China Airlines mulls joining SkyTeam

China Airlines Co (華航) said it may join the SkyTeam alliance, extending its passenger partnerships with Delta Air Lines Inc and Alitalia SpA, which are part of the six-member airline group.

Joining the group will allow China Airlines to share resources with partners and extend its reach into the European and North American markets, said Roger Han (韓梁中), spokesman of China Airlines. The carrier didn't say when it plans to join Skyteam, Han said.

Carriers worldwide are joining alliances to share sales development and costs. SkyTeam includes Air France, CSA Czech Airlines, Cintra SA's AeroMexico unit and Korean Air Co. The SkyTeam group competes with Star Alliance, which includes Singapore Airlines Ltd and Thai Airways International Pcl, and the Oneworld group, of which Hong Kong-based Cathay Pacific Airways Ltd is a member.

"Joining the alliance will deepen our partnerships with member airlines and give us a global image," Han said. "Cost reductions may also be achieved through joint purchasing in future."

China Airlines operates a fleet of 59 passenger and cargo planes. The airline has so-called code-sharing agreements with Delta Air, Alitalia, Garuda Indonesia, Thai Airways and Vietnam Airlines.

China Airlines reported a 43 percent gain in third-quarter profit to NT$1.31 billion (US$39 million) as overseas demand for the island's microchips and notebook computers boosted cargo shipments.