The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Homeless women struggle to find place to spend night

  • 3

    More than dozen chaebol scions indicted on alleged drug use

  • 5

    People attempt to cut surging heating costs with creative solutions

  • 7

    Shunsuke Michieda overwhelmed by Korean fans' support for his coming-of-age film

  • 9

    Life prisoner sentenced to death for beating inmate to death

  • 11

    Kim Hyun-joo says humanity is at heart of action film 'Jung_E'

  • 13

    Korea's childbirths hit record low in Nov.

  • 15

    Korea's GDP shrinks 0.4% in Q4, 1st contraction in 10 quarters

  • 17

    S. Korea to increase joint air defense exercises following N. Korean drone incursions

  • 19

    Gov't seeks to limit where child sex offenders can reside

  • 2

    Koreans stunned by spike in heating costs

  • 4

    Heavy snow hits Seoul, surrounding areas

  • 6

    Netflix series 'The Glory' draws focus to real school bullying

  • 8

    Inflation weighs on households

  • 10

    'I was a stock investment addict': psychiatrist seeks to help addicted people through his book

  • 12

    INTERVIEWPartnerships with Korean companies help Delta Air Lines' post-pandemic recovery

  • 14

    PHOTOSAnother day of heavy snowfall in Korea

  • 16

    Gov't to double subsidies for vulnerable households as energy bills soar

  • 18

    Renaissance aesthetics meets surreal fantasy in Park Min-joon's oil paintings

  • 20

    VIDEODo Koreans know K-pop idols well?

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
Business
  • Tech
  • Bio
  • Companies
Sat, January 28, 2023 | 03:53
Companies
All eyes on EU after China approves Korean Air's Asiana acquisition
Posted : 2022-12-27 16:01
Updated : 2022-12-28 12:02
Park Jae-hyuk
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
Korean Air and Asiana Airlines aircraft are parked at Gimpo International Airport in Seoul in this February file photo. Newsis
Korean Air and Asiana Airlines aircraft are parked at Gimpo International Airport in Seoul in this February file photo. Newsis

By Park Jae-hyuk

Korean Air's acquisition of Asiana Airlines now seems to depend heavily on the European Union's decision, as China preemptively gave its approval for the business deal, according to aviation industry experts, Tuesday.

The Ministry of Commerce of the People's Republic of China (MOFCOM) announced on Monday that it approved the deal between the two Korean air carriers. The Chinese antitrust regulator's decision came after Korean Air submitted remedies proposing to transfer slots to any new airline wishing to start air services on nine routes where both Korean Air and Asiana Airlines operate.

As a result, China became the first foreign country to give its approval for the acquisition, among countries where reporting for such deals is mandatory. This was in contrast to most industry insiders' expectations, who felt that Korean Air would face difficulty in winning approval from China.

"We expect MOFCOM's approval of the business combination to play a positive role in the review process of the remaining competition authorities," Korean Air said in a press release.

The company is still waiting for approval from the U.S., the EU and Japan, where reporting is mandatory, as well as final approval from the U.K., where reporting is arbitrary.

Given that the U.K. Competition and Markets Authority (CMA) accepted remedies submitted by Korean Air earlier this month, it is expected to give its approval during the first quarter of next year.

The U.S. is also expected to allow the acquisition in the near future, as the Department of Justice said last month that it needs time to review the matter, instead of disallowing the deal. Japan is unlikely to reject the deal, because various budget carriers' use of most of the country's flight routes has reduced concerns over a possible monopoly.

Korean Air, however, still needs to overcome the strict review of the EU, which has a long track record of opposing large-scale acquisitions.

Last year, the EU Commission turned down a merger between Air Canada and another Canadian airline, Air Transat. It also repeatedly took a negative stance on a merger between Spain's leading airline, IAG, and Air Europa, citing monopoly concerns. In January, the EU rejected Korea Shipbuilding & Offshore Engineering's acquisition of Daewoo Shipbuilding & Marine Engineering.

"China was actually the major concern for Korean Air's merger with Asiana because the country is unpredictable," Sejong University economics professor Hwang Yong-shik said. "The EU is expected to follow China, which gave conditional approval for the deal."

Korean Air has received approval from China, Korea, Turkey, Taiwan and Vietnam. The Thailand Competition Commission announced that the submission of a business combination report was not necessary. From countries where reporting is arbitrary, the air carrier has received clearances from Singapore, Malaysia and Australia. The Philippines has confirmed that the business combination report was not required.


Emailpjh@koreatimes.co.kr Article ListMore articles by this reporter
 
wooribank
Top 10 Stories
1People attempt to cut surging heating costs with creative solutions People attempt to cut surging heating costs with creative solutions
2SK E&S retains gov't support for Barossa gas project in Australia SK E&S retains gov't support for Barossa gas project in Australia
3More Korean manufacturers enjoy Georgia's hospitality More Korean manufacturers enjoy Georgia's hospitality
4Cabinet ministries turn deaf ear to watchdog's advice on sexual minorities Cabinet ministries turn deaf ear to watchdog's advice on sexual minorities
5Seoul to work with Hanoi to pursue peace on Korean peninsula Seoul to work with Hanoi to pursue peace on Korean peninsula
6Superintendent of Seoul Education Office gets suspended jail term Superintendent of Seoul Education Office gets suspended jail term
7KT&G aims to become global top-tier company KT&G aims to become global top-tier company
8Indonesia celebrates 50th anniversary of diplomatic ties with Korea via virtual event Indonesia celebrates 50th anniversary of diplomatic ties with Korea via virtual event
9LGES to capitalize on US IRA, Tesla partnership to continue record earnings LGES to capitalize on US IRA, Tesla partnership to continue record earnings
10Middle East 'sales diplomacy' picks up speed Middle East 'sales diplomacy' picks up speed
Top 5 Entertainment News
1Shunsuke Michieda overwhelmed by Korean fans' support for his coming-of-age film Shunsuke Michieda overwhelmed by Korean fans' support for his coming-of-age film
2Kim Hyun-joo says humanity is at heart of action film 'Jung_E' Kim Hyun-joo says humanity is at heart of action film 'Jung_E'
3Renaissance aesthetics meets surreal fantasy in Park Min-joon's oil paintings Renaissance aesthetics meets surreal fantasy in Park Min-joon's oil paintings
4Jang Keun-suk steps out of his comfort zone with 'The Bait' Jang Keun-suk steps out of his comfort zone with 'The Bait'
5TXT brings together 'pansori' and fairy tale in new song 'Sugar Rush Ride' TXT brings together 'pansori' and fairy tale in new song 'Sugar Rush Ride'
DARKROOM
  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

  • World Cup 2022 France vs Morocco

    World Cup 2022 France vs Morocco

wooribank
CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group