The European Commission has responded to calls from European airlines and urged the US government to prevent American carriers from using the $5 billion (€5.6 billion) in aid provided by Washington in the wake of the September 11th attacks to reduce transatlantic fares sharply.
The Commission's move comes ahead of a meeting of European Union transport ministers tomorrow, where the Brussels authorities are expected to come under fire for their decision to impose strict limits on the amount of assistance for the troubled airline sector.
In a letter to Mr Norman Mineta, US transportation secretary, Ms Loyola de Palacio, European transport commissioner, says several European airlines have complained of sharp cuts on ticket prices by their US rivals on some transatlantic routes following the announcement of the Bush administration's aid package.
Last week, the Association of European Airlines, which groups several large carriers, said the US aid had allowed American airlines to halve fares on some routes.
Ms de Palacio's letter says if the complaints are proven right, it will be an unacceptable form of state aid. The letter calls for a meeting between Mr Mineta and Ms de Palacio to discuss a US-EU code of conduct.
