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Qatar Airways, British Airways’ parent company IAG Group and Malaysia Airlines on Tuesday announced plans for a joint air cargo venture to increase their collective route offerings and capabilities.
The alliance appears to resemble a long-running one among All Nippon Airways, Lufthansa and United Airlines, but details on how the new venture will function are still very limited. ANA in October 2023 temporarily suspended its participation in the cargo partnership with Lufthansa and United so as not to restrict information sharing as it seeks approval from Japanese authorities for the acquisition of Nippon Cargo Airlines.
There are few other examples of successful full cargo partnerships that go beyond interline agreements. Delta Air Lines and Latam Cargo are operationally integrated, but the partnership is a function of a larger joint venture between Delta Air Lines and Latam Airlines that covers the passenger business too. Both airlines are also part of the SkyTeam Cargo Alliance.
The trilateral cargo partnership proposed by Qatar Airways, the world’s largest air cargo carrier by traffic, IAG and Malaysia Airlines is subject to regulatory approval, which is likely to include the European Union, United States and United Kingdom. The carriers said they expect to implement the partnership in the near future but did not provide a more specific time frame to formalize the enterprise.
The airlines said a joint product offering will provide enhanced connectivity, faster transit times and new routing opportunities, giving customers much greater shipping choice. In parallel, the respective cargo divisions are jointly working to develop harmonized safety and security standards for their customers.
The partnership effort comes as air cargo demand slows and shippers are considering how to shift supply chains to other countries as the United States moves to disrupt trade with China by applying severe tariffs on Chinese imports.
“By leveraging our combined strengths and expertise, we will provide enhanced service offerings, expanded global reach, and cutting-edge solutions that address the evolving needs of the global market, ensuring greater efficiency and connectivity for our partners and customers,” said Mark Jason Thomas, chief executive officer at MASkargo, Malaysia Airlines’ cargo unit, in a news release.
Qatar Airways Cargo operates a fleet of 28 Boeing 777 freighter aircraft to more than 60 destinations and also manages cargo carried on 230 passenger aircraft around the world.
IAG Cargo is the umbrella cargo organization for British Airways, Iberia, Aer Lingus, Vueling and Level.