Flag carrier

This article is about transport companies having flag-carrier status. For a naval ship which carries the flag, see flagship. For a person who carries the flag, see Flag bearer. For other uses, see Flag carrier (disambiguation).

"National airline" redirects here. For a list of airlines named National, see National Airlines (disambiguation).

A Airbus A380-800 of Dubai-based Emirates, one of the two flag carriers of the United Arab Emirates

A flag carrier is a transport company, such as an airline or shipping company, that, being locally registered in a given sovereign state, enjoys preferential rights or privileges accorded by that government for international operations.

Historically, the term was used to refer to airlines owned by the government of their home country and associated with the national identity of that country. ^[1] Such an airline may also be known as a national airline or a national carrier, although this can have different legal meanings in some countries. Today, it is any international airline with a strong connection to its home country or that represents its home country internationally, regardless of whether it is government-owned. ^{[2] [3]}

Flag carriers may also be known as such due to laws requiring aircraft or ships to display the state flag of the country of their registry. ^[4] For example, under the law of the United States, a U.S. flag air carrier is any airline that holds a certificate under Section 401 of the Federal Aviation Act of 1958 (i.e., any U.S.-based airline operating internationally), ^[5] and any ship registered in the United States is known as a U.S. flag vessel. ^[6]

Background

A Douglas DC-4 owned and operated by El Al - the flag carrier of Israel - in 1948

The term "flag carrier" is a legacy of the early days of commercial aviation when governments often took the lead by establishing state-owned airlines because of the high capital costs of running them. However, not all such airlines were government-owned; Pan Am, TWA, Cathay Pacific, Union de Transports Aériens, Canadian Pacific Air Lines and Olympic Airlines were all privately owned, but were considered to be flag carriers ^[7] as they were the "main national airline" ^[8] and often a sign of their country's presence abroad. ^{[9] [10]}

The heavily regulated aviation industry also meant aviation rights are often negotiated between governments, denying airlines access to an open market. These Bilateral Air Transport Agreements similar to the Bermuda I and Bermuda II agreements specify rights awardable only to locally registered airlines, forcing some governments to jump-start airlines to avoid being disadvantaged in the face of foreign competition. Some countries also establish flag carriers such as Israel's El Al ^[11] or Lebanon's Middle East Airlines ^[12] for nationalist reasons or to aid the country's economy, particularly in the area of tourism. ^[13]

In many cases, governments would directly assist in the growth of their flag carriers typically through subsidies and other fiscal incentives. The establishment of competitors in the form of other locally registered airlines may be prohibited or heavily regulated to avoid direct competition. ^[14] Even where privately run airlines may be allowed to be established, the flag carriers may still be accorded priority, especially in the apportionment of aviation rights to local or international markets. ^[15]

Near the end of the 20th century, many of these airlines have been corporatized as a public company or a state-owned enterprise, while others have been completely privatized. ^[16] The aviation industry has also been gradually deregulated and liberalized, ^[17] permitting greater freedoms of the air particularly in the United States and in the European Union with the signing of the Open Skies agreement. ^[18] One of the features of such agreements is the right of a country to designate multiple airlines to serve international routes with the result that there is no single "flag carrier". ^[19]

List of flag-carrying airlines

The chart below lists airlines considered to be a "flag carrier", based on current or former state ownership or other verifiable designation as a national airline.

Country or Region	Airline	Details of current state ownership	Details of former state ownership
Afghanistan	Ariana Afghan Airlines [20]	State-owned [21]
Albania	Air Albania [22]	Minority state-owned by Albcontrol (10%) [23]
Algeria	Air Algérie [24]	State-owned [25]
Angola	TAAG Angola Airlines [26]	Majority [27]
Argentina	Aerolíneas Argentinas [28]	State-owned [28]
Aruba	Aruba Airlines [29]	None
Australia	Qantas [30]	None	State-owned until 1992. [31]
Austria	Austrian Airlines [32]	None – owned by Lufthansa	State-owned until 5 December 2008. [33]
Azerbaijan	Azerbaijan Airlines [34]	State-owned [35]
Bahamas	Bahamasair [36]	State-owned [37]
Bahrain	Gulf Air [38]	State-owned [39]
Bangladesh	Biman Bangladesh Airlines [40]	Public limited company	State-owned until 23 July 2007.
Belarus	Belavia [41]	State-owned [42]
Belgium	Brussels Airlines [43]	None – owned by Lufthansa [44]	State-owned in its original incarnation ( SN Brussels Airlines ).
Bhutan	Druk Air [45]	None
Bolivia	Boliviana de Aviación [46]	State-owned [47]
Botswana	Air Botswana [48]	State-owned [48]
Brunei	Royal Brunei Airlines [49]	State-owned [49]
Bulgaria	Bulgaria Air [50]	Minority state-owned (0.01%) [51]
Burkina Faso	Air Burkina	State-owned [52]
Cambodia	Air Cambodia [53]	Majority [54]
Cameroon	Camair-Co [55]	State-owned [56]
Canada	Air Canada [57]	None	State-owned until privatization in 1989. [58] Minority (Estimated 6.4%) between April 2021 and December 2024. [59] [60]
Cape Verde	Cabo Verde Airlines [61]	Majority (90%) [62]
Cayman Islands	Cayman Airways	State-owned [63]
Chile	LATAM Chile [64] [65]	None	State-owned until September 1989. [66]
China	Air China [67]	Majority (51.7%): 40.98% through CNAHC and 10.72% through CNACG [68] : 10	State-owned until 2004. [69]
Colombia	Avianca [70]	None
Costa Rica	Avianca Costa Rica [71]
Croatia	Croatia Airlines [72]	Majority (98%) [73]
Cuba	Cubana de Aviación [74]	State-owned [75]
Cyprus	Cyprus Airways [76]	None – 40% owned by Malta-based SJC Group [77]
DR Congo	Congo Airways [78]	State-owned [78]
Denmark	Scandinavian Airlines	Minority (~26%) state-owned by Ministry of Finance of Denmark [79]	SAS was partly owned by the governments of Denmark, Norway and Sweden. SAS is the flag carrier for all three nations. [80] [81] [82]
Norway
Sweden
Djibouti	Air Djibouti [83]	Joint venture
Dominican Republic	Arajet [84]	None
Egypt	Egyptair [85]	State-owned [86]
Equatorial Guinea	CEIBA Intercontinental [87]	State-owned [88]
Eritrea	Eritrean Airlines	State-owned
Eswatini	Eswatini Air [89]
Ethiopia	Ethiopian Airlines [90]	State-owned [91]
Faroe Islands	Atlantic Airways [92]
Fiji	Fiji Airways [93]	Majority (51%) [94]
Finland	Finnair [95]	Majority (55.8%) [96]
France	Air France [97]	Minority state-ownership of Air France–KLM [98] [99]
French Polynesia	Air Tahiti Nui [100]	Majority [101]
Georgia	Georgian Airways	None
Germany	Lufthansa [102]	None	State-owned until 1994; [103] remaining government shares were sold in 1997. [104] Minority (20.05%) in the Lufthansa Group acquired in 2020 [105] [106] was sold in 2022. [107]
Greece	Aegean Airlines [108]		Previously the Greek Government had minority shares of the airline due to a COVID bailout. The airline bought back government shares in 2023 [109]
Greenland	Air Greenland [110]	State-owned [111]	Previously owned by Scandinavian Airlines and Ministry of Finance of Denmark. [112]
Guernsey	Aurigny [113]	State-owned [114]
Hong Kong	Cathay Pacific [115]	Minority (6.08% by Hong Kong Government) + 28.17% through Air China Limited [116]
Iceland	Icelandair [117]	None – owned by Icelandair Group [118]
India	Air India [119]	None – owned by Tata Group and Singapore Airlines [120]	State-owned until November 2021. [119] [121] [122]
Indonesia	Garuda Indonesia [123]	Majority (60.54%) [124]
Iran	Iran Air [125]	State-owned [126]
Iraq	Iraqi Airways [127]
Ireland	Aer Lingus [128] [129]	None – owned by International Airlines Group	State-owned until September 2006. [130]
Israel	El Al [131]	Minority (~1.1%) [132]	State-owned until June 2004.
Italy	ITA Airways [133]	State-owned, succeeded Alitalia starting from 15 October 2021 [134] [135] [136]
Ivory Coast	Air Côte d'Ivoire [137]	Minority (49%)
Jamaica	Caribbean Airlines [138] [139] [140]	Minority (16%) [141] [142] [143]
Trinidad and Tobago		Majority (84%) [144]
Japan	Japan Airlines [145]	None	State-owned until 1987. [146] [147]
Jordan	Royal Jordanian [148]
Kazakhstan	Air Astana [149]	Majority (51%) [150]
Kenya	Kenya Airways [151]	Minority (29.8%) [152]
Kiribati	Air Kiribati [153]
Kuwait	Kuwait Airways [154]	State-owned [155]
Laos	Lao Airlines [156]	State-owned [157]
Latvia	airBaltic [158]	Majority (80.05%) [159]
Lebanon	Middle East Airlines [160]	Majority (99%) [160]
Libya	Afriqiyah Airways [161]	State-owned [162]
	Libyan Airlines [163]	State-owned [163]
Luxembourg	Luxair [164]	Majority (73.86%) [165]
Macau	Air Macau [166]	Minority (5%)
Madagascar	Madagascar Airlines [167]	Majority
Malawi	Malawian Airlines [168]	Majority (51%) [168]
Malaysia	Malaysia Airlines [169]	State-owned through Khazanah Nasional [170]
Maldives	Maldivian
Malta	KM Malta Airlines [171]	Majority
Marshall Islands	Air Marshall Islands [172]
Mauritania	Mauritania Airlines [173]	State-owned [174]
Mauritius	Air Mauritius [175]
Mexico	Aeroméxico [176]	None	State-owned until 2007.
Mongolia	MIAT Mongolian Airlines [177]	State-owned [178]
Montenegro	Air Montenegro [179]	State-owned [180]
Morocco	Royal Air Maroc [181]	State-owned [182]
Mozambique	LAM Mozambique Airlines [183]	State-owned [184]
Myanmar	Myanmar National Airlines [185]	State-owned [186]
Nauru	Nauru Airlines [187]	State-owned [187]
Nepal	Nepal Airlines [188]	State-owned
Netherlands	KLM [189]	Minority state-ownership of Air France–KLM [98] [190]
New Caledonia	Aircalin	Majority (99%) [191]
New Zealand	Air New Zealand [192]	Majority (53%) [193]	State-owned until 1989, partially re-nationalized in 2001. [194] [195] [196]
North Korea	Air Koryo [197]	State-owned [198]
Oman	Oman Air [199]	Majority [200]
Pakistan	Pakistan International Airlines [201]	State-owned [202]
Panama	Copa Airlines [203]	None
Papua New Guinea	Air Niugini [204]
Paraguay	LATAM Paraguay [205]
Peru	LATAM Perú [206]
Philippines	Philippine Airlines [207]
Poland	LOT Polish Airlines [208]	State-owned [209]
Portugal	TAP Air Portugal [210]	Majority (72%) [211]
Qatar	Qatar Airways [212]	State-owned
Réunion	Air Austral [213]
Romania	TAROM [214]	Majority (97.22%) [214]
Russia	Aeroflot [215]	Majority (51%) [216]
Rwanda	RwandAir [217]	State-owned [217]
Samoa	Samoa Airways [218]	State-owned [219]
São Tomé and Príncipe	STP Airways [220]	None
Saudi Arabia	Saudia [221]	Majority
Senegal	Air Senegal [222]
Serbia	Air Serbia [223]	Majority (51%) [224]
Seychelles	Air Seychelles [225]	State-owned (100%) [226]
Solomon Islands	Solomon Airlines [227]	State-owned [228]
Singapore	Singapore Airlines [229]	Majority (54.5% through Temasek Holdings [230] )
South Africa	South African Airways [231]	State-owned [232]
South Korea	Korean Air [233]	None [234] – owned by Hanjin [235]	State-owned until 1969. [236] [237] [238]
Spain	Iberia [239]	None – owned by International Airlines Group
Sri Lanka	SriLankan Airlines [240]	State-owned [241]
Sudan	Sudan Airways	State-owned [242]
Suriname	Surinam Airways [243]	State-owned [244]
Switzerland	Swiss International Air Lines [245]	None – owned by Lufthansa [246]
Syria	Syrian Air [247]	State-owned
Taiwan	China Airlines [248]	Majority [249]	State-owned until 1991. 51.28% held by non-profit Civic Aviation Development Foundation. [250]
Timor-Leste	Aero Dili [251]
Tanzania	Air Tanzania	State-owned
Thailand	Thai Airways International [252]	Minority (47.86%) [253]
Tunisia	Tunisair [254]	Majority [254]
Turkey	Turkish Airlines [255]	Minority (49%)
Turkmenistan	Turkmenistan Airlines [256]	State-owned [257]
Uganda	Uganda Airlines [258]
Ukraine	Ukraine International Airlines [259]
United Arab Emirates	Etihad Airways [260]	State-owned by the Government of Abu Dhabi [261] [262]
	Emirates [263]	State-owned by the Government of Dubai through the Investment Corporation of Dubai. [264]
United Kingdom	British Airways [265]	None – owned by International Airlines Group	State-owned until 1987. [266]
Uzbekistan	Uzbekistan Airways [267]	Majority
Venezuela	Conviasa [268]
Vietnam	Vietnam Airlines [269]	Majority (86.2%) [269]
Yemen	Yemenia [270]	Majority
Zambia	Zambia Airways [271]
Zimbabwe	Air Zimbabwe [272]	State-owned [272]

See also

• List of charter airlines
• List of low-cost airlines

References

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245. Blachly, Linda (17 September 2014). "Lufthansa Group orders 15 A320neos for SWISS subsidiary". Air Transport World . Archived from the original on 17 September 2014. SWISS, the national airline of Switzerland, has a fleet of A319s, A320s, A321s, A330s and A340s. 
246. "Lufthansa Group Corporate Structure". Lufthansa AG. Archived from the original on 8 September 2014. Retrieved 8 September 2014.
247. "Syrian Arab Airlines". Archived from the original on 4 December 2013.
248. Blachly, Linda (6 October 2014). "Taiwan's China Airlines takes delivery of first Boeing 777-300ER". Air Transport World . Archived from the original on 6 October 2014. Taiwanese flag carrier China Airlines has taken delivery of its first of 10 Boeing 777-300ERs. 
249. "China Airlines". China Aviation Development Foundation. 5 November 2018. Archived from the original on 17 March 2023. Retrieved 17 March 2023. the government of the Republic of China still holds an indirect but majority shareholding. 
250. 公司治理成效. Archived from the original on 11 February 2013.
251. "Aero Dili launches flights to Singapore's Changi airport". Aero Dili, the new flag carrier of Timor-Leste, has launched its second international destination.
252. Montag-Girmes, Polina (16 November 2016). "International airlines increase capacity, frequencies to Russia". Air Transport World. Archived from the original on 17 December 2016. The Thailand flag carrier ceased Moscow operations in March 2015 because of weak demand.
253. "Thai Airways submits bankruptcy request court says". Yahoo! Finance. 26 May 2020. Retrieved 28 May 2020.
254. "Tunisair's sluggish attitude towards change makes it ill-prepared for Open Skies". Centre for Aviation. 21 August 2012. Archived from the original on 4 October 2012. Retrieved 4 December 2012. As a majority state-owned airline in North Africa, Tunisair has retained most of the flag carrier privileges that are cemented in the 1944 Chicago Convention, but those protectionist practices run counter to the present realities of passengers wanting choice and low fares.
255. Hofmann, Kurt (12 May 2015). "Turkish Airlines swings to net profit in 1Q". Air Transport World . Archived from the original on 13 May 2015. The Istanbul-based flag carrier flies to 45 domestic and 226 international destinations in 109 countries and operates 274 aircraft, comprising 62 widebody, 202 narrowbody and 10 cargo aircraft. 
256. Borodina, Polina (26 March 2014). "Turkmenistan Airlines receives first Boeing 777-200LR". Air Transport World . Archived from the original on 26 March 2014. The flag carrier of Turkmenistan operates scheduled flights on 15 routes in 11 European and Asian countries including Frankfurt, London, Moscow, Beijing and Istanbul.
257. "Turkmenistan Airlines finalises B777-300ER purchase". ch-aviation GmbH. 4 September 2023. Archived from the original on 9 September 2023. The aircraft will be the first B777-300ERs in Turkmenistan Airlines' fleet, although the state-owned carrier already operates four B777-200(LR)s.
258. Nensel, Mark (18 July 2018). "Revived Uganda flag carrier orders CRJ900s, A330neos". Air Transport World. Archived from the original on 18 July 2018.
259. "Ukraine International to double international network as Aerosvit restructures". Centre for Aviation. 14 January 2013. Archived from the original on 22 January 2013. While a relatively large country (both in land mass and population – it has about 45 million people), the Ukrainian market (like many other markets in Eastern Europe) cannot easily sustain two large flag carriers, particularly as low-cost competition continues to increase.
260. Dron, Alan (17 June 2016). "Etihad, Avianca Brasil ink new codeshare". Air Transport World. Archived from the original on 17 June 2016. United Arab Emirates (UAE) flag carrier Etihad Airways has signed a codeshare agreement with Avianca Brasil in the Abu Dhabi-based carrier's latest move to increase its penetration in the South American market. 
261. "Etihad Holds Roadshows To Finance Aircraft". Airwise News. 23 February 2012. Archived from the original on 24 May 2013.
262. Shaw-Smith, Peter. "Etihad 'Slightly Ahead' in Plan to Return to Profitability". Aviation International News. Retrieved 7 December 2019.
263. "Etihad Suspends Flights To Damascus". Airwise News. Reuters. 30 August 2012. Archived from the original on 3 September 2012. Retrieved 9 October 2012. The website of the UAE's other flag carrier, Emirates, says flights to Damascus remain operational.
264. "Emirates and Dnata now under ICD | GulfNews.com". archive.ph. 3 January 2013. Archived from the original on 3 January 2013. Retrieved 7 December 2019.
265. Flottau, Jens (4 May 2018). "IAG reports strong 1Q as passenger revenues improve". Air Transport World. Archived from the original on 5 May 2018. UK flag carrier British Airways (BA) continued to be the most profitable unit, with a 9.9% operating margin, followed by Iberia (1%).
266. "Profile: British Airways". BBC News. 20 September 2001. Archived from the original on 1 November 2013. In May the airline reported a sharp rise in profits and revealed that it was making more money from each customer than it has done since it was privatised in 1987.
267. Montag-Girmes, Polina (31 August 2016). "Uzbekistan Airways takes first Boeing 787". Air Transport World. Archived from the original on 3 September 2016. The flag carrier of the Republic of Uzbekistan has trained 18 pilots and two pilot-instructors for the new aircraft type.
268. "Conviasa - El Placer de Volar". www.conviasa.aero.
269. Schofield, Adrian (13 April 2018). "Vietnam Airlines continues to dominate international market". Air Transport World. Archived from the original on 19 April 2018.
270. Dron, Alan (30 March 2015). "Yemenia suspends services". Air Transport World . Archived from the original on 31 March 2015. The Yemen national carrier said it was suspending flight operations "until further notice due to the prevalent unfavorable operational situation and restriction imposed on Yemen airspace". 
271. "Zambia Airways re-registers its B737". ch-aviation GmbH. 26 October 2023. Archived from the original on 27 October 2023.
272. "flyafrica.com and fastjet give Zimbabwe its first taste of LCCs with local start-up". Centre for Aviation. 2 July 2014. Archived from the original on 2 July 2014. Government-owned flag carrier Air Zimbabwe currently operates only two international routes although it has been trying for some time to resume more international services.

External links

• International Air Transport Association
• "U.S. Flag Services". US Maritime Administration. Archived from the original on 13 August 2012..