![]() |
![]() |
DOT 124-03
Contact: Bill Mosley
Thursday, October 9, 2003
Tel.: (202) 366-4570
United States, Vietnam Reach Air Services Agreement, The First Between the Two Countries
The United States and Vietnam today concluded
the first comprehensive air services agreement between the two countries. The
delegations initialed the agreement after three days of talks in Hanoi.
“This
agreement allowing the first direct U.S.-Vietnam air service will help meet
current market demand as well as stimulate future growth in tourism and other
commercial activity between our two nations,” U.S. Secretary of Transportation
Norman Y. Mineta said. “We look forward to future discussions with the
Vietnamese government that will further expand air service opportunities in the
market.”
In March 2000, the two countries agreed to permit a limited amount
of code-sharing, which allowed U.S. and Vietnamese airlines to place their
designator codes on each other’s flights or those of third-country carriers.
Today’s agreement allows the airlines of both countries to provide U.S.-Vietnam
air service with their own aircraft as well as expanded code sharing.
The
achievement comes after several years of discussions. The two sides had first
expressed interest in concluding an air transport agreement shortly after the
lifting of the U.S. economic embargo on Vietnam in 1994. Negotiations were
previously held in 1998 and 2000, as well as in March and June this year.
Under the
agreement, two passenger carriers from each country may provide scheduled
U.S.-Vietnam service immediately. A third passenger carrier may begin service
starting in the third year. Each scheduled carrier may operate seven weekly
roundtrip flights between the two countries. The agreement also permits an
unlimited number of scheduled all-cargo carriers to operate with no limits on
weekly frequencies. The agreement also features unlimited rights for cargo
charters, and allows carriers of each side to operate up to 52 passenger charter
flights per year.
The new
agreement will remain in effect for five years. The two sides agreed to meet
within four years to consider a further expansion of air service opportunities,
at which time the United States will seek a fully liberalized Open-Skies
agreement.
The two sides
will implement the agreement’s terms on an interim basis pending the completion
of formalities to enter the agreement into force.
###