American Airlines' New Flight To New Zealand Announced; Kiwi Carrier's Monopoly Ends

American Airlines announced a non-stop flight from Los Angeles to Auckland, according to USA Today.

The partnership between American Airlines and Australia's Qantas Airways Ltd. has been strengthened, primarily to tap the increasing market of travel from the United States to New Zealand, reveals The Wall Street Journal.

"The Asia Pacific region is critically important to American (Airlines), and Auckland is an important economic city and a gateway to New Zealand we've admired for a long time," said American Airlines' CEO, Tony Parker.

The deal entails daily direct flights between Auckland and Los Angeles, which starts in June 2016. Also, the agreement is waiting for final regulatory approval both in the United States and Australia.

"Ten per cent growth in the New Zealand market in US visitors is fantastic and there's more potential there," said Qantas CEO Alan Joyce.

Traveling the new route would be the United States' newest aircraft, the Boeing 787-8 Dreamliner. The aircraft has a two-class passenger configuration, including lie-flat seats in business class.

Simon Bridges, New Zealand's transport minister, approved the alliance. Bridges said the deal would lower fares and give passengers, traveling between the two countries more choices. It would also boost tourism.

"New Zealand will be a more attractive destination for Americans than ever before," said Bridges at a news conference in Wellington, Wednesday.

The alliance between the two carriers has been in place for several years now.

Australia's antitrust regulator approved a five-year partnership between the two carriers in September 2011. The airlines are now seeking approval for an expansion of the tie-up and an extension.

The announcement ends Air New Zealand's monopoly on the route.

In a brief statement, the New Zealand carrier said that the announcement would help New Zealand see more visitors from the United States, reports news.com.au.

"Air New Zealand is one of the key beneficiaries of international tourism growth, because we are the preferred airline for visitors wanting to get out and explore New Zealand's regions and cities," a spokeswoman said.

American Airline's partnership with Qantas has already started a sharing of lucrative frequent-flier bases.