My Account Menu

CAPA Login


Register to trial CAPA Membership!

China to maintain 3 major airlines - report

18-Oct-2007

Beijing (XFN-ASIA) - China believes the current setup of three

major airlines is "fine" given the current state of the industry,

the Wall Street Journal reported, citing the aviation regulator.

"We believe it would be fine to maintain three major carriers based on the situation of the airline industry," said Yang Yuanyuan, minister of the General Administration of Civil Aviation of China, on the sidelines of the 17th Communist Party Congress.

The remarks come amid speculation of M&A activity among the big three - Air China, China Southern Airlines and China Eastern Airlines. The three major airline groups were formed from a restructuring of state-owned carriers in 2002.

In September China National Aviation Holding Co, which controls Air China, cancelled a joint bid with Cathay Pacific Airways Ltd to take a stake in China Eastern Airlines.


Want more analysis like this? CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find out more and take a free trial.