|Charissa Echavez |||Nov 09, 2016 02:40 AM EST|
(Photo : Getty Images) An American Airlines jet lands at O'Hare International Airport on September 19, 2014 in Chicago, Illinois.
American Airlines snatched a coveted Los Angeles to Beijing route on Monday after the US Transportation Department proposed to award the Texas-based company with the new schedule over its rival Delta Air Lines.
Both companies have reportedly been competing over the said flight since March. Delta initially submitted its application and was closely followed by American Airlines two weeks later. The government had to interfere as only 154 US flights are allowed to Beijing and Shanghai per week.
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As for American Airlines, awarding the route to them would not only increase competition but also give consumers more options. Delta, on the other hand, argued that American's interest was a move to stymie competition and that the company could better provide connectivity to passengers bound outside Beijing through its two major Chinese airline partners.
While both applications have been considered, the government proposed to award the schedule to American Airlines as it lacks a flight between the West Coast and China. Furthermore, Delta already has a daily nonstop route from Seattle to China, and United Continental Holdings Inc from San Francisco, according to Reuters.
"The Department tentatively finds that the potential benefits of selecting American, and thereby adding a third U.S. competitor to the West Coast-Beijing market, outweigh the benefits that would be achieved through selection of Delta," the government said as quoted by the Skift.
Matt Miller, a representative from American Airlines, said "This new service further underscores American's commitment to providing customers with a world-class global network from our Los Angeles hub."
Meanwhile, a representative from Delta said that the company is "disappointed" over the government's decision. However, the resolution last Monday is still tentative, and Delta still has until Nov. 22 to file an objection, the Dallas News noted.
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