Virgin Australia and Qatar Airways Forge Alliance for the Australian Market
- Virgin Australia and Qatar Airways plan an alliance for flights between Doha and Australia.
- The ACCC has given preliminary approval, but final regulatory approval is still pending.
Eulerpool News·
A remarkable advancement in the Australian aviation landscape: The Australian Competition and Consumer Commission (ACCC) has preliminarily approved Virgin Australia's initiative to offer flights operated by Qatar Airways between Doha and four major Australian cities.
This collaboration provides Qatar Airways, which intends to acquire a 25% stake in Virgin Australia from the U.S. investment firm Bain Capital, a discreet opportunity to increase its flights to Australia after the Australian government rejected similar requests last year. However, the final approval from the government is still pending.
Qantas Airways, holding a 65% market share in Australia, has firmly opposed Qatar's entry into the Australian market. Last year's rejection also raised questions about the government's close relationship with Qantas, which is partnered with Emirates, a rival of Qatar Airways.
Starting June next year, Qatar Airways and Virgin Australia may begin marketing 28 weekly round-trip flights between Doha and the cities of Brisbane, Melbourne, and Sydney, as announced by the ACCC. Flights to and from Perth are scheduled from November.
The ACCC's preliminary approval ensures that customers who have already booked these flights are protected, even if final regulatory approval is not granted. Virgin Australia will be utilizing Qatar Airways' aircraft and crew under a wet-lease agreement.
Neither Virgin Australia nor Qantas and Qatar Airways have responded to Reuters' requests for comment. Modern Financial Markets Data
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