Dubai: Etihad Airways receives equity investments and shareholder loans from the Abu Dhabi government, President and Chief, James Hogan, said on Tuesday in an apparent counter of allegations the airline benefits from state subsidies.

Hogan made the statement at a conference in Washington D.C sponsored by the US Chamber of Commerce. Etihad provided excerpts of the speech to Gulf News ahead of Hogan’s address.

The comments come in response to allegations made by the US’ largest airlines, Delta, United, and American, last month that the three major Gulf airlines, Etihad Airways, Emirates and Qatar Airways have benefited from over $40 billion in state subsidies over the past 10 years.

The US airlines, lamenting that the Gulf carriers are eating at their market share, have called on the White House to review the open skies agreement with the UAE and Qatar because, they say, the subsidies breach the open skies agreement.

“The airline has always made clear it has received equity investment and shareholder loans, which have been supplemented by $10.5 billion in loans from international financial institutions,” Hogan stated.

The US airlines allege, made public in a 55-page white paper, that Etihad received $17 billion in government subsidies since 2014. Including, $12.5 billion in interest free loans from the Abu Dhabi government for aircraft purchases from Boeing and Airbus and to cover operating losses.

Etihad’s $640 million sponsorship of English Premier League football club Manchester City was also paid by the government, the US carriers claim.

Etihad along with Emirates and Qatar Airways have historically denied they received subsidies. Last week, Abu Dhabi Airports Chairman, Ali Majed Al Mansouri, told Gulf News that Etihad had not been exempted from $501 million in fee exemptions at Abu Dhabi International, as alleged in the whitepaper. Abu Dhabi Airports, the operator and manger of airports in the emirate, is owned by the Abu Dhabi government.

Hogan stated that any action on the open skies policy by the US, which allows US and UAE carriers unrestricted landing rights on each others country, would be detrimental for passengers.

“This is ultimately all about consumer choice. Customers choose to fly Etihad Airways because we offer a great product, with outstanding service, on the routes they want to fly, at prices that are competitive within those markets,” he said.

The three Gulf airlines have said are gaining market share because they offer a better product and service than the US carriers.

The US government has reportedly said it takes the concerns of US carriers seriously but that it is “committed to the Open Skies policy which has greatly benefitted the traveling public, the U.S. aviation industry…and the broader U.S. economy.”

Hogan also used Etihad’s buying power to counter the argument by US airlines that market share lost to Gulf carriers would be damaging for US jobs.

“Our commitment to the US economy supports more than 200,000 jobs,” he said.

Etihad is a major buyer of US products, including an order of 120 aircraft from US manufacturer Boeing that Hogan said was valued at more than $36 billion.

Tim Clark, President of Emirates airline, is scheduled to hold a press conference in Washington DC later on Tuesday where he is also expected to address the allegations.