Air India, Lufthansa Group Sign MoU to Boost India

February 17, 2026 — Air India and the Lufthansa Group have signed a landmark Memorandum of Understanding (MoU) to explore the formation of a joint business partnership aimed at strengthening air connectivity between India and Europe.

The agreement sets the foundation for expanded commercial cooperation across passenger services, network planning, and customer experience enhancements, subject to regulatory and anti-trust approvals.

A Major Step Beyond Codeshare

The two airline groups already cooperate through codeshare arrangements and are members of the global airline alliance, Star Alliance.

The new MoU goes further by outlining a structured framework to evaluate deeper integration across:

Coordinated flight schedules
Route planning in key markets
Joint sales and marketing initiatives
Distribution and commercial strategies
Frequent flyer programme alignment
IT and customer experience systems

The goal is to offer passengers smoother connections and more consistent travel experiences between India and major European destinations — potentially on a single ticket.

Focus on Core European Markets

Initially, the collaboration will concentrate on improving passenger flows between India and Lufthansa Group’s primary markets:

Germany
Austria
Belgium
Italy
Switzerland

There is also scope to gradually expand cooperation to other European regions and the Indian subcontinent once a formal joint business agreement is finalized.

Backed by Growing Trade Ties

The timing of the agreement aligns with the recently concluded India–European Union Free Trade Agreement, which is expected to further stimulate business and travel demand between the two regions.

India and the European Union together represent nearly a quarter of global GDP. Bilateral trade in goods between the two economies exceeded €120 billion in 2024, underlining the growing economic interdependence driving demand for stronger aviation links.

Leadership Perspective

Carsten Spohr, CEO of Lufthansa Group, described the MoU as a new chapter in aviation cooperation between India and Europe, highlighting India as one of the fastest-growing aviation markets globally.

Campbell Wilson, CEO and MD of Air India, emphasized that the agreement supports Air India’s global expansion strategy as it modernizes its fleet and upgrades onboard products and services.

Current Network Strength

Air India and Lufthansa Group carriers currently codeshare across:

145 routes
15 Indian cities
29 European cities
20 countries

Air India has significantly expanded its global partnerships since its privatization in 2022, now maintaining 24 codeshare agreements and nearly 100 interline partnerships worldwide.

Meanwhile, Lufthansa Group operates multiple European national carriers and transported over 131 million passengers in 2024, making it one of the world’s largest airline groups by revenue and fleet size.

What This Means for Travelers

If regulatory approvals are secured, the partnership could result in:

Better flight timing coordination
Expanded route options
Improved premium travel offerings
Integrated loyalty benefits
Smoother end-to-end travel experience

The proposed joint business framework signals a strategic shift toward deeper India–Europe aviation integration, with potential long-term benefits for both business and leisure travelers.