Airlines are rallying after Trump promises to fix the 'out of whack' air traffic control system (AAL, UAL, DAL, LUV)
AP
President Trump met with the top CEOs in the US aviation industry on Thursday to discuss the industry's aging airports, air traffic control reform, and burdensome regulation.
The meeting comes at a time of heightened tension within the industry as heads of the largest three US passenger carriers — American Airlines, United Airlines and Delta Air Lines — have sought to pressure the new administration into denouncing the three major Middle Eastern carriers, which they accuse of having been unfairly subsidized by their governments.
In the meeting, President Donald Trump called the US air traffic control system out-of-date and also criticized current modernization efforts as the "wrong system" and too expensive. "I hear we're spending billions and billions of dollars, it's a system that's totally out of whack," Trump said according to Reuters.
He addressed U.S. carriers' concerns about trade agreements with foreign carriers and promised to renegotiate or scrap trade deals between the United States and other countries that he sees as unfair.
Curbing regulation was also a hot topic. "So we want to help you realize these goals by rolling back burdensome regulations, and you people are regulated probably as much as almost anybody," said Trump. "Lowering the overall tax burden on American business is big league. That's coming along very well. We're way ahead of schedule, I believe, and we're going to be announcing something I would say over the next two or three weeks that will be phenomenal in terms of tax and developing our aviation infrastructure."
Those attending the White House meeting included the chief executives of United Airlines, Delta, Southwest Airlines and JetBlue.
American Airlines Chief Executive Officer Doug Parker, who previously called Trump's 90-day halt on travel to the U.S. from seven Muslim-majority countries "divisive," did not attend due to a scheduling conflict.
Airlines are soaring on the news.
- American Airlines + 3.02%
- Southwest +2.68%
- JetBlu +3.63%
- United Continental +1.69%
- Delta +2.91%
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