Eritrea has suspended all flights operated by Ethiopian Airlines to the country over allegations of persistent unfair practices, the Eritrean Civil Aviation Authority announced in a statement published in state-owned newspaper Hadas Eritrea on Thursday.
The Authority accused Ethiopian Airlines of "consistent and malicious trading practices" including systematic luggage theft, damage and loss without compensation to passengers. It also alleged unwarranted price hikes and other irregularities.
The statement said repeated calls on Ethiopian Airlines to address the issues had been fruitless. In light of that, the Authority said it was compelled to suspend all Ethiopian Airlines flights to Eritrea from September 30, 2024.
It advised Eritrean-bound passengers on Ethiopian Airlines to make alternate flight arrangements.
Ethiopian Airlines responded that the specific reasons for the suspension have not been disclosed to them. "Ethiopian Airlines is currently seeking clarification from the Eritrean Civil Aviation Authority and is committed to resolving any issues amicably and promptly," a spokesperson said.
Transport ties between Ethiopia and Eritrea have strengthened since the countries restored relations in 2018 after decades of conflict. But trade issues sometimes emerge between state carriers in the region.
Ethiopian Airlines has long complained that it has been unable to fully repatriate profits made from flights to Eritrea. The airline has said regulatory restrictions in Eritrea have prevented it from bringing home the earnings in hard currency.