The Competition Commission of Singapore (CCS) recently granted approval to a proposed joint venture between Singapore Airlines (SIA) and Lufthansa Group that would see the two airlines expand codeshare ties, align their corporate programmes and expand commercial cooperation in Europe, Southeast Asia and Australia.
The CCS’s approval of the joint venture is the latest step for the airlines towards introducing the wide-ranging partnership agreement and comes following approval from the Australian Competition and Consumer Commission in September this year. SIA and Lufthansa first signed the agreement – which also includes SIA subsidiary Silkair and Lufthansa subsidiaries Swiss and Austrian Airlines – in November 2015, in response to growing competition from rival airlines.
“The joint venture with Lufthansa Group will provide an attractive proposition to travellers, with unparalleled network connectivity between Europe and the Asia-Pacific,” said SIA CEO, Goh Choon Phong. “It is yet another example of how partnerships with other airlines enable us to provide more options to our customers which we would otherwise not be able to provide on our own.”
Lufthansa Group CEO Carsten Spohr echoed Goh’s statement, saying: “This joint venture will allow the two world-leading airlines to optimise their premium services in a fiercely competitive environment for the benefit of our global customer base. Together the Lufthansa Group and SIA will be able to offer even better connections and services throughout Europe and Southeast Asia than are already available.”
