Aerolineas Argentinas and Ecuador's TAME have signed a memorandum of understanding to collaborate in various areas including codesharing.
Under the agreement, the two Latin American carriers will seek to work closely together in aligning networks, codesharing, sales and distribution and frequent flyer programmes.
The two airlines will also look at collaboration in the areas of pilot training, aircraft maintenance and improvements to information technology systems, says Aerolineas.
Aerolineas' president Mariano Recalde and TAME's general manager Rafael Farias Ponton signed the agreement on 4 March.
Ponton says the agreement will help boost traffic between the two countries. Both Aerolineas and TAME are state-owned carriers.