(Montreal) The Bloc Québécois (BQ) has written to the European Commission, which is considering the sale of Air Transat, to bring its concerns to its attention.
Pierre Boucher-Les Patriotes-Verchères MP, Xavier Barsalou Duval, wrote that in the event that the transaction was concluded according to Air Canada’s will, there would be several issues of concern for Quebec and the European Union.
In his opinion, the transaction would have a direct effect on prices in addition to reducing the supply and choices available to consumers.
The Bloc Québécois spokesperson for Transport, Infrastructure and Communities added that the transaction would place Air Canada in a dominant position vis-à-vis other air carriers.
In his letter sent to Margrethe Vestager, Executive Vice-President at the Directorate General of the European Commission, MP Barsalou Duval criticizes Air Transat’s board of directors for having concealed from shareholders the existence of another offer that that of Air Canada, which would be a valid alternative and make it possible to preserve competition in the sector.
He is also critical of Transport Canada’s lack of transparency in its own transaction analysis process.
The member recalls that in March 2020, the Competition Bureau of Canada submitted a report showing that the acquisition of Air Transat by Air Canada could give Air Canada a dominant position, or even a monopoly on dozens of routes, including several with Europe, in addition to allowing it to control more than half of the Canada-Europe capacity.