SIA and Air China plan commercial JV under new MoU

The move expands a codeshare partnership first established in 2016.

Singapore Airlines (SIA) and Air China plan to establish a commercial joint venture partnership covering expanded codeshare ties, schedule coordination, joint fare products, and revenue-sharing arrangements.

Under the memorandum of understanding, the carriers will explore deeper cooperation on flights linking Singapore, mainland China, and other destinations. Earlier, SIA had launched and priced offshore $286.7m (CNY1.5b) in 2.38% notes due 2031.

The agreement also includes the potential expansion of their existing codeshare partnership to additional destinations.

The airlines began codesharing on selected flights in 2016, covering services between Singapore and Beijing, Chengdu, Chongqing, and Shanghai. 

The carriers also plan to coordinate flight schedules and pursue joint marketing initiatives. They intend to deepen cooperation between Air China’s PhoenixMiles and Singapore Airlines’ KrisFlyer frequent flyer programmes. 

Furthermore, the carriers will look at sharing practices in ground handling, catering, and in-flight service.