International Air Transportation Competition Act

International Air Transportation Competition Act - Amends the Federal Aviation Act of 1958 to direct the Civil Aeronautics Board to consider competition in international air transportation and the need to provide domestic route authority to United States international carriers as being in the public interest.

Directs the Board to permit air carriers to organize charter trips in foreign air transportation and to sell them directly to the public. Establishes a graduated permissible level of such trips over a three-year period.

Allows specified air carriers holding certificates authorizing supplemental air transportation to obtain certificates to engage in scheduled foreign air transportation in up to five nonstop city-pair markets.

Removes the requirement that the Board conduct public hearings when issuing permits authorizing foreign air carriers to engage in foreign air transportation.

Creates a rebuttable presumption that any consolidation or merger of an air carrier and a supplemental air carrier is in the public interest.

Prohibits the Board from approving any agreement affecting foreign air transportation which limits the level of capacity among air carriers and foreign air carriers in markets in which they compete or which fixes rates between air carriers and foreign air carriers.

Requires the Board to submit any proposed order which suspends, rejects, or cancels a rate, fare, or charge for foreign air transportation by a foreign air carrier before its publication to the President. Gives the President ten days in which to disapprove such an order and stipulates that such disapproval must be on national defense or foreign policy grounds.

Establishes within the Executive Office of the President an Office of International Aviation Negotiations. Stipulates that the Director of such Office shall be the chief representative of the United States in all negotiations dealing with international aviation.

Authorizes appropriations in such amounts as may be necessary to the Office to carry out its functions.

Stipulates that the international aviation negotiation policy of the United States shall be coordinated by a permanent Aviation Policy Committee to be chaired by the Director of the Office. Requires the Committee to consult regularly with the International Aviation Advisory Council which shall be comprised of individuals representing a wide spectrum of views and interests.

Declares the intent of Congress that the Aviation Policy Committee should develop a negotiating position which emphasizes the greatest degree of competition that is compatible with a well-functioning international air transportation system.