Mumbai, Feb 17: Air India and Lufthansa Group signed a memorandum of understanding (MoU), establishing the framework for a joint business agreement between Air India's and Lufthansa Group’s carriers and subsidiaries.
The partnership is aimed at leveraging opportunities unlocked by the recent conclusion of the landmark India-European Union free trade agreement (FTA).
MoU sets framework for joint business agreement
The MoU is said to enable both the Star Alliance members, which are already in codeshare agreements, to mutually explore ways to boost connectivity between India and major European markets with the goal of offering travellers more connected and consistent experiences across some of the world’s busiest routes on a single ticket.
Agreement signed by top leadership
The MoU, signed by Air India Chief Executive Officer and Managing Director Campbell Wilson and Lufthansa Group Chairman and Chief Executive Officer Carsten Spohr, will facilitate joint business agreements among both the groups’ subsidiaries, including Air India Express, Austrian Airlines, Brussels Airlines, ITA Airways, Lufthansa, Swiss International Air Lines (SWISS) and other affiliated airlines.
Collaboration across routes and commercial strategy
The carriers intend to collaborate across multiple strategic areas, including coordinated route planning and flight schedules in specific markets for greater customer convenience and enhanced connectivity, as well as joint sales, marketing and distribution initiatives.
Further cooperation would encompass the joint development and coordination for improved customer experiences in areas such as frequent flyer programmes, IT infrastructure, customer journey, quality assurance and other mutually beneficial initiatives to enhance the ease of travel for our customers.
Initial focus on core India-Europe markets
The MoU initially focuses on increasing passenger traffic flows between Air India’s home market of India and Lufthansa Group’s core home market region, encompassing Germany, Austria, Belgium, Italy and Switzerland.
It also proposes to include the rest of Europe and the Indian subcontinent, creating opportunities for future expansion. The precise scope, including specific routes and markets, will be finalised upon the formation of a comprehensive joint business agreement, subject to regulatory approvals.
Lufthansa Group highlights strategic importance
Spohr said, "Today's agreement is a strong signal of our mutual determination to open a new chapter in aviation between the EU and India following the landmark trade agreement between both economic regions. Together, we will strengthen our access to the aviation market with the highest growth rates worldwide. In the future, we will contribute to deepening economic and cultural relations between India and Europe with even more connections.”
Air India sees milestone in deepening partnership
Air India CEO Wilson said, “This milestone in our deepening relationship with the Lufthansa Group is great news for travellers and enterprises alike between India and Europe. As Air India continues to expand its global footprint with a fast-modernising fleet and transformed product and service offerings, this framework enables us to explore closer cooperation on multiple fronts to meet the growing trade, commerce and people-to-people ties between our respective regions. This would unlock greater value for our common customers and respective shareholders, and we look forward to progressing these initiatives together with the Lufthansa Group.”
Expanded codeshare network
Air India and Lufthansa Group carriers currently codeshare on 145 routes across 15 Indian and 29 European cities and 20 countries. In February 2025, Air India and Lufthansa Group announced the expansion of the codeshare agreements between Air India, Lufthansa, SWISS and Austrian Airlines.
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Air India strengthens global alliances
Since its privatisation in 2022, Air India has significantly expanded its global alliance network. Today, the airline maintains 24 codeshare partnerships and nearly 100 interline agreements with leading carriers worldwide, providing seamless access for Air India customers to over 800 destinations globally.
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