[Congressional Record Volume 142, Number 26 (Thursday, February 29, 1996)]
[Senate]
[Pages S1453-S1454]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




               UNITED STATES-GERMAN OPEN SKIES AGREEMENT

  Mr. PRESSLER. Mr. President, I am delighted to inform the Senate that 
today the United States and the Federal Republic of Germany signed an 
open skies agreement which will liberalize air service between our two 
countries. I am also pleased to advise my colleagues that the United 
States and Germany initialed a Bilateral Aviation Safety Agreement 
[BASA] which will greatly enhance safety coordination between the 
Federal Aviation Administration [FAA] and its German counterpart 
agency.
  The United States-German open skies agreement is a great economic 
victory for both countries and a very welcome development for 
consumers. In fact, I regard this agreement to be a trade accord of 
truly historic proportions for both countries. As always is the case 
where market forces are unleashed, consumers flying between the 

[[Page S1454]]
United States and Germany, as well as passengers connecting in either 
country for travel to a third country, will benefit enormously. These 
consumer benefits will include increased choice and competitive air 
fares.
  Mr. President, the United States-German open skies agreement is the 
product of bold and visionary leadership by two men. I refer to our 
Secretary of Transportation Federico Pena and German Transport Minister 
Matthias Wissmann. Secretary Pena had the vision to identify this 
opportunity and to recognize that competition will be our best ally in 
opening restrictive European air service markets such as those in the 
United Kingdom and France. Minister Wissmann had the vision to 
recognize the economic benefits of an open skies agreement with the 
United States are a two-way street.
  In addition, I want to praise the great work of four men who labored 
for months to negotiate the fine points of this agreement. For the 
United States, I commend the outstanding work of Mark Gerchick, DOT's 
Deputy Assistant Secretary for Aviation and International Affairs, and 
John Bylerly, special negotiator for Transportation Affairs at the 
State Department. For the Germans, I commend the outstanding work of 
Dr. Jurgen Pfohler, Deputy chief of staff to Minister Wissmann, and 
Dieter Bartkowski, Director of the Air Transport Section at the German 
Ministry of Transport. The United States-German open skies agreement is 
a fitting tribute to their efforts and exemplary public service.
  What does the United States-German open skies agreement do in terms 
of putting aviation relations between our two countries on the firm 
foundation of market principles? It will allow airlines of both 
countries to operate to any points in either country, as well as third 
countries, without limitation. It also liberalizes pricing, charter 
services and further liberalizes the open skies cargo regime already in 
place. In short, it allows market demand, not the heavy hands of 
governments, to decide air service between the United States and 
Germany.
  How will this open skies agreement benefit all U.S. carriers? It will 
create tremendous new air service opportunities between the United 
States and Germany in which all U.S. carriers can partake. Also, German 
airports will provide well-situated gateway opportunities for our 
carriers to serve points throughout Europe, the Middle East, Africa, 
and the booming Asia-Pacific market. These gateway opportunities offer 
the double benefit of serving as a means of breaking the bottleneck at 
London's Heathrow Airport and offering a backdoor to the booming Asia-
Pacific market.
  All U.S. carriers also will receive indirect benefits from the United 
States-German open skies agreement. I predict the United States-German 
open skies agreement will be an important catalyst for further 
liberalization of air service opportunities throughout Europe. In fact, 
I believe this agreement will serve as a template for such 
liberalization. Hopefully, the United States-German open skies 
agreement, in combination with open skies agreements we already have 
with 11 other European nations, will force the United Kingdom and 
France to come to the alter of air service competition.
  Mr. President, let me conclude by saying that today is a very 
important day in U.S. international aviation policy and U.S. trade 
policy. It also is an important day in United States-German economic 
and political relations. Perhaps most important, it is a great day for 
consumers in both countries.

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