Op en skies is a global policy concept that appeals for the liberalization of the regulations and rules of the global aviation industry most specifically targetin g the commercial aviation, with the aim of creating an environment that is based on a free market basis (Jones,2014). The core objectives of the open skies policy is to modify the management under which the state-based and military flights may be legalized and loosen the restrictions on the rules for international aviation markets and minimalize state interference as it is linked to all-cargo, passenger and an amalgamation of all air transportation as well as chatter and scheduled services.
In 1944, the Convention on International Civil Aviation was signed with the aim of ensuring that civil air transport develops without interference from the state or military (Rhodes, 2016). This saw the development of nine air freedoms that various countries would enter in regards to international airs revives. By 1982, the USA had signed more than twenty bilateral air service agreements with other smaller nations, and in 1990, it saw the country signing similar agreements with various European countries (Rhodes,2016) . In 1992, the USA signed the first Open Skies agreement with the Netherlands despite facing objections from multiple states within the EU (Rhodes, 2016). This saw the two countries each having unrestricted landing rights within their soils. On May 20 th, 2009, the ASEAN Multilateral Agreement on the Full Liberalization of Air Freight Services and ASEAN Multilateral Agreement on Air Services was signed in Manila, the Philippines between ten Asian nations (Jorge-Calderon, 2014) .
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Nonetheless , the Open Skies agreement between the ASEAN nations has not been signed up to date since its formulation in 2016 .Through the Open Skies agreement, there has been a reduced state interference in the decision making involving the aviation industry. This has seen expanded cargo flights and international flights in nations that have signed the agreements. Nonetheless, in countries that have not signed the deals , they have not witnessed an increased flight into their soils for the government interferes with the pricing, routes, and carrying capacity of commercial flights making them inefficient.
The bilateral agreements are signed between two nations to allow for international commercial air transport services between their boundaries . The first bilateral agreement was signed after World War II between the UK and the USA. Under the bilateral agreements, it covers the tax issues, type of aircraft , and intermediate and origin points. Nonetheless, as compared to the Open Skies agreement, it offers unfettered airline access to the nation that has signed the agreement (Jones,2014) . Additionally, there is pricing freedom. Nonetheless, unlike the bilateral agreements , Open Skies is mainly opposed by nations that would like to protect its national carriers from the competition by regulating flight frequency, entry, and fares.
The USA was the first nation to involve itself in the deregulation of air transport. This occurred in the 1970s following the signing into law of the Air deregulation Act by President Carter (Rhodes, 2016). This would see the Civil Aeronautics Board authority over the air industry being removed . Nonetheless, the impact of this deregulation was felt in the European nations. Despite having positive effects in the USA , Europe was sent into a frenzy. Fragmentation of the European aviation industry occurred. The nations lost all control they had over the airline prices for they were now based on bilateral agreements (Rhodes, 2016). The states in most European nations took control over the airline industry with the aim of protecting their national carriers from international airlines. The states of most nations in Europe wanted to defend their airlines from liberalization and greater competition from the USA. Nonetheless, this negatively affected the aliens as they were not very competitive and as such, the European nations were also forced to change their management of the airline industry, and this saw the EU liberalizing its air transport system to overcome the difficulties such as the discounted airfares and entry of new carriers within their markets.
References
Jones, P.L. (2014). Open Skies : Transparency, confidence-building, and the end of the Cold War . Stanford, California: Stanford University Press.
Jorge-Calderon, D. (2014). Aviation investment: Economic appraisal for airports, air traffic management, airlines and aeronautics . Burlington, VT: Ashgate Publishing.
Rhodes, D.L. (2016). Evolution of international aviation : Phoenix rising. Routledge.
