Singapore's Tiger Airways seeks to block Qantas/Jetstar Asia cooperation

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Singapore's Tiger Airways seeks to block Qantas/Jetstar Asia cooperation
05.18.2006, 08:28 AM

SINGAPORE (XFN-ASIA) - Budget carrier Tiger Airways said it has asked the Australian Competition and Consumer Commission (ACCC) to reject a proposed cooperation between Qantas Airways and newly-merged Singapore-based budget carriers Jetstar Asia and Valuair.

'While Tiger Airways in principle does not object to reasonable cooperation between airlines, it has expressed its concerns about a proposed cooperation agreement between Qantas and Jetstar Asia/Valuair,' a spokeman for Tiger Airways said.

'The proposed agreement would give Qantas effective control of the network, pricing and products of Jetstar Asia/Valuair,' he said.

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I wouldn't have expected the ACCC to be that interested in competitive issues in Asia. And given that Temasek has shares in Jetstar Asia and SQ ownes Tiger Air, I can't see that the Singapore government would be too concerned either.

[JohnK]

I wouldn't have expected the ACCC to be that interested in competitive issues in Asia. And given that Temasek has shares in Jetstar Asia and SQ ownes Tiger Air, I can't see that the Singapore government would be too concerned either.

Valid points and why would the ACCC care about competitive issues in Asia?

I don't think Tiger Airwas has anything to fear as I don't feel Jetstar Asia, even with further help from Qantas, can match their product in the budget category.