Lufthansa Group has announced a key executive appointment for Greater China:
* Effective March 1, Ms. Bing Yan, a 20+ year veteran of the group, will assume the role of General Manager, Greater China. Based in Shanghai, she will oversee all commercial activities for Lufthansa, Swiss International Air Lines, and Austrian Airlines in China, and will lead the globally significant joint venture cooperation with Air China.
This appointment of a local executive with an Oxford background in Finance and Strategy, ACCA qualification, and extensive cross-sector management experience in Asia marks a new chapter in Lufthansa's century-long presence in China. It also signals the European carrier's strategic recalibration and push for a breakthrough in the Chinese market.
As one of the first international airlines to enter the Chinese market, Lufthansa's connection with China dates back to the Berlin-Beijing flight launched in 1926. Over the decades, it has built a network serving Beijing, Shanghai, and Hong Kong. In recent years, however, its China operations have faced mounting challenges.
During the post-pandemic recovery, Lufthansa's China-Germany capacity restoration lagged behind the broader market. By November 2024, its weekly flight volume to and from Greater China was approximately half of 2019 levels. In late October 2024, the carrier suspended its direct Frankfurt-Beijing service.
At the same time, Chinese carriers have strengthened their capacity advantage on China–Europe routes. Combined with higher fuel and crew costs stemming from Russian airspace avoidance, Lufthansa’s Asia-Pacific passenger revenue declined 9.8% year-on-year in 2024, far exceeding the group's average decline of 2.6%. China consequently became a key pressure point on earnings.
Rather than retrenching, Lufthansa has opted for a dual strategy of premium focus and deeper localization.
This includes continued investment in high-end services, closer cooperation with Air China, and a strengthened role for Hong Kong as a hub for its Greater Bay Area strategy. Leveraging its 60+ years of route history between Hong Kong and Frankfurt to reach mainland travelers, Hong Kong remains a critical pillar for its business in China.
The latest appointment reflects a decisive step in Lufthansa's strategy to strengthen its localized operations in the Chinese market.:
* A leader combining financial control capabilities with insights into the local market is expected to support cost control, aligned with the group's global transformation agenda while advancing joint venture execution and localized service development.
