Singapore Airlines and Air New Zealand have entered an agreement that will see capacity between their two countries grow by 30% and extensive codesharing between the pair.

Under the proposed alliance, Singapore Airlines would upgauge one of its daily Singapore-Auckland services to an Airbus A380 aircraft from the Boeing 777-300ER it now uses on the route, says the carrier in a statement.

Air New Zealand would take over five of SIA’s weekly Auckland-Singapore services using its recently re-fitted 777-200ERs. It would also add two additional flights, giving ANZ daily services to Singapore.

The deal is subject to regulatory approvals, but the two Star Alliance carriers hope to eventually increase capacity between Singapore and New Zealand by up to 30% annually.

Under the proposed deal, Air New Zealand will be able to place its code on SIA and Silkair flights originating from Singapore, while SIA will be able to place its code on Air New Zealand's domestic flights out of Auckland as well as “selected international destinations.”

“This alliance is another example of our commitment to the important Southwest Pacific market, and our commitment to the further enhancement of our network,” says SIA chief executive Goh Choon Phong.

“This is a genuine win-win partnership, enabling Singapore Airlines and Air New Zealand to work together to provide more flight frequency and enhanced travel options to our customers.”

Air New Zealand chief executive Christopher Luxon adds that the deal jibes well with Air New Zealand’s primary focus on Pacific Rim Destinations.

SIA and Air New Zealand are both shareholders in Virgin Australia, with Air New Zealand holding 25.9% and SIA 19.9%. Other major shareholders in the Australian carrier are Etihad Airways with 19.9% and Virgin Group with 12.4%.

Source: Cirium Dashboard