German airline Lufthansa (LHA.ETR) and Air China (0753.HKG, 601111.SHA) are considering a joint venture on flights between Europe and China, The Wall Street Journal reported. The carriers, both members of the Star Alliance, could announce the plans during German Chancellor Angela Merkel’s visit to China this week. An executive at the Chinese flag carrier cited rising competition from other airline alliances as a factor. A joint venture could boost their networks and capacity in the China-Europe market, while making flight times more efficient. Lufthansa has said previously it is interested in forging accords beyond those it has in Japan and North America.
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