A new codeshare agreement between the two carriers, revealed on Friday, will apply to 115 domestic routes in Australia and New Zealand from October.

The Flying Kangaroo will add its QF code to 30 routes in Air New Zealand’s domestic network and Air New Zealand will add its code to 85 Australian domestic Qantas routes.

It won’t apply to trans-Tasman and other international flights, however — only domestic routes in both countries.

But better co-ordination of check-in and handling at airports will mean shorter connection times, faster overall journey times, and more onward flights for both airlines’ domestic networks, Qantas said.

And business class and frequent flyer passengers will also be able to take advantage of 36 domestic lounges on both sides of the Tasman.

“Our relationship with Air New Zealand goes back almost 80 years,” Qantas chief executive said on Friday.

“We’ve been partners at various stages over that time and we have a lot of respect for them as a competitor.

“A codeshare deal on our domestic markets makes sense for our customers because it leverages the strengths we each have in our home markets.”

Air New Zealand’s chief executive Christopher Luxon reiterated both carriers would continue to “compete very strongly” but their passengers would benefit from the full-service experience offered on domestic connections in both countries.

“While the two airlines will continue to compete very strongly across all markets, Air New Zealand and Qantas are known for having a commitment to innovation, customer service excellence, operational performance and safety,” he said.

“We are confident that our respective customers will enjoy the reciprocal benefits on both sides of the Tasman.”

The rival airlines attempted a merger back in 2003 but it was knocked back by the Australian Competition and Consumer Commission and New Zealand’s Commerce Commission because it was considered to be anti-competitive.

The codeshare starts on October 28, which is the same day Air New Zealand’s long but fraught partnership with Virgin Australia is due to expire, Australian Business Traveller reported. Tickets will be available by the end of July.

Qantas said it would continue to codeshare on all connecting Jetstar New Zealand services.