Lufthansa Cuts Service to Beijing Amid Route Profitability Issues
Lufthansa has become the latest European airline to suspend services to mainland China, citing ongoing challenges related to route profitability due to the closure of Russian airspace. Starting October 26, the carrier has halted reservations for flights between Frankfurt Airport (FRA) and Beijing Capital International Airport (PEK), following similar decisions by British Airways and Virgin Atlantic to reduce their capacity to China.
According to data from OAG Schedules Analyser, Lufthansa had initially planned to operate the Frankfurt-Beijing route five times per week during the winter 2024-25 season using Airbus A340-300 aircraft. Following this suspension, Lufthansa’s only remaining service to Beijing will be from Munich Airport, which is set to operate five times per week with A350-900 aircraft. The airline will, however, maintain its daily flights to Shanghai Pudong International Airport from both Frankfurt and Munich.
A statement from Lufthansa highlighted the growing difficulties in achieving balanced results throughout all four seasons, prompting the airline to launch a comprehensive turnaround program aimed at increasing efficiency, reducing complexity, and improving quality for future operations.
“Lufthansa is continuously evaluating and optimizing its entire route network, particularly with a focus on profitability and capacity shortages caused by aircraft manufacturers’ delivery problems,” the statement noted. The decision to temporarily suspend flights between Frankfurt and Beijing is part of this broader strategy.
The dynamics of the China-Europe market are shifting, with European airlines reducing capacity while Chinese carriers expand theirs. The closure of Russian airspace, a consequence of the country’s invasion of Ukraine in spring 2022, has significantly altered operational routes. Lufthansa’s flights between Frankfurt and Beijing now take up to two hours longer than before, leading to increased operational costs. In contrast, Chinese airlines continue to utilize Russian airspace, which provides them with a competitive edge.
Lufthansa has expressed concerns about the unequal competitive landscape between European and Chinese airlines. “European airlines are at a distinct disadvantage against Chinese carriers and airlines from the Persian Gulf and Bosporus,” the carrier stated. The lower location costs, favorable social standards, and substantial government investment in aviation in these regions further exacerbate the competitive imbalance.
Lufthansa emphasizes the need for political action in Germany and the EU to address these challenges and sustain an independent and efficient aviation industry in Europe. The carrier’s withdrawal from the Frankfurt-Beijing route will leave Air China as the sole operator on this route, currently serving it 16 times weekly with Boeing 777-300 aircraft.
In addition to Lufthansa, Virgin Atlantic announced in July plans to terminate its only route to mainland China by the end of the summer 2024 season, ending flights between London Heathrow and Shanghai Pudong. British Airways also revealed in August that it would pause its London Heathrow-Beijing Daxing service starting October 26.
While European airlines are scaling back, Chinese operator Hainan Airlines is increasing its services, announcing plans to launch a new Shenzhen-Madrid route on November 19, operating twice a week with 787-9 aircraft. This expansion further highlights the contrasting trajectories of European and Chinese airlines in the current market landscape.
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