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Jetstar Hong Kong defends its autonomy claims at public hearing

Low-cost airline Jetstar Hong Kong coordinates with partner Jetstar Airways using "common sense", but does not report to the Australian firm, a public hearing was told.

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Three airlines claim that Jetstar Hong Kong is in effect a franchise or branch unit of the Australian firm. Photo: Bloomberg

Low-cost airline Jetstar Hong Kong coordinates with partner Jetstar Airways using "common sense", but does not report to the Australian firm, a public hearing was told yesterday.

Jetstar Hong Kong's chief executive Edward Lau made the distinction on the second day of the Air Transport Licensing Authority hearing that will determine whether the carrier will be allowed to operate in Hong Kong.

"It is a coordination duty. My reporting duty is to the Jetstar Hong Kong board," Lau said.

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The hearing must determine the airline's principal place of business in line with Basic Law Article 134.

The three opposing airlines - Cathay Pacific, Hong Kong Airlines and Hong Kong Express - claim that Jetstar Hong Kong is in effect a franchise or branch unit of the Australian firm.

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Jetstar Hong Kong was incorporated originally in 2012 as a joint venture between Qantas Group, the parent company of Jetstar Airways, and China Eastern Airlines, with a takeoff planned for that same year.

In June 2013, Shun Tak Holdings was added as an equal joint partner.

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