Dubai: Etihad Airways President and Chief Executive, James Hogan, has met with the European Commission Transport Commissioner, Violeta Bulc, as European carriers criticise the growth of the airline, alleging it benefits from subsidies.
“Any move to impede foreign carrier access and limit competition” would “potentially undermine international confidence in Europe’s commitment to global trade and investment,” Hogan told Bulc, according to an emailed Etihad statement on Wednesday.
Etihad’s operations contributed $6.1 billion to gross domestic product (GDP) in Europe over the past decade, according to a commissioned 2014 Oxford Economics study.
The three Gulf carriers have in the past rejected the accusations but a newly published 55-page white paper drafted by the US’ three largest airlines has brought the claims to the US Congress.
Lufthansa, which is pulling out of Etihad’s Abu Dhabi hub because of too much capacity, has similarly lobbied the European Union. Etihad owns nearly a third of Lufthansa’s German rival, Air Berlin, which fly’s to Abu Dhabi.
Hogan said Etihad is an investor in Europe, “not just another foreign airline flying to Europe to poach local traffic.”
Etihad has bought stakes in five European airlines, including Air Berlin.
Hogan said Etihad “is committed to Europe. But growing resistance to us from a handful of protectionist competitors could have unintended consequences well beyond limiting our development. If our growth is curtailed or our investments in airlines are compromised, the real damage will be to Europe in lost jobs, lost flight connectivity, lost investment in local and national economies and lost consumer choice.”
