Air China, Air Canada agree on strategic alliance

Air China and Air Canada have concluded a memorandum of understanding setting out the main principles for a comprehensive revenue sharing joint venture providing for an enhanced partnership on routes between Canada and China which will stimulate traffic growth between the two countries.


Air Canada agree on strategic alliance Air China


Air China and Air Canada have concluded a memorandum of understanding setting out the main principles for a comprehensive revenue sharing joint venture providing for an enhanced partnership on routes between Canada and China which will stimulate traffic growth between the two countries. The joint venture will generate additional service and pricing benefits for consumers travelling between the two countries as well as provide for enhanced cooperation between the two carriers in the areas of sales, marketing and airport operations.

“This joint venture between Air China and Air Canada will provide many benefits and commercial synergies on the important and growing market for travel and trade between Canada and China. Over the past five years the Canada – China air travel market has grown on average by almost 11 per cent annually and this trend is expected to remain strong according to airline industry trade group IATA, said Song Zhiyong, president and executive director of Air China Limited.” Subject to Air Canada and Air China making the necessary filings, obtaining competition and other regulatory approvals and finalising documentation, the joint venture is expected to come into effect by the end of 2015.