Australian regulator blocks Qantas-Cathay code share expansion

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In a surprise move that will likely be appealed, the Australian regulator blocked a further expansion of  Cathay Pacific’s code share agreement with Qantas on the Hong Kong routes.

The regulator, the International Air Services Commission (IASC), said that there were already sufficient arrangements in place and that any further concessions to the airlines, already in Oneworld, would not improve customers journeys, but would restrict competition further.

The Hong Kong routes are dominated by Cathay Pacific at 64%, Qantas has 24% with Virgin Australia picking up the remaining 12%.

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