Commercial Aviation
Qatar Airways China Southern Expand Codeshare for Asia Pacific Growth
Qatar Airways and China Southern Airlines expand codeshare flights during China’s Golden Week 2025 to capture Asia-Pacific travel growth and enhance connectivity.
The recent expansion of the partnership between Qatar Airways and China Southern Airlines marks a pivotal moment in the evolving landscape of global aviation, particularly within the dynamic Asia-Pacific region. Announced in September 2025, the enhanced codeshare agreement is strategically timed to coincide with China’s Golden Week, a peak travel period, underscoring both airlines’ commitment to capturing a growing share of international and outbound Chinese travel.
This partnership does more than simply add new routes; it reflects broader trends in commercial aviation, such as the resurgence of international travel demand, the rise of Asia-Pacific as an aviation powerhouse, and the increasing significance of strategic alliances. By leveraging their complementary strengths, both carriers aim to address shifting market dynamics, financial realities, and the growing need for seamless connectivity between China, the Middle East, and beyond.
As the aviation industry anticipates record revenues and passenger numbers in 2025, the Qatar Airways–China Southern Airlines alliance provides a compelling case study in how targeted collaboration, timed with major travel events and supported by robust infrastructure and loyalty integration, can drive growth and resilience in a competitive post-pandemic market.
In September 2025, Qatar Airways and China Southern Airlines announced a significant expansion of their partnership, introducing new codeshare flights between Beijing Daxing International Airport and Doha, effective from October 16, 2025. This move is specifically aligned with China’s Golden Week holiday (October 1–7), a period that traditionally sees a surge in outbound travel by Chinese citizens. The three weekly direct flights between Beijing and Doha represent China Southern’s second non-stop Chinese gateway to the Qatari capital, building on previous codeshare arrangements from Guangzhou.
The enhanced agreement extends beyond the Beijing-Doha route. China Southern will place its “CZ” code on Qatar Airways-operated flights to 15 additional destinations across Africa, Europe, and the Middle East, including major cities such as Amman, Athens, Barcelona, Cairo, Dar es Salaam, Madrid, and Munich. Conversely, Qatar Airways will continue to place its “QR” code on China Southern flights within China, subject to regulatory approval, broadening access to cities like Chengdu, Chongqing, Hangzhou, and Shanghai.
This timing is no coincidence. According to recent travel data, outbound accommodation searches by Chinese travelers for the Golden Week period in 2025 are nearly four times higher than during the same window in 2024. Furthermore, travel budgets are rising: nearly a quarter of Chinese travelers plan to spend over CNY50,000 (approximately USD 7,000) on a single trip, while almost half expect to spend more than CNY25,000 (USD 3,500). The partnership is thus well-positioned to capitalize on what is expected to be a post-pandemic high in outbound Chinese travel, with estimates of 8–10 million travelers during Golden Week alone.
“Qatar Airways and China Southern have established a partnership that continues to set new benchmarks in the industry. This latest expansion ensures that every Qatar Airways route to China is now accessible to China Southern Airlines’ passengers, underlining our long-term commitment to a market that is integral to our growth and connectivity.”
— Thierry Antinori, Chief Commercial Officer, Qatar Airways
The financial context of this partnership reveals a contrast between the two airlines. Qatar Airways reported a record-breaking profit of USD 2.15 billion for the fiscal year 2024–2025, marking a 28% increase year-over-year and the strongest results in the airline’s history. This performance was driven in part by Qatar Airways Cargo, which saw a 17% revenue increase and its best results since the COVID-19 pandemic, attributed to digital investments and operational agility. In contrast, China Southern Airlines faced ongoing financial headwinds, reporting a net loss of 1.70 billion yuan in 2024, with total revenue falling short of expectations. Nevertheless, China Southern remains China’s largest airline by fleet size and route network, operating over 600 aircraft and maintaining a dominant domestic presence. The partnership allows China Southern to leverage Qatar Airways’ global reach and financial stability, while Qatar Airways gains deeper access to China’s vast domestic market.
For travelers, the partnership means expanded access: Chinese passengers can now connect to over 170 destinations in Qatar Airways’ network via Hamad International Airport, which was voted Best Airport in the Middle East by Skytrax in 2025. This comprehensive network coverage is particularly significant as the Asia-Pacific region leads global aviation growth.
Qatar Airways’ profit for FY 2024–2025 reached USD 2.15 billion, while China Southern Airlines reported a net loss, highlighting the complementary strengths each brings to the partnership.
The backdrop to this partnership is the robust growth of the Asia-Pacific aviation market. The International Air Transport Association (IATA) projects that Asia-Pacific will account for 52% of global aviation growth in 2025, with passenger numbers expected to rise by 7.9%, the highest rate worldwide. The region’s long-term outlook is equally strong, with passenger numbers forecast to double by 2043, far surpassing growth rates in Europe and North America.
Hamad International Airport in Doha has responded to this demand with significant infrastructure investments, including the opening of Concourses D and E in March 2025. This expansion increased the airport’s capacity to 65 million passengers annually, adding 17 new boarding gates for a total of 62. Such developments ensure that the airport remains a pivotal hub for connecting Asia, Europe, and Africa, supporting the expanded codeshare operations.
The competitive landscape is intensifying. With the expanded partnership, Qatar Airways and its strategic partners now offer 64 weekly flights across eight gateways in Greater China, making it one of the most comprehensive international networks in the region. This positions both airlines to capture a significant share of the growing Asia-Pacific travel market, especially as more seats are added in the region than in all others combined.
Golden Week is one of the most significant periods for outbound Chinese travel, and the timing of the partnership expansion is designed to capture this surge. Data shows that accommodation searches for outbound travel during Golden Week 2025 have increased nearly fourfold compared to 2024. Gen Z and Millennials make up the largest traveler segments, with Gen Z accounting for 42% of travelers and displaying a strong preference for experiences and international destinations.
European cities remain highly attractive to Chinese travelers, with Italy, Spain, and Greece among the top searched destinations. The expanded codeshare network enables seamless connections to these and other popular cities, including Barcelona, Madrid, Munich, and Athens. This aligns with broader trends toward cultural tourism, sports tourism, and nature-focused travel among Chinese consumers.
Nature and pop culture tourism are also on the rise. Destinations such as Kenya have seen increased interest for wildlife experiences, while cities like Seoul are popular due to K-pop events. The Qatar Airways–China Southern partnership provides access to a diverse range of destinations, positioning both airlines to benefit from these evolving travel preferences. Outbound accommodation searches for Golden Week 2025 are nearly four times higher than in 2024, reflecting pent-up demand and rising travel budgets among Chinese consumers.
The partnership’s cargo-aircraft operations are a strategically important dimension, particularly in the context of China’s Belt and Road Initiative (BRI). The 2024 Memorandum of Understanding between the two airlines strengthens cargo cooperation and loyalty program integration, allowing members to earn and redeem miles across both networks.
The global air cargo market is valued at USD 250 billion in 2025 and is expected to reach USD 420 billion by 2035, with China leading growth at a compound annual rate of 6.2%. Major Chinese airports handle significant volumes of electronics, automotive parts, and pharmaceuticals, creating opportunities for expanded cargo partnerships. Qatar Airways Cargo’s strong performance and investment in technology further enhance the alliance’s competitive edge.
The BRI’s focus on trade and infrastructure development across Asia, Africa, and Europe aligns with Doha’s role as a transit hub for both passenger and cargo flows. As the air cargo sector continues to modernize, with automated management systems and cold chain logistics, the partnership is well-placed to benefit from future growth in high-value and integrated logistics services.
The Qatar Airways–China Southern partnership is emblematic of a broader industry trend toward alliance-based growth strategies. As global airline revenues are projected to exceed USD 1 trillion for the first time in 2025, and with the Asia-Pacific region leading this growth, strategic collaborations will become increasingly important for capturing market share and optimizing network connectivity.
The integration of loyalty programs, infrastructure investments, and technological advancements such as high-speed Wi-Fi and automated cargo management systems will further strengthen the partnership’s value proposition. As regulatory approvals are secured and market conditions evolve, both airlines are expected to deepen their cooperation, potentially expanding into new markets and service areas.
The Asia-Pacific region is projected to account for 52% of global aviation growth in 2025, with passenger numbers expected to double by 2043.
The expanded partnership between Qatar Airways and China Southern Airlines is a strategically significant development in global aviation. By aligning their networks, cargo operations, and loyalty programs, both carriers are well-positioned to capitalize on the robust growth of the Asia-Pacific region and the immediate opportunities presented by China’s Golden Week travel surge.
Looking ahead, the alliance serves as a model for how international airline partnerships can create value through complementary strengths, strategic timing, and alignment with broader economic and demographic trends. As Asia-Pacific continues to drive global aviation expansion, such collaborations will play a crucial role in shaping the future of air travel and trade.
What is the main focus of the Qatar Airways and China Southern Airlines partnership expansion? How does the partnership benefit travelers? What role does cargo play in the partnership? Why is Golden Week significant for this partnership? What are the long-term implications of this alliance?
Strategic Aviation Alliance Expansion: Qatar Airways and China Southern Airlines Strengthen Partnership Amid Asia-Pacific Growth
Partnership Expansion and Strategic Timing
Financial Performance and Market Position
Asia-Pacific Aviation Growth and Market Dynamics
Chinese Outbound Travel Trends and Golden Week Impact
Cargo Operations and Belt and Road Initiative Synergies
Broader Industry Context and Future Outlook
Conclusion
FAQ
The primary focus is on expanding codeshare flights between Beijing Daxing and Doha, timed for China’s Golden Week, and extending connectivity to destinations across Africa, Europe, and the Middle East.
Travelers gain access to a broader network, seamless connections via Doha, and the ability to earn and redeem loyalty points across both airlines, enhancing convenience and travel options.
Cargo operations are a key component, leveraging both airlines’ networks and aligning with China’s Belt and Road Initiative to support increased trade and logistics flows between Asia, the Middle East, and beyond.
Golden Week is a peak travel period for outbound Chinese travelers. The partnership expansion is timed to capture this surge in demand, with travel searches and budgets reaching new highs in 2025.
The partnership positions both airlines to benefit from Asia-Pacific’s projected aviation growth, increased cargo demand, and the continued expansion of international travel and trade networks.
Sources
Photo Credit: Qatar Airways
Aircraft Orders & Deliveries
Aergo Capital Acquires Boeing 737 MAX 8 from Aircastle Leased to WestJet
Aergo Capital acquires a Boeing 737 MAX 8 from Aircastle currently leased to WestJet, highlighting active secondary market demand and expanding Aergo’s aviation portfolio.
This article is based on an official press release from Aergo Capital.
Dublin-based aircraft leasing and asset management platform Aergo Capital has announced the acquisition of one Boeing 737 MAX 8 aircraft from Aircastle. The transaction, announced on December 16, 2025, involves an aircraft bearing Manufacturer Serial Number (MSN) 60513, which is currently on lease to Canadian carrier WestJet.
This acquisition marks a continuation of Aergo Capital’s strategy to invest in modern, fuel-efficient narrowbody aircraft. According to the company’s official statement, the deal underscores the active secondary market for the 737 MAX and strengthens the trading relationship between the two major lessors. The aircraft remains in operation with WestJet, ensuring continuity for the airline while transferring asset ownership to Aergo.
The deal highlights the growing collaboration between Aergo Capital and WestJet, following significant transactions earlier in the operational year. By acquiring this asset, Aergo expands its portfolio of liquid, in-demand aviation assets while Aircastle executes its strategy of active portfolio management.
The specific asset involved in the transaction is a Boeing 737 MAX 8, identified by MSN 60513. Fleet data indicates this aircraft operates under the registration C-GRAX. Originally delivered during the initial rollout phase of the MAX program, the aircraft is approximately eight years old and represents the current generation of Boeing’s narrowbody technology.
Fred Browne, Chief Executive Officer of Aergo Capital, emphasized the importance of the acquisition in strengthening ties with both the seller and the lessee. In a statement regarding the deal, Browne noted:
“We are pleased to complete the acquisition of this Boeing 737 MAX 8 from Aircastle… I also extend my thanks to WestJet for their continued partnership and support.”
On the seller’s side, Aircastle, a Stamford-based lessor owned by Marubeni Corporation and Mizuho Leasing, viewed the sale as a testament to their strong commercial network. Michael Inglese, CEO of Aircastle, commented on the relationship between the firms:
“We value the long-standing trading relationship we have built with Aergo… The acquisition underscores the strong commercial relationship between Aergo and Aircastle.”
This transaction is not an isolated event but rather part of a deepening relationship between Aergo Capital and WestJet. In August 2024, Aergo completed a significant sale-and-leaseback transaction involving eight Boeing 737-800 aircraft with the Canadian airline. That deal marked the first major collaboration between the two entities. The addition of this 737 MAX 8 further cements Aergo’s position as a key partner in WestJet’s fleet financing structure. For Aircastle, the sale aligns with a strategy of capital recycling and portfolio optimization. Trading assets with leases attached is a common practice in the aircraft leasing industry, allowing lessors to manage age profiles and risk exposure. For WestJet, the transaction represents a “backend” change of lessor; the airline retains physical possession and operational control of the aircraft, merely redirecting lease payments to the new owner, Aergo Capital.
The Secondary Market for the MAX 8
The transfer of a Boeing 737 MAX 8 between two major lessors highlights the intense demand for this asset class in the secondary market. With new aircraft production facing documented delays across the industry, “on-lease” assets, aircraft that are already built, certified, and generating revenue, have become premium commodities.
While an eight-year-old airframe might typically be considered approaching mid-life, the 737 MAX 8 remains a current-generation asset offering approximately 14% better fuel efficiency than its predecessors. For lessors like Aergo Capital, acquiring such an asset avoids the long wait times associated with factory order books. For the industry at large, this trade signals that liquidity for the MAX platform remains robust, despite, or perhaps because of, supply chain constraints limiting the delivery of new metal.
Sources:
Aergo Capital Acquires WestJet-Leased Boeing 737 MAX 8 from Aircastle
Transaction Overview and Executive Commentary
Strategic Context and WestJet Partnership
Deepening Ties with WestJet
Asset Liquidity and Market Demand
AirPro News Analysis
Photo Credit: Aergo Capital
Aircraft Orders & Deliveries
Qanot Sharq Receives First Airbus A321XLR in Central Asia
Qanot Sharq becomes Central Asia’s first operator of the Airbus A321XLR, expanding long-haul routes to North America and Asia from Tashkent.
This article is based on an official press release from Airbus and Qanot Sharq.
On December 19, 2025, Qanot Sharq, Uzbekistan’s first private airline, officially took delivery of its first Airbus A321XLR (Extra Long Range) aircraft. The delivery, facilitated through a lease agreement with Air Lease Corporation (ALC), marks a historic milestone for aviation in the region, as Qanot Sharq becomes the launch operator of the A321XLR in Central Asia and the Commonwealth of Independent States (CIS).
This aircraft is the first of four confirmed A321XLR units destined for the carrier. According to the official announcement, the airline intends to utilize the aircraft’s extended range to open new long-haul markets that were previously inaccessible to single-aisle jets, including planned services to North America and East Asia.
The newly delivered A321XLR is powered by CFM International LEAP-1A engines and features a two-class layout designed to balance capacity with passenger comfort on longer sectors. The aircraft accommodates a total of 190 passengers.
In addition to the seating configuration, the aircraft is fitted with Airbus’ “Airspace” cabin interior. Key features include customizable LED lighting, lower cabin altitude settings to reduce jet lag, and XL overhead bins that provide 60% more storage capacity compared to previous generation aircraft.
Nosir Abdugafarov, the owner of Qanot Sharq, emphasized the strategic importance of the delivery in a statement regarding the fleet expansion.
“The A321XLR’s exceptional range and efficiency will allow us to offer greater comfort and convenience while maintaining highly competitive operating economics.”
, Nosir Abdugafarov, Owner of Qanot Sharq
The introduction of the A321XLR allows Qanot Sharq to deploy a narrowbody aircraft on routes typically reserved for widebody jets. With a range of up to 4,700 nautical miles (8,700 km), the airline plans to connect Tashkent with destinations in Europe, Asia, and North America.
According to the airline’s strategic roadmap, the new fleet will support route expansion to Sanya (China) and Busan (South Korea). Furthermore, the airline has explicitly outlined plans to serve New York (JFK) via Budapest. While the A321XLR has impressive range, the distance between Tashkent and New York (approximately 5,500 nm) necessitates a technical stop. Budapest will serve as this intermediate point, potentially allowing the airline to tap into passenger demand between Central Europe and the United States, subject to regulatory approvals. AJ Abedin, Senior Vice President of Marketing at Air Lease Corporation, noted the geographical advantages available to the airline.
“Qanot Sharq is uniquely positioned to unlock the full potential of the A321XLR due to its strategic location in Uzbekistan, bridging Europe and Asia.”
, AJ Abedin, SVP Marketing, Air Lease Corporation
The delivery of the A321XLR signals a distinct shift in the competitive landscape of Uzbek aviation. Until now, long-haul flights from Tashkent,specifically to the United States,have been the exclusive domain of the state-owned flag carrier, Uzbekistan Airways, which utilizes Boeing 787 Dreamliners for non-stop service.
By adopting the A321XLR, Qanot Sharq appears to be pursuing a “long-haul low-cost” hybrid model. The A321XLR burns approximately 30% less fuel per seat than previous-generation aircraft, allowing the private carrier to operate long routes with significantly lower trip costs than its state-owned competitor. While the one-stop service via Budapest will result in a longer total travel time compared to Uzbekistan Airways’ direct flights, the lower operating costs could allow Qanot Sharq to offer more competitive fares, appealing to price-sensitive travelers and labor migrants.
Furthermore, the choice of Budapest as a stopover is strategic. If Qanot Sharq secures “Fifth Freedom” rights,which are currently a subject of regulatory negotiation,it could monetize the empty seats on the Budapest-New York sector, effectively competing in the transatlantic market while serving its primary base in Central Asia.
Sources: Airbus Press Release, Air Lease Corporation
Qanot Sharq Becomes First Central Asian Operator of Airbus A321XLR
Aircraft Configuration and Capabilities
Strategic Network Expansion
AirPro News Analysis: The Long-Haul Low-Cost Shift
Sources
Photo Credit: Airbus
Airlines Strategy
Kenya Airways Plans Secondary Hub in Accra with Project Kifaru
Kenya Airways advances plans for a secondary hub at Accra’s Kotoka Airport, leveraging partnerships and regional aircraft to boost intra-African connectivity.
This article summarizes reporting by AFRAA and official statements from Kenya Airways.
Kenya Airways (KQ) is moving forward with strategic plans to establish a secondary operational hub at Kotoka International Airport (ACC) in Accra, Ghana. According to reporting by the African Airlines Association (AFRAA) and recent company statements, this initiative represents a critical pillar of “Project Kifaru,” the airlines‘s three-year recovery and growth roadmap.
The proposed expansion aims to deepen intra-African connectivity by positioning Accra as a pivotal node for West African operations. Rather than launching a wholly-owned subsidiary, a model that requires heavy capital expenditure, Kenya Airways intends to utilize a partnership-driven approach, leveraging existing relationships with regional carriers to feed long-haul networks.
While the Kenyan government formally requested permission for the hub in May 2025, Kenya Airways CEO Allan Kilavuka confirmed in December 2025 that the plan remains under active study. A final decision on the full execution of the project is expected in 2026.
The core of the Accra strategy involves basing aircraft directly in West Africa to serve high-demand regional routes. According to details emerging from the planning phase, Kenya Airways intends to deploy three Embraer E190-E1 aircraft to Kotoka International Airport. These aircraft will facilitate regional connections, feeding passengers into the carrier’s long-haul network and supporting the logistics needs of the region.
This operational shift marks a departure from the traditional “hub-and-spoke” model centered exclusively on Nairobi. By establishing a presence in Ghana, KQ aims to capture traffic in a market currently dominated by competitors such as Ethiopian Airlines (via its ASKY partner in Lomé) and Air Côte d’Ivoire.
A key component of this strategy is the airline’s collaboration with Ghana-based Africa World Airlines (AWA). Kenya Airways signed a codeshare agreement with AWA in May 2022. This partnership allows KQ to connect passengers from its Nairobi-Accra service to AWA’s domestic and regional network, covering destinations like Kumasi, Takoradi, Lagos, and Abuja.
Industry observers note that this “capital-light” model reduces the financial risks associated with starting a new airline from scratch. Instead of competing directly on every thin route, KQ can rely on AWA to provide feed traffic while focusing its own metal on key trunk routes. The push for a West African hub comes as Kenya Airways navigates a complex financial recovery. The airline reported a significant milestone in the 2024 full financial year, posting an operating profit of Ksh 10.5 billion and a net profit of Ksh 5.4 billion, its first profit in 11 years. This resurgence provided the initial confidence to pursue the growth phase of Project Kifaru.
However, the first half of 2025 presented renewed challenges. The airline reported a Ksh 12.2 billion loss for the period, attributed largely to currency volatility and the grounding of its Boeing 787 fleet due to global spare parts shortages. These financial realities underscore the necessity of the proposed low-capital expansion model in Accra.
The strategy focuses on collaboration with existing African carriers rather than creating a new airline from scratch.
, Summary of Kenya Airways’ strategic approach
The viability of the Accra hub relies heavily on the Single African Air Transport Market (SAATM) and “Fifth Freedom” rights, which allow an airline to fly between two foreign countries. West Africa has been a leader in implementing these protocols, making Accra a legally feasible location for a secondary hub.
Furthermore, the African Continental Free Trade Area (AfCFTA) secretariat is headquartered in Accra. Kenya Airways is positioning itself to support the trade bloc by facilitating the movement of people and cargo between East and West Africa. The airline has already introduced Boeing 737-800 freighters to serve key destinations including Lagos, Dakar, Freetown, and Monrovia.
The decision to delay a final “go/no-go” confirmation until 2026 suggests a prudent approach by Kenya Airways management. While the West African market is lucrative, it is also saturated with aggressive competitors like Air Peace and the well-entrenched ASKY/Ethiopian Airlines alliance. By opting for a partnership model with Africa World Airlines rather than a full subsidiary, KQ avoids the “cash burn” trap that led to the collapse of previous pan-African airline ventures. If successful, this could serve as a blueprint for other mid-sized African carriers looking to expand without overleveraging their balance sheets.
What aircraft will be based in Accra? When will the hub become operational? How does this affect the Nairobi hub?
Kenya Airways Advances Plans for Secondary Hub in Accra Under ‘Project Kifaru’
Operational Strategy: The ‘Mini-Hub’ Model
Partnership with Africa World Airlines
Financial Context and ‘Project Kifaru’
Regulatory Landscape and Competition
AirPro News Analysis
Frequently Asked Questions
Current plans indicate that Kenya Airways intends to base three Embraer E190-E1 aircraft at Kotoka International Airport.
While planning is underway and government requests have been filed, a final decision on full execution is not expected until 2026.
Nairobi (Jomo Kenyatta International Airport) remains the primary hub. The Accra facility is designed as a secondary node to improve regional connectivity and feed traffic back into the global network.
Sources
Photo Credit: Embraer – E190
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