In Korea, Korean Air and Asiana Airlines are the two leading aviation companies. Korean Air has the highest market share among airline companies at about 47 percent. Following Korean Air, Asiana Airlines has about 20 percent. In November 2020, news broke that these two companies would merge. The merger of the companies is still in progress, and the approval results are drawing a lot of attention.

▲ Planes of Korean Air Co. and Asiana Airlines Inc. are seen on the tarmac at Incheon International Airport, west of Seoul. (Photo from Yonhap)

   In the face of Asiana Airlines' bankruptcy, Korean Air and Asiana Airlines pushed for a merger to strengthen global competitiveness and secure stable financial conditions. After the EU announced conditional approval in February 2024, the approval of the three countries has been completed. The two companies are waiting for U.S. approval because the U.S. must approve them for final approval. If the U.S. approves finally, Asiana Airlines will merge and remain a Korean Air subsidiary for about two years. It will also monopolize the airline industry once it finds financial and social stability. However, if the U.S. refuses to approve it, Asiana Airlines will go bankrupt due to its unstable financial situation. The news of the merger between Korean Air and Asiana Airlines will also bring about a major change for travelers. It means that airfare will rise, and air services will be reduced. If Korean Air and Asiana Airlines merge, the competitors who can compete against them will disappear. In other words, it will become the "Mega Carrier," a super-large airline. It will also affect the change of air routes. In particular, if Korean Air, which is pursuing a merger, monopolizes long-distance routes, low-cost carriers will monopolize short-distance routes. Then, Korean Air will have a market share of over 60 percent.

▲ T-way Airlines will be in charge of European routes on EU terms and will grow in influence at once. (Photo from Illustrator MinGyun Son)

   Although no results have been made, it will bring about a major shift in future aviation conditions, which will go down in the history of Korean airlines through the merger. Various airline companies, including T-way Airlines and Jeju Air, have grown in influence due to their merger and are interested in selling the Asiana cargo business separately. In the interest of many companies and people, the U.S. is also positively responding to the merger, so it will be possible to know whether to merge within this year.