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China’s airports to continue breakneck pace of development

Analysis

SYDNEY (Centre for Asia Pacific Aviation) - 2006 will be another year of rapid development and significant investment in China's airport system. Airline passenger volume is expected to rise 15% to just under 160 million, following 33% and 20% growth in 2004 and 2005 respectively.

Growth is underpinned by the strong Chinese economy, which surged 9.8% in 2005. Chinese airlines announced commitments for well over 500 new aircraft last year, which will create pressure on authorities to reform and develop ATM and airport capacity, particulary in congested East coast regions.

Already, massive capacity augmentation projects are underway in Beijing, Tianjin, Shanghai, Guangzhou and other key cities. The CAAC has also foreshadowed development and upgrades of key inland hubs at Urumqi, Chengdu and Xi'an in 2006.

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