U.S. Cited by G20 Monitors over Foreign Repair Station Language

In a report published June 12, 2009 the European Commission (EC) cited the foreign repair station language found in Section 303 of the Federal Aviation Administration (FAA) Reauthorization Act (H.R. 915) as a "potentially trade restrictive and/or distortive measure" not in adherence with U.S. obligations as a member of the Group of Twenty (G20). The G20 is an international forum comprised of twenty nations which promotes dialogue and concerted economic action by industrialized and developing states.

In April 2009, the G20 met in London to reaffirm a commitment to refrain from raising any barriers, either direct or indirect, to international trade. The commitment, which was viewed as vitally important during the global economic downturn, is to run through the end of 2010.

The EC has released three reports monitoring adherence by G20 nations to the commitment made at the London summit. The new report contained two potential violations by the United States, both of which are contained in the House-passed FAA reauthorization bill. In addition to citing Section 303 requirements for twice annual inspections by FAA personnel of foreign part 145 certificate holders and the imposition of drug and alcohol testing on employees, the report also classified the bill's restrictive measures on foreign ownership of U.S. airlines as a potential trade barrier.

The full report is available here.