This is both racist, and the joke itself is not even funny. The reporter might as well have pulled the edges of our eyes taught while emitting the sounds 'ching' and 'chong' in rapid succession.
I presume the people laughing at this in this thread probably did as much to the chinese children in their primary schools.
The funny aspect is that I can almost bet you that the reporter did not comprehend what she was saying, not what she actually said. The joke is on the reporter. The nationality of the pilots isn't the humour in itself.