The European Commission says 'decisive progress' has been made in the latest round of talks with the US on opening up transatlantic air traffic. The outcome is seen as crucial to Aer Lingus's future plans.
'In the course of negotiations this week, European and American negotiators made decisive progress with a view to an open skies agreement,' EU Transport Commissioner Jacques Barrot said in a statement.
Mr Barrot said he would now submit a draft agreement to EU transport ministers on March 22.
The talks between the EU and US had stalled last year over what appeared to be an unwillingness by the US to loosen their restrictions on foreign ownership of US-based airlines. Americans can buy up to 49% of European airlines, but Europeans can buy only a maximum of 25% of a US carrier.
The US and the EU tentatively penned an 'open skies' deal in November 2005 that aimed to liberalise the transatlantic aviation market and replace bilateral agreements between Washington and some EU countries, including Ireland.
Aer Lingus, which takes delivery of two new Airbus planes in March and wants to expand its flight schedule to North America, will be looking closely at any agreement. Last month, Transport Minister Martin Cullen said Ireland reserved the right to negotiate a bilateral open skies agreement with the US if collective negotiations at EU level failed to deliver a deal.
