Just last month the ACCC blocked Qantas from striking a similar alliance with Japan Airlines because the regulator said it would create a near monopoly on flights between Australia and Japan.
However, the ACCC has previously looked at the Emirates alliance more favourably, re-authorising it most recently in 2018, given there has been more competition from other hub carriers such as Singapore Airlines, Etihad, Qatar and Cathay Pacific on the routes the agreement covers.
Under the Emirates agreement, Qantas customers can book tickets through Dubai connecting to over 50 cities in Europe, the Middle East and North Africa the Australian airline does not fly to. Emirates passengers can book connecting flights on Qantas’ domestic network.
Tim Clark, president of the state-owned Emirates, said the re-signed agreement showed his airline’s commitment to Australia, despite the challenges of the pandemic.
“As borders re-open, we look forward to restoring our Australian flight schedules including our popular A380 services,” he said.
Qantas shares have rallied 14 per cent since September 1, and closed 10¢ higher at $5.81 on Monday, as investors gain confidence the airline’s domestic and international fleets will gradually return to the skies this summer after 18 months of groundings.
On Friday Qantas said it would relaunch of regular international passenger flights from Sydney to London and Los Angeles from November 14 – five weeks earlier than pervious scheduled.
That came after Prime Minster Scott Morrison said he would reopen Australia’s border in November, to and from states and territories where 80 per cent of adults are fully vaccinated.
Inbound travellers will be able to quarantine at home for seven days rather than spend a fortnight in supervised hotel quarantine. Mr Joyce said last week that travel demand would hinge on quarantine requirements being lifted entirely for vaccinated travellers.
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