The Baltic machinery was oiled this winter in Maspalomas. While European tourism was picking up steam after the shock in the Middle East, two airBaltic Airbus A220-300 aircraft landed in Gran Canaria for good. The Latvian airline—traditionally associated with the icy corridors of northern Europe—opened its first base outside the Baltic in December, at none other than Gando Airport. The destination was no coincidence.
From this seasonal base, airBaltic has launched more than a dozen routes connecting the south of Gran Canaria with the north of the continent: Riga, Tallinn, Vilnius, Oslo, Copenhagen, Tampere, and Billund. In total, more than 17 weekly frequencies, combined with the efficiency of its Airbus and a willing clientele, are reshaping winter air traffic. All from Maspalomas.
But there's underlying activity behind the operation. This week, Germany's Federal Cartel Office gave the green light to a step that could redefine European aviation balance: Lufthansa's acquisition of airBaltic's capital. The German group has acquired convertible shares equivalent to 10% of the company's capital for €14 million. A modest investment—on a Lufthansa scale—but with significant strategic implications.
According to the president of the competition authority, Andreas Mundt, the transaction raises "competitive concerns" on several routes between Germany and the Baltic countries. Mundt admits that, although the affected routes are "minor markets," their relative importance for certain cities and regions is significant. "We had to approve the merger because the affected routes are low-income, and the law does not allow us to intervene in those cases," he concluded.
However, regulators assume that Lufthansa will have "significant competitive influence" over airBaltic, which could lead to price increases on routes such as Berlin-Riga or Frankfurt-Tallinn, where the two airlines have competed directly. The shadow of a merger looms.
And all this is happening while Lufthansa and Condor are holding their swords high in their long-running battle for the German holiday market. Since Condor left the Lufthansa umbrella, the two companies have waged a fierce battle for package holidays and routes to southern Europe, especially to the Canary and Balearic Islands. airBaltic's presence in the Atlantic adds another piece to the table, expanding Lufthansa's operational muscle right where Condor has sought to maintain its stronghold.
Lufthansa, for its part, is keen to emphasize that airBaltic remains "a completely independent company," but it doesn't hide the fact that both parties will intensify their collaboration: the agreement strengthens the alliance that has existed since 2019 and, according to the German group, will allow it to "improve the quality of its network and access new markets." One of those markets, without a doubt, is the south of Gran Canaria.
With Baltic tourism growing and a medium-high purchasing power, the commitment to Maspalomas is not opportunistic, but part of a strategy. The island closed 2024 with a tourism turnover of more than €6.000 billion, of which more than €1.000 billion is concentrated in its southern region alone. And what aren't numbers are certainties: steady sunshine, available beds, and a modern and safe infrastructure. An ideal setting to test new flows without fear of demand. AirBaltic has found in Gran Canaria a safe ramp to the south. Lufthansa, a gateway to a new world where every airport can be a center of influence. Maspalomas, meanwhile, continues doing what it does best: welcoming tourists, filling beds, and flying high.
