ABSTRACT

The perceived inadequacy of the Chicago Convention of 1944 to provide multilateral guidelines on air traffic rights for commercial air carriers has led to the need for bilateral negotiations between contracting States regarding the exchange of air traffic rights between their national carriers. One of the corollaries to the air traffic rights debate has been debate over whether the present bilateral regime adequately serves the needs of commercial aviation. This chapter analyses the reasons behind the air traffic rights protectionism which has resulted from Article 6 of the Chicago Convention, and examines competition rules, both in commercial aviation and those of the World Trade Organization. The International Civil Aviation Organization Fourth Worldwide Air Transport conference had the daunting task of focusing on the tools or regulatory content needed for a less restricted industry in an increasingly competitive global environment, in conformity with the general trends of changing regulatory needs in most other service industries.