Lufthansa: strong increase in demand for transatlantic flights

  •   02/06/2021 - 15h32
  •   DEHOUI Lionel

Just last May 4, the Lufthansa Group placed an order with Boeing for five 787-9 Dreamliners. This order was indeed part of its fleet modernization plan. It marks the German airline's second order since 2019 when it placed an order for 20 787-9 aircraft. Currently, Lufthansa is experiencing a sharp increase in its demand for transatlantic flights.

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. This is an advert for trading CFDs on eToro
Lufthansa: strong increase in demand for transatlantic flights

Considerable increase in demand

Despite the difficult conditions that the airline industry is going through, Lufthansa is seeing a sharp increase in demand for its flights to Europe and the US. This is a very logical development, following the easing of transport restrictions in Germany. It also applies to this summer's flights. Flights to Los Angeles, Miami and New York have seen a 300% increase in demand.

The German airline intends to offer additional flights as early as June. At the same time, it has resumed flights to Atlanta and Orlando.

In fact, transatlantic air travel is of vital and decisive importance for the world economy. For this reason, the German group needs to think about developing a clear strategy. This should define how travel between the Old Continent and the United States can be resumed with greater enthusiasm.

 

Expectations of the German government

Berlin is expected to present a roadmap for transatlantic flights . The latter will resume in a more cautious manner in the coming months. This is due to the decrease in the rate of contamination and the increase in vaccination campaigns.

Already, fully vaccinated German nationals could benefit from a lifting of the quarantine upon their return to the national perimeter. This was the wish of the German government at the beginning of May.

On the other hand, the countries of the European Union had initiated a health pass project. The objective of the latter is to allow travellers from these countries to have a medical document proving their immunity. This project is still under development and could be completed before June 30, 2021. It is however very much expected on the market in order to facilitate the life of travelers.

 

Increase in European demand

In the past year, the German Lufthansa Group has been bailed out by the government authorities to the tune of 9 million euros. The well-known German and European airline has also seen a surprising increase in demand for its flights to certain European regions. These include countries with a high potential for tourism such as Spain, Greece, Italy and Portugal.

Indeed, demand for flights to these countries has simply tripled. As a result, more than 500 additional flights are scheduled by its low-cost subsidiary Eurowings to Greece, Ibiza and Palma de Mallorca.

In the short term, the German airline Lufthansa intends to expand its flight schedule. This exceptional measure will be implemented as soon as the company notices a certain continuation of the acceleration of demand in the coming months.