Skip to main content

China's Aviation Industry ready for Take Off

The Aviation giants -
US-based Boeing and French-based Airbus -
have held dominant positions as Aircraft manufacturers worldwide.

Their supremacy seems indestructible and smaller rivals face insurmountable odds to grab a larger market share. Nevertheless, Chinese companies have raised their stakes to compete in the sector.

The Chinese economy is rising rapidly and at a faster pace than the rest of the world. Accordingly, one would expect its aviation sector to enjoy greater success. But Chinese manufacturers have struggled to lift off.
"Comac, China's would-be rival to Airbus and Boeing, has announced 50 new jet orders," according to the Financial Times, "but also admitted it is struggling to get its aircrafts off the ground."
China's aviation companies remain optimistic, despite recent problems, such as delays with meeting production deadlines and hiring scientific and engineering experts for designing aircraft parts on assembly lines in the country. Yet everything seems to be falling into place nowadays and the domestic aviation sector stands poised for liftoff.

The Chinese media is reporting that, "Commercial Aircraft Corp of China Ltd predicted the China market will need 4,960 large passenger aircraft worth $563 billion by 2031, made up of 3,405 single-aisle aircraft, 868 twin-aisle airplanes and 687 regional."

It added, "Aviation Industry Co of China forecast China will have 4,933 new passenger aircraft by 2031, including 4,041 large jet liners and 829 regional jets, and China's fleet will grow to 6,309 aircraft, which is 3.6 times the current fleet."

Chinese aircraft companies could see its share of global operations passenger aircraft rising from 10 percent right now to 16 percent by 2031. That sounds fantastic, but we must remind ourselves of a famous adage: "Life doesn't always go according to our plans." The same would apply to China's aviation sector as well.
AVIC has outlined a detailed plan that looks flawless, but what happens when unexpected problems develop, such as technical glitches on assembly lines or delays with shipping and logistics? Does AVIC have backup plans to meet any and every contingency?

The forecast of 16 percent of market share in the global aviation sector appears to dismiss the probability that aircraft manufacturers from other companies could be hatching major expansion plans in the future. It's best for Chinese companies to prepare for all possible circumstances, whether good or bad scenarios, to adapt to a business climate that can dramatically change at any given moment.

AVIC has taken the right approach to boost its research and developments on engines investments.
At this year's China's International Aviation & Aerospace Exhibition in Zhuhai, Guangdong province (Southern China), Zhang Jian, vice-president of AVIC's Engine Holdings Co Ltd, held a press conference.
"We estimate the accumulative investment nationwide in the short run will surpass 10 billion yuan ($1.58 billion)," he said.

The company employs over 80,000 workers to produce jet engines for military and civilian planes. Its sales revenues have reached 40 billion yuan in 2011.

Investing more heavily in R&D would be crucial for Chinese aviation companies to expand in a sustainable manner. Perhaps, they can discover cheaper, more efficient and innovative methods to manufacture aircraft of all sizes.

Additionally, buying private jets in China is growing in popularity. "In 1997, Broad Group's CEO and Chairman Zhang Yue purchased a Cessna Citation jet and became China's first personal aircraft owner," according to the China Daily. "By the first half of 2012, the number of the country's private business aircraft rose to 126."

Prospects look even brighter. The Hurun Chinese Luxury Consumer White Paper 2012 disclosed that 63,500 Chinese have minimum assets of 100 million yuan and 13 percent of them plan to buy a business jet.
Chinese aircraft companies should focus more on the market for manufacturing private luxury jets to help them soar above their global competitors.

Shekhar Gupta
Capt. Shekhar Gupta [ Pilot, DIAM, M.Ae.S.I., MAOPA [USA] ] 
Blog : 

KFA pleads with govt to restart operations
Times of India
NEW DELHI: The management of grounded Kingfisher Airlines (KFA) made a desperate plea to theaviation ministry onThursday for restarting operations. While promising that it will pay May salary to employees (which were to be paid before Diwali) within a ...
See all stories on this topic »
36 army officers pass out combat aviation course
Business Standard
Thirty-six army officers who completed combat aviation course at the training school here were today awarded the coveted 'Aviation Wings' to become Combat Helicopter Pilots. The officers were given training at Combat Army Aviation Training School (CATS ...
See all stories on this topic »
China's aviation industry ready for lift off
China Daily
The aviation giants - US-based Boeing and French-based Airbus - have held dominant positions as aircraft manufacturers worldwide. Their supremacy seems indestructible and smaller rivals face insurmountable odds to grab a larger market share.
See all stories on this topic »

China Daily
Govt open to further reforms in aviation FDI to lure overseas carriers
India is open to further reforms to lure overseas investors into its airlines, a government source said, after a dearth of interest following changes to investment rules left Kingfisher and others still short of much-needed funds. The aviation ministry ...
See all stories on this topic »

ASL Aviation acquires part of TNT Express to aid €5.1bn UPS buyout
Irish Independent
DUBLIN-BASED ASL Aviation is buying the airline operations of TNT Express as the Dutch firm pushes to ensure a proposal by UPS to buy it for €5.1bn isn't scuppered. ASL Aviation group is headquartered in Dublin but controlled by Belgian shipping ...
See all stories on this topic »


Popular posts from this blog

Guest Post Available on these sites

Guest Post Available on these sites. At just 100$ [For all Sites] Contact  +91 9977513452

ship parts, ship parts names, ship parts diagram, cruise ship parts, pirate ship parts names, sailing ship parts,, model ship parts,

 ship parts ship parts names ship parts diagram cruise ship parts pirate ship parts names sailing ship parts model ship parts ship parts kotor ship parts swtor ship parts kotor, ship parts swtor,

Looking for Fresh Content Writers with 0 to 1 year of Experience

Looking for Fresh Content Writers  with 0 to 1 year of Experience. Job Location- Work from Home L B L Lessons for Business Leaders Key Responsibilities: #Research Ideas and facts pertinent to the type of Content / Topic L B L Lessons for Business Leaders assigned. #Develop ideas derived from online/offline research and organize the same on paper or computer applications. #Sort out workable ideas by a process of elimination and keep eliminated ideas stored for future reference. #Write fresh content based on research and brainstorming by following instructions provided for each type of document. #Develop engaging content for articles, Blogs, stories and social media to entice and engage audience. #Proofread content for errors or additions and ensure that content is Written per instructions. #Ensure that web page content is edited properly to increase on-screen readability. #Think up titles for each piece of content keeping appropriateness in check. #Copy, edit and