ANA Holdings has received approval from Japan's Fair Trade Commission (JFTC) for its planned acquisition of Nippon Cargo Airlines (NCA), dismissing concerns about competition on key international cargo routes.

On January 30, the JFTC announced that it did not see any major issues regarding the deal's effects on cargo services connecting Japan with the US, China, Singapore, Thailand, Taiwan, and Europe.

Competition concerns were, however, previously expressed regarding cargo services between Japan and Los Angeles International Airport, as well as Chicago O'Hare Airport, which led the JFTC to initially decline the proposed acquisition.

It said then that NCA and ANA Holdings, along with their subsidiary airlines, such as All Nippon Airways, are expected to secure around 30% of the cargo market share in the Los Angeles area and about 35% in Chicago, excluding large and dangerous goods shipments, positioning them as the leading capacity providers in both regions.

However, ANA suggested various measures to address these issues, including a block space agreement with Polar Air Cargo and the designation of a monitor which has satisfied the competition regulator, paving the way for the greenlight of the acquisition.

Following the JFTC approval, the deal is now pending approval from the competition authorities of China and Singapore.

ANA first announced its plans to take over NCA from its parent company, Nippon Yusen Kaisha (NYK) and to transfer all shares of the B747 freighter operator to ANA on March 7, 2023.