Australia's ACCC Proposes Alliance Between Virgin Australia and Qatar Airways

Australia's competition regulator, the Australian Competition and Consumer Commission (ACCC), has proposed to approve a five-year integrated alliance between Virgin Australia and Qatar Airways.

The alliance would allow the airlines to operate flights between Doha and four Australian capital cities: Brisbane, Melbourne, Perth, and Sydney.

The ACCC's draft determination follows its interim approval in November for Virgin Australia to market and sell return flights between Doha and the Australian cities.

"The proposed cooperation would likely benefit air travelers by enhancing products and services," said ACCC Commissioner Anna Brakey. "Passengers would have more international flight options, improved connectivity, and loyalty program benefits."

Virgin Australia is Qantas Airways' primary domestic competitor. Qantas has an existing partnership with Emirates, based in Dubai.

Qatar Airways is awaiting Australian approval to acquire a 25% stake in Virgin Australia from Bain Capital. This acquisition is expected to precede Virgin Australia's return to public ownership.

The ACCC seeks feedback on its draft determination before finalizing its decision by March or April. Virgin Australia, Qatar Airways, and Qantas have not yet commented on the proposal.