Virgin to axe Etihad partnership under Qatar Airways deal?

Qatar Airways’ 25% stake in Virgin Australia would come at a cost for frequent flyers…

By David Flynn, October 25 2024
Virgin to axe Etihad partnership under Qatar Airways deal?

Virgin Australia’s long-standing partnerships with Etihad Airways and Singapore Airlines would be cut back as part of the proposed 25% investment by Qatar Airways.

Although the investment is yet to be approved by Australia’s Foreign Investment Review Board, both airlines have applied to the Australian Competition and Consumer Commission (ACCC) seeking approval for their “proposed integrated alliance.”

Contained within that application lodged with the ACCC (click here to download a PDF copy) are details of how the Qatar Airways partnership would impact Virgin’s relationship with Etihad Airways and Singapore Airlines.

“Qatar Airways will become Virgin Australia’s exclusive interline, codeshare and loyalty partner headquartered in the Middle East or Türkiye (excluding interline for passenger re-accommodation purposes),” the application reads.

This would appear to immediately remove Etihad Airways, which has been a Virgin Australia partner since 2010, from Virgin’s roster of partner airlines.

Etihad Airways declined to comment when approached by Executive Traveller.

An extract from the Virgin Australia & Qatar Airways submission to the ACCC.
An extract from the Virgin Australia & Qatar Airways submission to the ACCC.

In addition, the application states “Virgin Australia will not codeshare on the international flights of other airlines to, from or within the Middle East, Europe, and Africa.”

This appears to effectively restrict Virgin’s Singapore Airlines codeshare flights to Asia and India, while Qatar Airways would own the VA skies across Europe, the UK and Africa.

Included in the ACCC document is a map showing an ‘overview of Virgin Australia’s partner network’ showing how Virgin’s international network would be redrawn under its Qatar Airways alliance.

An extract from the Virgin Australia & Qatar Airways submission to the ACCC.
An extract from the Virgin Australia & Qatar Airways submission to the ACCC.

Executive Traveller has approached Virgin Australia and Singapore Airlines for comment, and will update this article with their responses.

Virgin would also cut its ties with South African Airways, based on paragraphs citing that Virgin would not “codeshare on the international flights” or “supply any loyalty point accrual services or high value guest services” with any airline in Africa.

As previously reported, Qatar Airways plans to provide jets and crew to Virgin Australia so that Virgin can run daily flights from Sydney, Melbourne, Brisbane and Perth to Qatar’s Doha hub as early as mid-2025.

The partnership between Virgin Australia and Qatar Airways will also be strengthened to add benefits including increased earning of Velocity Points and status credits and greater availability of points-based “redemption opportunities”, the airlines have promised.


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