The US and Europe could work together to develop a new generation of systems for the efficient management of air traffic.
The satellite-based navigation equipment being considered will enable pilots to fly more direct routes and provide advanced tools to controllers for safely handling more planes in the same airspace.
The computerised guidance systems will enable aircraft to maintain a safe distance from each other in the air, navigate around storms and keep track of runway hazards.
It will also help planes fly closer to each other on shorter, more fuel-efficient routes, thereby reducing emissions of greenhouse gases, according to the Wall Street Journal.
The deal will allow direct cooperation between technical experts working on the US Federal Aviation Administration's NextGen system and the EU's Sesar joint undertaking.
It will provide for more than 20 distinct cooperation areas and will build on previous pacts covering joint research and procedures for near-term enhancement.
The pact will be important for both the US and EU in developing a common solution for both sides of the Atlantic to manage air traffic in a cost-effective approach.