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China's aviation industry to witness ‘another blow’ with opening of Beijing-Shanghai high-speed rail

22-Jun-2011

The USD32 billion high-speed rail link between Beijing and Shanghai opens for business this month, reducing rail travel time between the cities from 10 hours to just four. Connecting China’s two main cities, the line is expected to lead to dramatic changes to the Beijing-Shanghai air corridor, with the surface operation offering a considerable challenge to the growth of the country’s domestic airlines. As cautioned by CAAC Vice Minister Wang Changshun earlier this year, the opening of the Beijing-Shanghai high-speed line would be “another blow to the air transport industry”. [3612 words]

Unlock the following content in this report:

Subheadings:

  • Beijing-Shanghai line to operate with 90 daily services
  • High-speed rail fares to be cheaper than the air
  • China Eastern most exposed on Beijing-Shanghai sector
  • High-speed rail becoming pillar of China’s transportation network
  • Impact of high-speed rail threat focus on sectors of under 800km
  • Wuhan and Nanjing hit hard
  • Airlines to focus on product improvements
  • Hong Kong Airport also high speed rail competition
  • China’s aviation bracing for financial impact from high-speed rail

Graphs and data:

  • China’s Beijing-Shanghai High Speed Rail Line
  • World's Top 15 busiest routes (seats per month both ways): As at Jun-2011
  • Return fares (USD) between Beijing Capital and Shanghai Pudong and Hongqiao (economy class): Oct-2010 to Jul-2011
  • Beijing Capital Airport to Shanghai Hongqiao Airport (seats per week, one way, 30-May-11 to 11-Dec-11)
  • Beijing Capital Airport to Shanghai PuDong Airport (seats per week, one way, 30-May-11 to 11-Dec-11)
  • Chinese Railway Infrastructure Development Map
  • China Southern Airlines international vs domestic capacity share (20-Jun-2011 to 26-Jun-2011)
  • China Eastern Airlines international vs domestic capacity share (20-Jun-2011 to 26-Jun-2011)
  • Air China Limited international vs domestic capacity share (20-Jun-2011 to 26-Jun-2011)
  • Wuhan Airport Passenger Numbers (2009 to 2011)
  • Changsha to Guangzhou Baiyun Airport (seats per week, one way, 30-May-11 to 11-Dec-11)
  • Projected High-Speed Rail Travel Time versus Air Travel Time from Hong Kong in 2020
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