Asiana Airlines President Yoon Young-doo, left, and Air Canada President Calin Rovinescu, pose after signing their comprehensive alliance pact at the Korean carrier’s headquarters in western Seoul, Wednesday. / Courtesy of Asiana Airlines

By Oh Young-jin
Staff Reporter

Asiana Airlines, the smaller of Korea's two national flag carriers, and Air Canada will expand their alliance aimed at strengthening their cooperation in all areas of business.

Asiana President and his Air Canada counterpart Calin Rovinescu, signed a memorandum of understanding (MOU) at the Asiana office in western Seoul, Wednesday.

Their MOU covers the two carriers' cooperation from marketing and services to operations.

"This agreement will move the two companies forward from cooperation based on codesharing to an alliance that encompasses every aspect of business," Asiana's Yoon said.

Ultimately, our cooperation will result in greater benefits for passengers and travel agencies that cater to them, he said.

According to industry sources, the expanded Asiana-Air Canada alliance was something inevitable following the establishment of the "Open Skies" agreement between Korea and Canada in June last year.

The agreement is bringing greater competition among carriers serving air routes between the two countries, meaning that the carriers should cut down on costs while at the same time providing betters services in order to attract customers and stay in business.

The two carriers are anticipating their latest alliance will lead to an increase in the number of their customers.

Currently, the two airlines maintain a high level of codesharing. They have 15 routes and including Incheon to Vancouver; Incheon to Toronto; and Incheon to Hanoi.

foolsdie@koreatimes.co.kr