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China unveils new aerospace player
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China unveils new aerospace player

2008-05-12
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China has unveiled a new commercial plane manufacturer which it hopes will provide competition to established industry players Boeing and Airbus.


China has unveiled a new commercial plane manufacturer which it hopes will provide competition to established industry players Boeing and Airbus.

China Commercial Aircraft (AVIC) will initially be tasked with developing aircraft able to carry more than 150 passengers, according to the state news agency Xinhua.

The Shanghai-based firm has been set up with a £1.4bn of initial state and regional government funding.

An ongoing surge in demand for internal air travel has promoted Beijing to focus in breaking its reliance on the major western players, with a five-fold increase in demand predicted over the next 20 years - requiring around an extra 2,650 planes.

Xinhua quoted Jin Zhuanglong, Commercial Aircraft's general manager, as saying that it would take the firm many years to do the necessary research to begin production.

"According to the history of Airbus and Boeing, the development and success of civil planes cannot be realised by relying on one or two generations," he said.

AVIC will begin testing the 90-seat ARJ21 jet later this year, with the first deliveries due for 2009.

Copyright © The Press Association 2008