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DECEMBER 2019

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United Airlines offers diplomatic solution for Manila access

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December 13th 2019

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U.S. carrier wants PAL group code-share paused until it can expand at Manila. Read More »

Once again, United Airlines (UA) is asking the U.S. Department of Transportation (DOT) to put approval of a Manila-Guam code-share between Philippine Airlines (PAL) and its subsidiary PAL Express on hold until the Chicago-headquartered airline receives slots at Manila airport.

PAL Express had asked DOT to dismiss UA’s objection and proceed with the code-share. PAL Express argued it was not in control of slots at Manila and had been denied slots at the capital city airport. PAL Express also wants to differentiate between its code-share request and UA’s slot access issue.

In response, UA wrote slot access and code-shares are forms of commercial benefit the U.S.-Philippines air service agreement requires and there should be fair and equal opportunity to compete without bias.

In its first submission, UA said PAL had increased flights to the U.S. by 25%, but the UA application had been rejected. PAL Express said UA did not submit evidence nor supply any in its UA follow up correspondence.

A UA spokesperson declined to say if the airline’s requested slots were at similar times as the new slots allocated to PAL. The UA spokesperson also declined to say which city UA wants to serve with additional slots. UA operates a Manila-Guam flight.

In its submission, UA said it “believes the two governments may directly be able to resolve the issue through diplomatic or other channels”.

UA also seemed to suggest genuine slot congestion should not be an excuse to deny UA slots. UA wrote: “United’s position is that regardless of the airport slot situation, the U.S. and Philippines governments must address the growing competitive disparity at Manila.”

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