Qunar to launch its own low-cost carrier

Qunar Cayman Islands Ltd, China's second-largest online travel agency, is setting up a Shenzhen-based low-cost airline in partnership with two other companies from the city, in an apparent response to recent bans on its sale of flights for some major airlines.

Air China Ltd, China's flagship carrier, announced that it would suspend sales of air tickets by authorized agents using Qunar starting March 1.

At the end of December, Qunar also saw its cooperation ended with China Southern Airlines, Hainan Airlines and Capital Airlines, after a growing number of customer complaints on issues including prices, bundling tickets with insurance without pre-notice, and cancellations.