Nov. 16 (NBD) -- China's largest airline by passengers carried annually will part ways with SkyTeam after 11 years of cooperation. 

In a statement released on Thursday, China Southern Airlines (China Southern, 600029.SH), which operates the largest fleet, most developed route network and largest passenger capacity in China, said it has decided not to renew its contract with the airline alliance as of January 1, 2019. The decision was made for strategic purposes and to follow new trends of cooperation in the global airline industry, the company noted. 

Founded in 2000 by Aeroméxico, Air France, Delta Air Lines and Korean Air, SkyTeam is one of the world's three largest aviation alliances, currently having a membership of 20 airlines. The two other major airline alliances are Oneworld and Star Alliance.

Photo/Hua Ang

China Southern's decision reflects its strategic development, the changing trends of the global aviation industry and the evolution of alliances, SkyTeam said. 

Despite endeavors to improve customer experience amid fierce competition with other alliances and the appointment of a new CEO with a wealth of experience in the aviation sector, SkyTeam has eventually lost its largest Chinese airline member. 

Noticeably, rumors surfaced late last year that China Southern was considering the possibility of shifting to another alliance. 

An aviation analyst with Variflight.com, a world-leading flight data service provider, said to NBD that the Guangzhou-based carrier will more likely join Oneworld, which was launched in 1999 and hasn't yet had a mainland Chinese airline member so far. 

Announcing the exit from the alliance, China Southern said it will explore the possibility of strengthening partnerships with advanced airlines around the world such as American Airlines and promote bilateral and multilateral cooperation to build a new breed of partnerships. 

Last year, China Southern sold a minority stake to American Airlines for 200 million U.S. dollars. It is also expanding the code-sharing cooperation with the U.S.-based airline. Besides, the airline is in talks to upgrade its code-share agreement with British Airways into a joint venture for flights between China and the UK. 

Both American Airlines and British Airways are founding members of Oneworld. 

Aviation industry analyst Lin Zhijie said to NBD that the pullout from SkyTeam might to some extent affect the carrier's joint flight operations in Europe, but will allow China Southern to expand its partner network to all members of the three largest airline alliances in the form of bilateral cooperation, which is beneficial for the airline's long-term development. 

However, whether China Southern could join the Oneworld alliance might be subject to the approval of Hong Kong-based Cathay Pacific Airways, as its joining would probably shake Hong Kong's position as an international aviation hub, Lin added. Cathay Pacific is a founding member of Oneworld.  

Email: lansuying@nbd.com.cn