Germany-based Lufthansa Group is preparing to transfer roughly half of its narrow-body aircraft fleet to subsidiary airlines as part of efforts to reduce cost pressures and improve operational efficiency. The move is seen as a key element in the Group’s strategy to restructure its short- and medium-haul operations.
According to the company’s statement, several aircraft currently operated by the main Lufthansa brand on short- and medium-haul routes will be reassigned to lower-cost subsidiaries that operate in more competitive markets. The goal is to ease the financial burden on the main brand while increasing operational flexibility.
This strategic shift reflects Lufthansa’s broader effort to establish a more sustainable business model amid rising fuel, maintenance, and labor costs. By optimizing both fleet types and organizational structures within the short- and medium-haul segment, the Group aims to enhance efficiency.
Airbus A320 and A321 models are expected to play a central role in the transition. The move is considered a strategic step to strengthen Lufthansa Group’s fleet flexibility and enable separate management of brand identity and cost structure across different business units.
