Antitrust watchdog to study competition in Canadian airline industry

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The Competition Bureau will examine how government policies affect competition among Canada’s air carriers

Canada’s Competition Bureau says it will launch a market study into Canada’s airline sector. People make their way through Pearson Airport in Mississauga on March 14, 2023.The federal antitrust watchdog is launching a study of airline competition in Canada, three months after the shutdown of low-cost carrier Lynx Air.

The Competition Bureau’s role is to investigate abuses of market power, price fixing and false advertising, in addition to advising the government on mergers. In recent years the watchdog has raised concerns about the proposed takeovers involving Air Canada and Transat AT Inc.

Ms. Fisher cited the bureau’s policy of confidentiality and declined to say when asked by the committee if it had received an application from a U.S. airline to fly point-to-point within Canada.controls half of the domestic Canadian market, while WestJet holds 30 per cent, according to Cirium, an aviation data company. The rest is shared between Porter Airlines , which operates mainly in Central Canada, and Edmonton-based Flair Airlines , according to May data.

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