07/01/2026
Canada is reopening its skies to Middle Eastern airlines, and that shift is about to test how competitive Canadian carriers really are.
Ottawa has approved a sharp increase in passenger flights from the United Arab Emirates and Saudi Arabia, easing limits that were imposed after years of diplomatic tension. The move allows up to 35 weekly passenger flights from the UAE and 14 from Saudi Arabia, alongside unlimited cargo services. Canadian airlines receive reciprocal rights, but the balance may not be equal.
Aviation analyst John Gradek says Middle Eastern carriers arrive with a built-in advantage. Their premium-heavy business models allow them to sell economy seats cheaply while still delivering standout onboard service. That combination is hard for Canadian airlines to match.
Air Canada insists it already competes with the best globally and points to its expanded partnership with Emirates. But as more Gulf carriers enter the market, Canadian passengers may soon expect higher standards at the same prices.