South Korea’s Ministry of Land, Infrastructure and Transport (MOLIT) has announced that it has granted conditional approval for the merger of Korean Air and Asiana Airlines under the Aviation Business Act. The management integration is expected as early as December 17.
The integration of the two South Korean carriers began in November 2020, when the Korea Development Bank decided to sell Asiana Airlines to Korean Air. After obtaining approval from 13 competition authorities worldwide, including the United States, the European Union (EU), and Japan, Korean Air completed the procedures to acquire Asiana Airlines. With MOLIT’s authorization, all major regulatory procedures have now been finalized.
As reasons for making the approval conditional, the ministry cited the need for regular monitoring of the progress of the plan submitted by Korean Air, inspections related to changes in the airline’s safety and operational systems, and completion of approvals from foreign aviation authorities.
MOLIT commented, “Since this is a merger between South Korea’s largest and second-largest full-service carriers, it will have a significant impact on the overall aviation market. We will strictly manage and supervise the process to ensure that aviation safety and consumer convenience are not undermined.”
