Australia's competition regulator proposed to re-authorise a joint venture between Qantas Airways Ltd and American Airlines Group Inc on Friday, extending it for another five years.
The carriers had entered a Trans-Pacific joint business agreement in 2011 to coordinate services between the United States, Australia and New Zealand.
The Australian Competition and Consumer Commission (ACCC) had authorised the agreement in 2011 for five years and re-authorised it in 2016 until 2021.
"Passengers travelling on Trans-Pacific routes could benefit through enhanced products and services, including a greater likelihood of increased capacity and new routes, increased connectivity and improved schedule choice," ACCC commissioner Sarah Court said in a statement.
Qantas and American Airlines did not immediately respond to Reuters' request for a comment.
(Reporting by Shashwat Awasthi in Bengaluru; Editing by Rashmi Aich)
