Singapore Airlines welcomed (13-Oct-2011) the Australian Competition and Consumer Commission's (ACCC) draft approval of its proposed alliance with Virgin Australia. The proposed alliance is subject to regulatory approvals in Australia and Singapore. The carrier lodged an application with the ACCC in Jun-2011 under which the airlines propose to:
Singapore Airlines welcomes ACCC draft approval of alliance with Virgin Australia
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Singapore Airlines to launch Jakarta-Sydney, further intensifying SE Asia-Australia competition
Singapore Airlines (SIA) will launch services from Jakarta to Sydney in Nov-2016, resulting in new competition for rivals Garuda Indonesia and Australia’s Qantas Airways. SIA’s entrance on the Jakarta-Sydney route is a strategic move and highlights its desire to pursue new areas of growth.
The Indonesia-Australia market is a logical market for SIA as it seeks to diversify its business. Indonesia and Australia are already SIA’s two largest international markets and Garuda and Qantas are already among its biggest competitors.
Competition within Asia Pacific, including the Southeast Asia-Australia market, has been intensifying. In the current highly competitive and challenging environment airlines are constantly jockeying and exploring new options to improve their position.
Lufthansa Group-Singapore Airlines JV Part 1: Lufthansa's Australia presence strengthened
Lufthansa Group’s new joint venture with Singapore Airlines (SIA) will significantly improve Lufthansa’s position in the key offline markets of Australia, Indonesia and Malaysia. Lufthansa anticipates it will be able to implement the new JV in early 2017, to cover four markets in Asia Pacific along with four markets in Western Europe.
The JV should improve Lufthansa’s ability to compete against Gulf carriers. It should also help support additional nonstop capacity from Singapore to Germany and Switzerland.
This is Part 1 in a series of analysis reports on the Lufthansa-SIA JV. This part will focus on Australia, which is Lufthansa’s largest offline market in Asia Pacific. Subsequent parts will examine in more detail the Singapore market along with Indonesia and Malaysia, which are Lufthansa’s two largest offline markets in Southeast Asia.