Like Virgin Australia is moving forward with its request to forge deeper interline, codeshare and loyalty ties with Qatar Airways, Etihad Airways, another Middle Eastern airline, will “conclude” its partnership with Virgin Australia in mid-2025, citing “a divergence in the strategic direction of the respective airlines.”

No more code sharing or benefits with Etihad

From June 1, 2025Etihad customers will no longer be able to book Virgin Australia-operated flights through Etihad booking channels. Velocity Frequent Flyer and Etihad Guest members will also no longer be able to redeem or earn points or miles with the respective partners. However, existing reservations under the partnership will not be affected.

Although Etihad offers Velocity Platinum members first-class lounge access in Abu Dhabi – one of the most generous benefits of any Velocity partner – Qatar Airways has become Virgin Australia’s preferred partner in the Middle East. It also doesn’t help that Etihad Guest has made several unpopular changes to his program. For example, Velocity members (as well as other partners) can book only Etihad Business and First Class award seats 30 days before departure.

What’s next with Virgin Australia and Qatar Airways?

New VA flights to Doha on the drawing board

As of 18 November 2024, Virgin Australia and Qatar Airways were still seeking urgent interim authorization for their application to the ACCCwhich would make the two airlines strong interline, codeshare and loyalty partners.

If approved, Virgin Australia would look to launch new daily international flights between Sydney, Melbourne, Brisbane and Perth to Doha and return from mid-2025. This would initially start as a “wet lease” with aircraft and crew provided by Qatar Airways, but could (and hopefully) evolve into services operated by Virgin Australia.

Singapore Airlines loyalty benefits will be virtually unaffected

Initially, concerns and questions were raised about the impact of the proposed deeper partnership with Virgin Australia’s other partners that span Europe and Africa, particularly Singapore Airlines, South African Airways and Virgin Atlantic. From a submission dated November 13, 2024, it seems that if approved:

• Virgin Australia will no longer offer codeshare flights with Singapore Airlines to Europe, the Middle East and Africa. However, there will be no change to the loyalty terms for Velocity members.
• Members will still be able to earn Velocity Points and Status Credits, and redeem Velocity Points, at all Singapore Airlines routes including throughout Europe, the Middle East and Africa.

This news will come as a relief to Velocity members who may already be earning and using points on Singapore Airlines.

Although the application confusingly states that Virgin Australia will not offer any loyalty points or benefits to any airline headquartered in Africa or Europe, the recent November 13 submission also includes the following:

• There will be no change in relationship between Virgin Australia and South African Airways.
• There will be no change in relationship between Virgin Australia and Virgin Atlantic.