchase large quantities at reduced interest rates (the American based airlines do not benefit from either of these).

Arnold M. (2015 June 23). American Air CEO says Government Should Address Subsidy Spat. Retrieved October 25 2015.

Reed T. (2015 April 14). U.S. Airlines have Paid the Government Billions. Retrieved October 25 2015.

Cargo Pilot Regulations

The Federal Aviation Administration (FAA) has released an updated flight and duty time regulation following the Continental Connection (Colgan Air) crash. The new regulation requires a minimum rest period of ten hours (which is an increase over the previous requirement of eight). The regulations goes on to state that a pilot must have the opportunity to receive eight hours of uninterrupted rest within each ten hour rest period. The new regulation also limits a pilot to a maximum eight hour flight period (or nine depending on the start time) and a fourteen hour duty period. A pilot must also provide a statement saying he is fit for duty prior to each duty period. These new regulations were adopted to attempt to minimize pilot fatigue (a factor associated with the Continental Connection crash).

The cargo industry has been exempt from this new regulation. The flight and duty time requirements for cargo operations require eight hours between required rest periods (Carroll 2014). They also require ten consecutive hours of rest for every eight hours of flight time (nine consecutive hours below eight hours of flight time and eleven consecutive hours above nine hours of flight time). There is no requirement for uninterrupted rest. The requirements also limits a pilot to one thousand hours a year and one hundred hours a month.

The cargo operations have been exempt from this new regulation because they do not conduct passenger carrying operations (FAA 2011). This is stated directly in the preamble of the final rule. A number of other factors may have also contributed to the exemption. The added costs may be too high for some cargo operations. The public perception may have also played a role.

I do feel the new regulation should apply to cargo operations. The pilots of cargo carrying operations endure similar stresses as passenger carrying pilots even though they are not carrying passengers. The pilots of cargo carrying operations also tend to work non-traditional schedules (including throughout the night or longer legs). The new regulation is relatively similar to the old one but the change should be uniform throughout the industry.

I would consider becoming a cargo pilot if this new regulation applied to all operations. The tough and inconsistent schedule of a cargo pilot along with high flight and duty time requirements make this opportunity relatively unattractive.

Carroll J. (2014 March 13). UPS pilots urge more rest for cargo crews. Retrieved October 18 2015.

FAA. (2011 December 21). FAA Releases Final Rule on Pilot Fatigue. Retrieved October 18 2015.