Chinese regional carrier Shanghai Airlines and Thai Airways International said they had inked a co-operation deal that included code sharing.

Both are members of the Star Alliance, an airline grouping whose members can funnel passengers on to each other's flights. Shanghai Air was the first Chinese airline to join the group last month.

The cooperation agreement also includes code sharing, access to airport lounges and promotions.

Faced with increasing competition at home, Chinese airlines are eager to attract increased passenger volume on international routes.

Many Chinese go to Thailand for their first-ever trip abroad.