Lufthansa, Air China Plan Joint Venture
Lufthansa and Air China announced plans to form a joint venture and work more closely together on routes linking China and Europe.
The two airlines, both members of Star Alliance, made the announcement during German Chancellor Angela Merkel’s visit to China this week.
Carsten Spohr, Lufthansa’s CEO, and Song Zhiyong, president of Air China, signed a memorandum of understanding Monday “to enhance the commercial partnership as part of a joint venture.”
The memorandum of understanding is intended to lead to a revenue-sharing joint venture between the two airlines. The two also agreed to expand their collaboration together in areas of maintenance, repair, and overhaul services.
The German flag carrier currently has revenue-sharing joint ventures with Air Canada, ANA in Japan, and United Continental Holdings in the United States.
(Photo: Accura Media Group)