Japan Approves Korean Air and Asiana Mega-Merger, But Two Huge Hurdles Remain
Skift Take
Any celebration in Seoul will likely be muted, as airline chiefs know the biggest regulatory challenges are yet to come.
The creation of a new Asian super-airline has taken a step closer. On Wednesday, Japanese regulators approved Korean Air’s proposed merger with local rival Asiana Airlines.
Given the size and potential impact of the deal, the courting carriers need to seek regulatory approval from global authorities. The green light from the Japan Fair Trade Commission (JFTC) is the first new endorsement of the tie-up in almost a year.
Japan is the 12th out of 14 regulators to approve the deal. However, the final two competition boards will be the toughest to please. Both the United States and the European Union have raised concerns and heaped extra scrutiny on the implications of any partnership.
A Long-Haul Tr