Qantas, China Eastern deepen ties

China Eastern and Qantas sign a joint venture

A key benefit of the agreement will be the co-location of both carriers’ operations in Terminal 1 at Shanghai International Airport, which will cut transit times by about an hour.

Qantas and China Eastern have agreed a new joint venture, scheduled to launch in mid-2015. 

The two airlines say the joint venture will complement the Qantas-Emirates partnership for Europe, Middle East and North Africa, and the Qantas-American Airlines partnership for the US.

Through the new partnership, the airlines hope to open up new routes between Australia and mainland China, such as between Brisbane and Perth to Shanghai.

A key benefit of the agreement will be the co-location of both carriers’ operations in Terminal 1 at Shanghai International Airport, which will cut transit times by about an hour.

China is Australia’s most valuable inbound tourism market – projected to contribute up to US$9 billion annually to the Australian economy by 2020.

Australia and China on Monday signed a Free Trade Agreement  but peak lobby group Tourism & Transport Forum says the FTA with China "does nothing to reduce the barriers to travel between the two countries". 

TTF chief executive Margy Osmond said the FTA is a great breakthrough, "but it ignores the biggest game-changer for our largest services export.

“The FTA frees up the movement of goods between Australia and China, but it does not free up the movement of people between the two countries,” Osmond said.

“Our visa regime for Chinese visitors remains stuck in a time-warp while other countries forge ahead with reforms to make it easier for potential visitors.

“Just last week the US and China announced a scheme granting visitors from each other’s country 10-year visas.

“Australia is being left behind and reform is needed to help restore Australia’s competitive position," Osmond said.