ACCC proposes to allow coordination to continue between Jetstar's Asian brands

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24-Nov-2017 The ACCC is proposing to re-authorise, for a further five years, coordination involving three Asian based Jetstar branded joint ventures: Jetstar Asia, Jetstar Pacific, and Jetstar Japan.

The Jetstar joint ventures wish to continue coordinating with each other. Jetstar is also seeking to coordinate with their shareholding airlines including Qantas, Japan Airlines and Vietnam Airlines, on passenger and cargo services within Asia in certain circumstances.

By coordinating, the Jetstar branded airlines are able to operate as a single fully integrated organisation on matters such as flight scheduling, sales and marketing, and pricing.

"The ACCC considers that continuing this coordination is likely to result in public benefits. The airlines are able to provide better products, services, and more convenient flight times for consumers," ACCC commissioner Roger Featherston said.

“This conduct is likely to result in little, if any, detriment due to a lessening of competition. The joint venture airlines are unlikely to compete directly with each other, or their owners in the absence of the proposed coordination.”

The proposed re-authorisation does not extend to allowing coordination between any of the airline owners.