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Japan Airlines to Team Up with Garuda Indonesia in Revenue-Sharing Venture

Japan Airlines to Team Up with Garuda Indonesia in Revenue-Sharing Venture
Credit: Pixabay

Garuda Indonesia and Japan Airlines (JAL) are reportedly set to form a joint venture to optimise their business performance. As part of the collaboration, the two airlines will share revenue on certain routes and will also collaborate on the design and promotion of various travel packages. The move is an extension of their codeshare partnership, which has been in place since 2018.

With this agreement, the two airlines aim not only to enhance passenger comfort, but also to expand their flight networks in Southeast Asia. By coordinating schedules and fares, the airlines will offer more direct flight options and smoother connections between Indonesia and Japan.

The codeshare partnership between Garuda Indonesia and Japan Airlines has already succeeded in expanding the network on several popular routes such as Jakarta-Haneda, Jakarta-Yogyakarta and Jakarta-Narita, which are served by Garuda Indonesia. Conversely, Japan Airlines has also expanded its codeshare network on routes such as Narita-Jakarta, Haneda-Nagoya and several other cities in Japan.

Southeast Asia has become a promising market for Japan Airlines (JAL). With a 5% increase in passenger traffic in the region from January to May, Southeast Asia is now JAL's largest market, surpassing even traditional routes such as North America.

JAL is increasingly focusing on expanding its network in Southeast Asia, particularly between Japan and Indonesia, in recognition of the region's significant growth potential. This move is also part of JAL's long-term strategy to meet the challenges of a declining domestic market and to strengthen its position on the global aviation stage.

Source: Nikkei Asia

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