European governments have agreed to scrap restrictions on foreign airlines leasi...
FILE PHOTO: European Union flags flutter outside the European Commission headquarters, in Brussels, Belgium June 30, 2019. REUTERS/Yves Herman
The EU in May 2017 agreed to open talks with the United States on the issue. The leasing of crewed planes from another airline - known as wet leasing - is a common practice in the industry to boost flexibility in meeting demand. The U.S. Transportation Department in a statement said these leases “can represent an important revenue source to the carrier providing the aircraft and crews.”
A dispute arose after the EU separately in 2008 imposed a seven-month duration limit, renewable once, on European airlines wet leasing from non-EU carriers, prompting retaliatory action from Washington.
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