International Airlines Group and Japan Airlines’ joint business has been granted anti-trust immunity from the Japanese ministry of land, infrastructure, transport and tourism.

The agreement will allow British Airways and JAL to cooperate commercially on flights between the EU and Japan.

The joint business is expected to be launched by late March 2013.

It will benefit customers by providing better links between the EU and Japan, more choice, enhanced frequent flyer benefits and the potential to launch new routes.

The MLIT has today, formally approved the application submitted by JAL in February, seeking anti-trust immunity to co-operate on flights between the EU and Japan with British Airways.

IAG chief executive, Willie Walsh, said: “We are delighted the Japanese authority has given regulatory approval for the joint business which will bring great benefits to consumers.

“British Airways has been flying to Japan for more than 60 years and this new agreement will strengthen our ties to the world’s third largest economy and further enhance our relationship with JAL.”

The revenue-sharing agreement will strengthen the oneworld alliance and enable it to compete more effectively around the world with other global alliances.

President of JAL, Yoshiharu Ueki, said “We would like to thank the Ministry for approving our application for ATI with IAG.

“Amid the evolving Japanese aviation industry, the ATI will enable us to build a strong value-creating relationship with British Airways that can benefit our customers as well as our businesses.”

IAG has previously outline plans to potentially take a stake in JAL when it is re-floated on the stock market later this year.