Etihad ties up with Air France-KLM; next Qatar-oneworld and the aviation world turns on its head

(Updated, following Qatar-oneworld announcement, to include more details of partnership between Air France-KLM, Etihad and airberlin)

Air France-KLM Group, Etihad Airways and airberlin on 08-Oct-2012 confirmed their much speculated tripartite commercial agreement, stealing some spark of the announcement later in the day in New York that Qatar Airways will become a new member of oneworld. It will no doubt be another important shift in the aviation industry's global axis.

The Etihad deal includes an intra-European codeshare partnership between Air France, KLM and airberlin and a more sweeping alliance/partnership between Etihad and Air France-KLM. The Air France-KLM Group is an anchor of SkyTeam while airberlin is a oneworld member since Apr-2012, but the new oneworld partner is not getting too much love from the group and is forging ties with Air France and KLM under impetus of its 29.21% shareholder Etihad.

Following hard on the heels of the Qantas-Emirates partnership announcement from Sep-2012, this means the three Gulf carriers - previously the bêtes noires of the European airline establishment - will establish themselves at the core of the new global world order. It is difficult to imagine a more dramatic shift in the balance of power as is occurring now.