The move is driven by a huge growth in tourism in the Asia-Pacific region, which is predicted to be home to 90 million global travelling class households by 2025.
Travel business to the Chinese outbound market has been buoyant for some time, but other regions are also showing impressive growth.
Visit Britain predicts that UK inbound visitors from Singapore and Malaysia will have grown by 22 per cent and 60 per cent year-on-year in the first quarter of 2019.
Lotus plans to work with destinations and tourism organisations to adapt their tourism strategies to ensure they have the creative to attract these travellers and the product development strategies.
"Lotus Asia was part of our long-term growth strategy but increased revenues and client demand mean we are in a position to launch this business immediately," Lotus CEO and founder Sarah Johnson said.
"We are now in a position to advise European clients how and where to promote their tourism product to the Asia travelling public whilst providing an Asian and European centric offering for clients looking for representation in both regions."
Lotus Asia follows the launch of Lotus LATAM, which serves the Latin American and Spanish-speaking markets, and has reported double digit year-on-year growth YoY. It recently added the Buenos Aires tourist board as a client.
In 2018, W Communications took a majority shareholding in Lotus and the agencies have worked together to win clients in tour operating, hotel, destination and cruise sectors.
W founder and CEO Warren Johnson said that the launch of Lotus Asia means tourism businesses in Asia will benefit from "regional understanding, best in class category insight and travel business intelligence".
He added: "The specialist model Lotus created with Lotus LATAM has exceeded all expectations showing double digit growth every year and our aim is to expand and develop this model for the Asian market."