What’s happened.
Air Canada and United Airlines have told the Minister of Transport they want to update the joint business arrangement they have run together since 2022, Transport Canada announced on October 16. A joint business arrangement, usually called a joint venture, lets two airlines legally work together on certain routes instead of competing: under the current deal the two carriers coordinate flight schedules, ticket prices, marketing, sales and revenue management on Canada–United States flights.
Because the proposed update raises public interest questions, Transport Canada officials are running a public interest assessment. That review looks at the economic effects for Canadians and at what the deal would do to competition, and it includes consultations with air industry representatives, consumer organisations and other interested parties. Since 2018 the Minister of Transport has had the power to approve a joint venture, approve it with conditions, or refuse it. Canadians can file comments at letstalktransportation.ca from now until November 15.
Those are the routes that carry American visitors into Canadian hotel, resort and attraction markets. Who sets the price and how many seats fly is decided inside that arrangement, and the window to say so in public closes in under a month.
What it means for your business.
If you run a hotel, resort or attraction that counts American guests as a meaningful share of your business, the cost and number of seats on Canada–US flights is being decided right now, not next year. File a comment at letstalktransportation.ca before November 15 saying what transborder fares and schedules do to your bookings — Transport Canada has asked specifically for industry input. At the same time, build your 2027 American campaigns so they still work if fares rise: lead with drive markets, direct booking and longer stays rather than volume that depends on cheap air.
Next step: Submit a comment at letstalktransportation.ca before November 15, and review how much of your 2027 US forecast assumes current transborder fares.
Explore this opportunity for your businessSources & context.
Reported developments are separated from MKTGSpace’s suggested commercial next steps. Reconfirm current conditions before acting.
See where you fit.
Tell us what you sell. We will come prepared to discuss where your offer fits, who to reach and the marketing strategy and implementation needed to pursue the opportunity.
Talk to us about this signal
