The European Parliament adopted by 626 votes to 5, with 5 abstentions, a legislative resolution on the draft Council decision on the conclusion on behalf of the Union of the Agreement between the European Union and Japan on certain provisions of the air service agreements between Member States of the European Union and Japan.

The European Parliament gave its consent to the conclusion of the agreement.

The Commission negotiated an agreement with Japan to replace certain provisions in the already existing bilateral air services agreements between Member States and Japan in order to bring the bilateral air services agreements in line with EU law, as requested by the Court of Justice in the so-called “Open Skies” cases of 2002.

The Agreement provides all EU air carriers non-discriminatory access to routes between the European Union and Japan. Article 2 of the Agreement replaces the traditional designation clauses with an EU designation clause, permitting all EU carriers to benefit from the right of establishment: any EU carrier can fly from any Member State that has a bilateral agreement with Japan where unused traffic rights are available.

The Committee on Transport and Tourism adopted the report by Cláudia MONTEIRO DE AGUIAR (EPP, PT) on the draft Council decision on the conclusion on behalf of the Union of the Agreement between the European Union and Japan on certain provisions of the air service agreements between Member States of the European Union and Japan.

The committee responsible recommended that the European Parliament give its consent to the conclusion of the agreement.

The Commission has negotiated an agreement with Japan to replace certain provisions in the already existing bilateral air services agreements between Member States and Japan in order to bring the bilateral air services agreements in line with EU law, as requested by the Court of Justice in the so-called “Open Skies” cases of 2002.

On this basis, the Agreement will bring the bilateral air services agreements between 13 Member States (Austria, Belgium, Denmark, Finland, France, Germany, Greece, Hungary, Italy, the Netherlands, Poland, Spain, Sweden) and Japan in line with the EU law.

The Agreement provides all EU air carriers non-discriminatory access to routes between the European Union and Japan. Article 2 of the Agreement replaces the traditional designation clauses with an EU designation clause, permitting all EU carriers to benefit from the right of establishment: any EU carrier can fly from any Member State that has a bilateral agreement with Japan where unused traffic rights are available.

PURPOSE: to conclude, on behalf of the European Union, the agreement between the European Union and Japan on certain aspects of air services.

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act.

BACKGROUND: in accordance with Council Decision (EU) 2023/362, the Agreement between the European Union and Japan on certain aspects of air services agreements between Member States of the European Union and Japan was signed on 20 February 2023, subject to its conclusion at a later date. The Agreement should be approved.

CONTENT: the purpose of the draft Council Decision is to approve, on behalf of the Union, the Agreement between the European Union and Japan on certain aspects of air services. The purpose of the Agreement is to bring the bilateral air services agreements between 13 Member States and Japan into line with EU law.

PURPOSE: to conclude, on behalf of the European Union, the agreement between the European Union and Japan on certain aspects of air services.

PROPOSED ACT: Council Decision.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act.

BACKGROUND: following the judgements of the Court of Justice in the so-called “Open Skies” cases, on 5 June 2003 the Council authorised the Commission to open negotiations with third countries on the replacement of certain provisions in existing bilateral air services agreements with an agreement at Union level (the “horizontal authorisation”).

The objectives of such agreements are to give all EU air carriers non-discriminatory access to routes between the European Union and third countries, and hence to bring bilateral air services agreements between Member States and third countries in line with Union law.

In accordance with the mechanisms and directives in the Annex to the “horizontal authorisation”, the Commission has negotiated an Agreement with Japan that supersedes certain provisions in the existing bilateral air services agreements between Member States and Japan. The negotiations on the Agreement having been successfully concluded, it is now necessary to approve the Agreement on behalf of the European Union.

CONTENT: The Commission proposes that the Council decide to approve on behalf of the Union the Agreement between the European Union and Japan on certain aspects of air services.

The purpose of this Agreement is to bring the bilateral air services agreements between 13 Member States and Japan in line with EU law.

However, traditional designation clauses in Member States’ bilateral air services agreements infringe Union law. They allow a third country to reject, withdraw or suspend the permissions or authorisations of an air carrier that has been designated by a Member State but that is not substantially owned and effectively controlled by that Member State or its nationals.

This has been found to constitute discrimination against EU air carriers established in the territory of a Member State but owned and controlled by nationals of other Member States. This is contrary to Article 49 of the Treaty on the Functioning of the European Union which guarantees nationals of Member States who have exercised their freedom of establishment the same treatment in the host Member State as that accorded to nationals of that Member State.

Article 2 of the Agreement replaces the traditional designation clauses with an EU designation clause , permitting all EU carriers to benefit from the right of establishment.