Corporate Travel News For The Americas

San Diego International Airport reported (21-Dec-2017) the following traffic highlights for Nov-2017:

• Passengers: 1.9 million, +10.8%;
  • Domestic: 1.8 million, +10.1%;
  • International: 69,168, +32.8%;
• Cargo: 15,569 tons, -1.1%;
  • Freight: 13,757 tons, +0.5%;
  • Mail: 1992 tons, -2.8%;
• Aircraft movements: 17,317, +10.0%. [more - original PR]

European Commission (EC) granted (21-Dec-2017) unconditional approval for the proposed acquisition of Zodiac Aerospace by Safran. The EC concluded the transaction would raise no competition concerns in the relevant markets. The commission carried out a broad investigation of the markets where the companies are active. Details include:

flydubai finalised (21-Dec-2017) the purchase of 175 Boeing 737 MAX aircraft, the largest narrowbody jet order for a Middle East carrier. The contract also includes options for an additional 50 aircraft valued at USD27 billion at current list prices. flydubai CEO Ghaith Al Ghaith commented: "This is our largest order in our eight-year history and our third order with Boeing whose aircraft have given us the ability to carry 44 million passengers since we began operations. With up to 296 aircraft on order, we have become one of the world's top ten airlines in terms of order backlog and we look forward to continuing to enhance the connectivity of Dubai's aviation hub". [more - original PR]

Boeing and Embraer confirmed (21-Dec-2017) they are engaged in discussions regarding a potential combination, the basis of which remains under discussion. The parties stated there is no guarantee a transaction will result from the discussions. Any transaction would be subject to the approval of the Brazilian Government and regulators, the companies' boards and Embraer's shareholders. Boeing and Embraer do not intend to make any additional comments regarding the discussions. [more - original PR]

Lufthansa announced (21-Dec-2017) plans for A380 aircraft based at Munich Airport for winter 2018/19. As previously reported by CAPA, Lufthansa will base five A380s at Munich from 25-Mar-2018, serving Los Angeles, Hong Kong and Beijing. The winter 2018/19 season will however see a destination change from Munich to Miami, Shanghai and San Francisco. [more - original PR]

Avianca Brasil CEO Frederico Pedreira said the carrier is in negotiations with United Continental Holdings to deepen its codeshare agreement, with the ultimate aim of reaching a global JV agreement (Reuters, 20-Dec-2017). "We are currently working to expand our codeshare agreements, as well as other alternatives to improve collaboration between the two companies, which will be announced when the time is right," Mr Pedreira said. Discussions continue in parallel with partnership negotiations between United and Avianca Holdings, he added.

Canada's Minister of Foreign Affairs Chrystia Freeland issued (20-Dec-2017) a statement on the US Department of Commerce's final duty determinations on Bombardier C Series aircraft, reporting the Government of Canada is "deeply troubled by the protectionist nature of Boeing's allegations, which seek to advance its market dominance by excluding Bombardier's C Series aircraft from the US market". Ms Freeland added it is "beyond all reason that Boeing could be threatened with injury in a market segment it exited over a decade ago" and noted that the high level of final countervailing and anti-dumping duty rates announced by the US Department of Commerce on imports of the C Series "are highly punitive to aerospace workers on both sides of the border". [more - original PR]

US Secretary of Commerce Wilbur Ross announced (20-Dec-2017) affirmative final determinations in the antidumping duty and countervailing duty investigations of the import of 100 to 150 seat large civil aircraft (Bombardier C Series) from Canada. Secretary Ross said the decision was "based on a full and unbiased review of the facts in an open and transparent process" and the US is "committed to a free, fair, and reciprocal trade and will always stand up for American workers and companies being harmed by unfair imports." The US Department of Commerce determined imports of 100 to 150 seat large civil aircraft to the US from Canada were conducted at 79.82% less than fair value. It also determined that Canada is providing unfair subsidies to its producers of 100 to 150 seat large civil aircraft at a rate of 212.39%. [more - original PR]

Croatia's National Tourist Board discussed (04-Dec-2017) the possibility of launching nonstop services to the US. Croatia's National Tourist Board director Kristjan Staničić said US partners expressed support for the proposal. [more - original PR - Croatian]

US Department of Commerce (DoC) made (20-Dec-2017) affirmative final determinations concerning antidumping duty (AD) and countervailing duty (CVD) investigations for the import of Bombardier C Series aircraft from Canada to the US, applying tariffs totalling 292.21%. DoC stated:

• Bombardier's final dumping margin was based on "adverse facts available (AFA) because Bombardier failed to provide information requested by DoC in its AD questionnaire". Boeing alleged one dumping margin in the petition. As AFA, DoC applied the sole dumping margin calculated in the petition for Canadian exports of aircraft, which is 79.82%;
• Using reported information from Canada, Quebec, the UK and Bombardier, the DoC calculated a final subsidy rate of 212.39% for Bombardier;
• Bombardier, the Canadian Government and petitioners agreed the proposed transaction between Bombardier and Airbus for majority ownership of the C Series does not impact these investigations. The proposed transaction is yet to be finalised;
• Upon publication of the final affirmative AD and CVD determinations, US Customs and Border Protection will be instructed to collect cash deposits equal to the applicable final weighted average dumping margin and the final subsidy rate;
• The US International Trade Commission (ITC) is scheduled to make its final determinations in the case on or about 01-Feb-2018. If the ITC makes affirmative final determinations that imports of aircraft from Canada materially injure, or threaten material injury to, the domestic industry, the DoC will issue AD and CVD orders. If the ITC makes negative determinations of injury, the investigations will be terminated. [more - original PR]