Canada's new "Blue Sky" aviation policy specifically targets Asian markets. The “evolving nature” of the global aviation market led the Canadian Government to announce on 27-Nov-06 a new policy based on actively pursuing 'open skies'. It is targeted specifically at the emerging markets of Asia, as part of Canada's "Asia Pacific Gateway and Corridor Strategy". The Gateway strategy, announced on 11-Oct-06 includes an infrastructure and technology package, designed to enhance Canadian airports' roles in the region.

Canada’s new ‘Blue Sky’ air transportation policy seeks to support tourism and economic development across Canada, encouraging the development of new markets, new services and greater competition. Canada’s previous approach was to gradually reduce restrictions in air services agreements, but the focus of the new policy will be to "actively pursue" ‘open skies’ agreements, with no limits on third, fourth and fifth freedom access, “when it is in Canada’s overall interest”.

Aviation policies - where they exist (and, sadly, few Asia Pacific governments have coherent strategies) - can often be motherhood statements. The new Canadian policy is however a clear change of direction and is backed by a package of other supporting initiatives.

Now that the North Atlantic US-EU liberalisation initiative is stalled, there are good reasons why the Asia Pacific region could become a multilateral target both for North America and for the EU. With Canada now adopting a similar approach to the US, this would not be a difficult call on the Pacific. But the major markets of China, Japan and Korea are still some way from 'open skies' thinking. The time may be right for revival of the near-moribund APEC agreement or another sub-regional agreement, which allows those markets to join the momentum when they are ready.

Source: Centre for Asia Pacific Aviation ABN