Lufthansa has announced a series of fleet and capacity cuts as it moves to contain rising costs driven by higher fuel prices and operational pressures, including the closure of its subsidiary Lufthansa CityLine effective April 17.
The regional carrier operates a fleet of 27 aircraft, primarily Bombardier CRJ900 regional jets alongside Airbus A319 and A321 narrowbodies. Lufthansa said the move is aimed at stopping losses at the unit, whose aircraft are associated with higher operating costs and, in the case of the CRJs, limited remaining service life.
The restructuring extends to long-haul aircraft. Lufthansa will retire its remaining four Airbus A340-600s in October, ending the type’s presence in the fleet, while two Boeing 747-400s will be grounded for the winter season. The airline has already indicated that the remaining 747-400s are expected to leave service in 2027.
In parallel, the group is adjusting its widebody deployment. Lufthansa confirmed the accelerated allocation of nine additional Airbus A350-900 aircraft to Discover Airlines, in line with its fleet planning.
Beyond individual aircraft types, Lufthansa is also reducing overall capacity. The group plans further cuts equivalent to five aircraft within its core short- and medium-haul network during the 2026/27 winter schedule, concentrating operations across its main hubs.
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The measures are aimed at reducing fuel exposure at a time when kerosene prices have more than doubled compared to pre-conflict levels, driven by the escalation involving the United States, Israel and Iran. While Lufthansa hedges around 80% of its fuel needs, the remaining portion purchased at market rates has become significantly more expensive. By cutting flying and removing less efficient aircraft, the airline expects to lower this unhedged fuel requirement.
The plan also includes cost controls such as limits on hiring, reductions in spending on internal events and consulting services, and the continuation of a target to eliminate 4,000 administrative positions across the group by 2030.
Lufthansa said it is working to offer alternative roles within the group for affected employees and will begin negotiations on a social plan.
