Qantas-Cathay Pacific codeshare expansion shot down by regulator
Cathay Pacific and Qantas have failed in a bid to expand their codeshare alliance.
The International Air Services Commission initially blocked the expanded codeshare arrangement, citing anti-trust concerns particularly to the detriment of Virgin Australia.
After issuing a draft decision rejecting the proposal, Qantas sought to convince the agency to reconsider but it would not budge, issuing a final denial.
Under their proposal the airlines wanted to add 19 one-way routes beyond Hong Kong and 32 additional Qantas – operated domestic routes.
"The Commission finds that the variation is likely to entrench and expand the market position of Qantas and Cathay Pacific, to the detriment of Virgin Australia’s competitive position and the position of any potential future entrants on the route,” it said in its decision.
"If this occurs, it is likely to weaken competition on the route, leading, over time, to an increase in prices and/or a reduction in other benefits to consumers."
It had been vehemently opposed by Virgin Australia.
The commission said the likely consumer benefits were limited and would be outweighed by possible negative repercussions from a less competitive market.
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Qatar Airways offers flexible payment options for European travellers
Airlines suspend Madagascar services following unrest and army revolt
Digital Travel Reporter of the Mirror totally seduced by HotelPlanner AI Travel Agent
Phocuswright reveals the world's largest travel markets in volume in 2025
Strike action set to cause travel chaos at Brussels airports