A European aviation battle is currently playing out in the German market, according to an industry expert.

Eoghan Corry, Editor of Travel Extra and a keen aviation sector watcher, was commenting on the profit warning issued by Lufthansa, the latest airline to say it won't hit its earnings targets this year.

"It's no coincidence that it's Lufthansa and it's no coincidence that they're blaming their budget side, Eurowings. There's a scrap going on in the German market.

"Two airlines - Germania and Air Berlin - collapsed. Ryanair has identified Germany as its next big target. A lot of money has been spent on a fare war and Lufthansa is feeling the heat," he explained.

Lufthansa said as much in its statement where it pointed to "sustained overcapacity caused by carriers willing to accept significant losses to expand their market share."

"Ryanair's average fare is below €40. We haven't seen that since 2004," Eoghan Corry said.


"Ryanair feels aggrieved. They say the German government carved up the sector to exclude them and gave Easyjet the slots. Ryanair launched a classic counter attack. Its Austrian arm, Lauda Air, has been moving in on slots in Dusseldorf. The battle isn't over yet."

It looks like it is survival of the fittest in the European aviation sector at the moment and there will likely be more casualties while this price war plays out.

"September is the culling month. Quite a few airline have come down already. The most spectacular was WOW Air which was serving Transatlantic routes. That's had an impact on fares for the consumer here. Everyone is now looking at Norwegian," he said.

All of this is taking place against the backdrop of the Paris Air Show, one of the biggest events on the aviation calendar.

Boeing, the company that built the grounded 737 MAX, is in the spotlight at Paris.

"It's the first time that Boeing has put its head above the parapet. It's had to answer questions about the MAX and about fire safety on the Dreamliner."

"We've been anticipating the announcement of Airbus's A321 XLR. It's an extra long range plane - very significant for Aer Lingus should they get in the game for that. They weren't in the initial order.

"The XLR opens up the west coast US routes to single aisle. It means you can sell 180 rather than 280 seats on your aircraft. It makes routes viable that weren't previously and it's a very good for an airline that likes to route European customers through Dublin onto America," Mr Corry concluded.