IATA Disappointed with US Aviation Consumer Protection Rules; Warns of Higher Air Fares

UNITED STATES - APRIL 19: An American Airlines jet is pictured from the Washington Monument as it descends into Reagan Washington National Airport on Monday, April 19, 2021. (Photo By Tom Williams/CQ-Roll Call, Inc via Getty Images)

Global aviation representative group the International Air Transport Association (IATA) has expressed disappointment with the US Government’s newly-announced airline consumer protection rules; warning they could result in higher air fares.

IATA said the US Department of Transportation’s (DOT) two new broad consumer protection rules by far exceed the DOT’s authority to regulate the deregulated airline industry.

Santa Ana, CA – May 26: A passenger passes a giant American flag as they make their way to and from their gates during the Memorial Day weekend getaway at John Wayne Airport Orange County in John Wayne Airport, Santa Ana, CA on Thursday, May 26, 2022. (Allen J. Schaben / Los Angeles Times via Getty Images)

IATA said: “The Refunds and Other Consumer Protection Rule will force airlines to provide automatic refunds for delays or cancellations, irrespective of the cause of the disruption.

“The Enhancing Transparency of Airline Ancillary Fees Rule will render online searches less seamless and reduce price competition on optional airline services.

“These, one size fits all passenger service mandates, will raise airline costs which will ultimately be reflected in higher ticket prices.”