Southwest Airlines Co. (NYSE:LUV) is set to launch its first trans-Pacific partnership through an interline agreement with Taiwan’s China Airlines Group.
The two carriers announced the plan during the International Air Transport Association’s 2025 Annual General Meeting in New Delhi, India.
The agreement, expected to take effect in early 2026, will enable travelers to book joint itineraries across both airlines, connecting U.S. cities to Asia via shared West Coast gateways like Los Angeles, San Francisco, Seattle, and Ontario, California.
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Southwest’s COO, Andrew Watterson, said the collaboration aligns with the airline’s goal of expanding customer access through high-value global links. Kevin Chen, President of China Airlines, noted the partnership would improve connectivity for travelers within the U.S. and to destinations in Asia.
Southwest is building on its recent international push, which includes a partnership with Icelandair that connects U.S. travelers to Europe. Additional gateway cities, Orlando, Pittsburgh, and Raleigh-Durham, are set to join that network in July.
The tie-up with China Airlines reflects Southwest’s broader effort to enhance global connectivity and support international growth through targeted partnerships.
Related ETFs: U.S. Global Jets ETF (NYSE:JETS), iShares Transportation Average ETF (BATS:IYT).
Price Action: LUV shares closed 0.98% lower at $33.38 on Friday.
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