The deal comes as Australia's two largest airlines are eager to tap into opportunities in China,which is Australia's fastest-growing inbound travel market. Qantas last month resumed flights between Sydney and Beijing,more than seven years after it axed services to China's capital.Virgin Australia last year also flagged plans to launch services to Beijing and Shanghai.
The first stage of the Virgin's latest deal will see Virgin fly direct between Australia and Hong Kong from June this year using Airbus A330s,the airline said on Friday.
From Hong Kong,passengers will be able to connect to destinations in mainland China on flights operated by Hong Kong airlines. Virgin has not revealed where it will depart from in Australia and the service will still need approval from regulators.
Qantas and its codeshare partner Cathay Pacific currently dominate the route to Hong Kong as the only carriers flying non-stop from Sydney or Melbourne.
The proposed deal would also see Virgin cooperate with the three carriers on route planning,sales,marketing and frequent flyer programs.
"We are excited about introducing direct Virgin Australia flights - and our famous customer service - to Hong Kong,together with access to destinations across China,"Virgin Australia chief executive John Borghetti.