Emirates Airlines, Qantas Launch Codeshare, Commercial Partnership
By David Cogswell
September 06, 2012 10:15 PM
Emirates Airlines and Qantas signed a 10-year codeshare agreement and commercial partnership through which Qantas will move its hub for European flights from Singapore to Dubai. The former competitors for Australia-Europe traffic will now coordinate sales, pricing and scheduling and will offer a frequent flyer benefits sharing arrangement. Neither airline will take equity in the other. With the new agreement, Qantas will end its partnership with British Airways. Qantas and British Airways will continue to work together in the oneworld alliance and existing codeshare agreements.
Qantas will join Emirates as the only other airline operating from Dubai International’s Terminal 3. The two airlines will jointly offer 98 weekly services between Australia and Dubai and onward to more than 30 European gateways, including London, Paris, Moscow, Amsterdam, Munich and Rome. Combining Emirates fleet of 23 A380s, the largest in the world, with Qantas fleet of 12 brings the total to 35. The carriers will coordinate their trans-Tasman services between Australia and New Zealand. They will also offer access to each other’s airport premium lounges.
The partnership will give Emirates more access to Australian cities through Qantas’ Australian domestic network of more than 50 destinations and nearly 5,000 flights per week. It will give Emirates leverage against recent moves into Australia by regional competitors Qatar and Etihad. It should help Qantas to reduce fuel costs after being rocked by record fuel costs.
To finalize the agreement, the airlines will submit applications for authorization to the Australian Competition and Consumer Commission (ACCC) and other relevant regulatory authorities. The airlines expect the partnership arrangements to take effect in April 2013.