Canadian airlines could be forced to 'up their game' as Ottawa allows more competition from Middle East

Airlines in Canada could soon be under pressure from customers to improve their services as the federal government opens its skies to more competition from the Middle East. 

Ottawa is loosening restrictions on the number of flights coming from Saudi Arabia and the United Arab Emirates after past diplomatic spats had limited flights.

Aviation expert John Gradek said airlines from the Middle East are considered the "envy of the world" because of the services they offer, which will force Canadian airlines to do more if they want to go head-to-head with these foreign carriers.

"Canadian carriers are going to have to up the ante and up their game to be able to compete," said Gradek, who is a lecturer of aviation management at McGill University.

"It'll push Air Canada, it'll push WestJet and may push our friends over at Air Transat to kind of look at the service level they're offering on board the airplane, and the amenities and actual configuration of the airplanes."

Canadian MPs and senators through parliamentary committees have studied a series of issues hitting Canada's airline industry in recent years including a lack of competition, high fares, accessibility complaints and passengers' rights.

Airlines like Emirates are famous online for their first-class seats. Videos created by YouTubers and influencers have garnered millions of views showing off Emirates' caviar meals, fancy sleeping pods and showers onboard.

In 2010, the Canadian government refused to allow more flights from the U.A.E. to protect Canada's industry. Air Canada at the time said airlines like Emirates pick up Canadians and take them to third countries with a stopover in Dubai, and there isn't much reciprocal benefit to Canadian carriers.

The U.A.E. retaliated by banishing Canada from a once-secret logistics base Canadian troops were using for operations in Afghanistan. 

Saudi Arabia suspended flights to Canada between 2018 and 2023 after a diplomatic dispute over Canada's condemnation of its human rights record. Global Affairs Canada publicly called out the country for arresting activists and demanded their release. 

Prime Minister Mark Carney is now trying to improve relations with countries in the Middle East and other parts of the world as part of his plan to diversify trade away from the U.S. during President Donald Trump's trade war. 

"The global economy is being rewired. Canada isn't retreating," Carney said after his visit to the U.A.E. on Nov. 23.

Carney visited Abu Dhabi in November and landed a $70-billion commitment from the country to invest in Canada. 

More than a week later, Transport Minister Steven MacKinnon announced the government is expanding air transport agreements to allow as many as 14 passenger flights per week from Saudi Arabia — up from four.