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U.S., Cuba Ink Air Cargo and Passenger Agreement

The U.S. and Cuba have agreed to reestablish scheduled cargo and passenger air travel between the two countries, with top officials from each country signing the deal Feb. 16 in Havana, the Department of Transportation said (here). “We are excited to announce the availability of new scheduled air service opportunities to Cuba for U.S. carriers, shippers, and the traveling public, and we will conduct this proceeding in a manner designed to maximize public benefits,” Immediately following the signing, DOT invited U.S. air carriers to submit applications to provide passenger and cargo flights to and from Cuba for the first time in more than 50 years. The applications are due March 2; answers to applications are due March 14; and responses to those answers are due March 21.

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The Obama Administration on Jan. 27 lifted certain payment and financing restrictions for approved exports and re-exports of non-agricultural items to Cuba, and authorized the use of leasing arrangements, code-sharing, and blocked airspace by Cuban airlines to facilitate U.S. travel to the country (see 1601270004). Transportation has not yet selected the locations from where U.S. companies will provide air service, but said in a statement it will consider points that will “offer and maintain the best service to the traveling and shipping public. The National Foreign Trade Council in a statement said the bilateral agreement marks an important step forward. “The NFTC and USA*Engage have long advocated not only for reestablishing U.S. commercial and diplomatic relations with Cuba, but also for expanding people-to-people exchanges,” NFTC said. “By restoring scheduled passenger and cargo flights between the two countries, the agreement reached today will go a long way to enable both objectives.”

Track the progress of this case and view publicly available documents under docket number DOT-OST-2016-0021 (here).

For a copy of NFTC’s statement, email ITTNews@warren-news.com.