Virgin Australia’s long-standing Etihad Airways partnership is officially coming to an end in June next year, paving the way for Qatar Airways’ proposed 25% investment in Virgin.
A statement from Etihad says the decision “reflects a divergence in the strategic direction of the respective airlines,” confirming the end of a codeshare and frequent flyer partnership between the carriers from June 1, 2025.
While the move comes as no surprise, it does feel premature, as Virgin and Qatar Airways’ filings to the Foreign Investment Review Board and the Australian Competition and Consumer Commission (ACCC) for a “proposed integrated alliance” are yet to be approved.
Of course, the ACCC application (click here to download a pdf copy) does paint a rather vivid picture of how the tie-up would impact Virgin’s relationship with Etihad Airways and Singapore Airlines.
“Qatar Airways will become Virgin Australia’s exclusive interline, codeshare and loyalty partner headquartered in the Middle East or Türkiye (excluding interline for passenger re-accommodation purposes),” the application reads.
In addition, the application states “Virgin Australia will not codeshare on the international flights of other airlines to, from or within the Middle East, Europe, and Africa.”
While there’s as yet no official word from Singapore Airlines, this appears to restrict Virgin’s Singapore Airlines codeshare flights to Asia and India, while Qatar Airways would be the sole VA partner for travel across Europe, the UK and Africa.
Included in the ACCC document is a map showing an ‘overview of Virgin Australia’s partner network’ showing how Virgin’s international network would be redrawn under its Qatar Airways alliance.
Virgin may also cut its ties with South African Airways, based on paragraphs citing that Virgin would not “codeshare on the international flights” or “supply any loyalty point accrual services or high value guest services” with any airline in Africa.
As previously reported, Qatar Airways plans to provide jets and crew to Virgin Australia so that Virgin can run daily flights from Sydney, Melbourne, Brisbane and Perth to Qatar’s Doha hub as early as mid-2025.
The partnership between Virgin Australia and Qatar Airways will also be strengthened to add benefits including increased earning of Velocity Points and status credits and greater availability of points-based “redemption opportunities”, the airlines have promised.
Source: https://www.executivetraveller.com/news/virgin-australia-cuts-etihad-airways-partnership
