by Donald Wood
Last updated: 9:28 AM ET, Mon September 20, 2021
A United States Senator has expressed concern to the Department of Transportation regarding the partnership between American Airlines and JetBlue Airways
According to Reuters.com, U.S. Senator Richard Blumenthal was outspoken on Friday about how the codeshare agreement between the two carriers in the Northeast could lead to higher ticket prices.
The partnership between American and JetBlue was announced in July 2020 and approved by the Transportation Department six months later. The airlines joined forces on Northeast flights and frequent flyer programs to compete with United Airlines and Delta Air Lines.
"I write with grave concerns that the recent joint partnership between American Airlines and JetBlue Airways will lead to anticompetitive coordination at key air traffic hubs and result in the long-term inflation of airfares and related costs for airline passengers," Senator Blumenthal wrote to U.S. Transportation Secretary Pete Buttigieg.
Blumenthal also cited an executive order signed by President Joe Biden on airline competition in July and asked the Department of Transportation to conduct a "full public interest review and investigation of the Northeast Alliance cooperative agreement."
"I am concerned that the Northeast Alliance is exactly the kind of arrangement that has led us to this point and that will lead to even further consolidation in an already overly concentrated industry," Blumenthal continued. "Under the circumstances, this arrangement deserves more scrutiny."
A JetBlue spokesperson told Reuters said the partnership with American could help the carriers compete with Delta and United on routes in and out of the Northeast. The airline said it plans to lower fares to stimulate demand in the region.
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