PARIS/ HANOI: Air France signed a new joint venture (JV) deal with Vietnam Airlines and said it was in advanced talks with India’s Jet Airways over a partnership as part of efforts to boost its long-haul network.
Air France is looking at working more closely with Indian carrier Jet Airways, with which it has had a code share since 2016, reports Reuters.
“We are in advanced talks with Jet Airways to see how we can strengthen our cooperation,” Air France’s Chief Executive Franck Terner told Reuters.
The JV with Vietnam Airlines, due to start from November depending on approval from authorities, builds on code shares that have been in place since 2010 and will see the two airlines coordinating their flight schedules to offer customers better connecting flights.
Parent company Air France-KLM is currently seeking ways to boost its position on long-haul markets and compete against Gulf carriers.
It is launching a new budget brand, Joon, to fly short and long-haul routes and in July rejigged its North Atlantic alliance in a three way deal with Delta and Virgin Atlantic.
As part of that shake up, Delta and China Eastern have each taken a 10 per cent stake apiece in the Franco-Dutch airline.
“There is still pressure on prices on routes heading east,” Terner said. “The joint venture with Vietnam Airlines will help us to strengthen our position and better mitigate this pressure on prices.”