Having signed an initial agreement back in November 2015, Lufthansa and Singapore Airlines (SIA) have received approval from the Competition Commission of Singapore (CCS) for their joint venture proposal intended to expand codeshare ties as well as commercial cooperation in Europe, Australia and Southeast Asia, along with aligning corporate programs.
This is another step the airlines have taken with regard to their wide-ranging partnership agreement, undertaken to challenge increasing competition from rival airlines. The joint venture also includes Lufthansa subsidiaries Swiss and Austrian Airlines, together with SIA’s subsidiary, Silkair.
According to Goh Choon Phong, SIA’s CEO, “The joint venture with Lufthansa Group will provide an attractive proposition to travelers, with unparalleled network connectivity between Europe and the Asia-Pacific. 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.”
“This joint venture will allow the two leading airlines to optimize 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,” the Lufthansa Group CEO, Carsten Spohr, commented, very much in accord with Goh’s statement.
On Feb. 5, Lufthansa and SIA sought permission to cooperate on routes between the Asia-Pacific region (Australia, Indonesia, Malaysia and Singapore) and Europe (Austria, Belgium, Germany and Switzerland) while, more recently, the Australian Competition and Consumer Commission also granted approval for the joint venture.
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Lufthansa-Singapore JV gets go ahead from CCS
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