The aviation industry is abuzz with news that China’s Hainan Airlines is exploring an investment in Air Europa, a major Spanish carrier. If this deal materializes, it could disrupt the competitive balance among IAG (parent company of Iberia and British Airways), Lufthansa, and Air France-KLM.
Hainan Airlines and Air Europa already maintain a codeshare agreement, facilitating seamless travel between Madrid and Latin American destinations. Now, Hainan is looking to acquire up to 20% of Air Europa’s shares, potentially aiding the Spanish airline in stabilizing its financial situation. With the European Union limiting foreign ownership in EU-based airlines to 49%, Hainan’s move signals an ambitious step in expanding its European footprint.
A finalized deal could reshape international alliances and competition in transatlantic routes. Will this partnership pave the way for more Chinese carriers in the European market?