FedEx calls for more open Hong Kong/U.S. air market

FedEx calls for more open Hong Kong/U.S. air market    A senior FedEx Express executive has called for a more drastic opening of the bilateral market between Hong Kong and the United States in advance of next week’s bilateral air transport negotiations.
   “Hong Kong should have an entirely open aviation regime, rather than granting incremental rights over time, Michael Ducker, executive vice president, international, FedEx Express, told the Chicago Aviation Summit Thursday. “An open skies agreement would ensure that air transportation services facilitate, rather than restrict, bilateral economic growth.”
   The express parcel operator believes that open skies agreements are essential to the efficient movement of high value cargo.
   “To keep up with ever-increasing demand for time-definite services, global business must be able to grow and adapt rapidly, unfettered by arbitrary, outdated restraints on capacity, routes and operational flexibility,” Ducker said.
   The first “freedoms of the air” were defined at the Chicago Convention in 1944. Ducker said those “freedoms” have not kept pace with the change in global trade. “In fact, the ‘freedoms’ are acting as ‘shackles’ affirming the concept of closed air markets,” he said.
   However, Ducker noted several recent “bright spots” in the area of air transport bilateral agreements, particularly in Asia. These include agreements between the United States and India, Indonesia, Thailand and Vietnam. He also cited a “relatively liberalized” agreement between the United States and China.
   FedEx said world export of goods and services grew from a yearly average of $4.2 trillion between 1986 to 1995 to a yearly average of $8.2 trillion between 1996 and 2004. International air cargo accounts for less than 2 percent of total tonnage moved, though it represents more than 40 percent of its value.