China’s aviation reforms match frugality with low-cost airline innovation as a new script unfolds

What is exciting about the next act of Chinese aviation is that a new script is now emerging.

China's ascent from a single national airline in the 1980s to dozens of airlines in what is today the world's second-largest market has occurred over many acts, but to date they have largely been highly choreographed.

There were surprises as some characters assumed roles larger than they were written and as some unscripted characters appeared, but mostly the state has applied a rubric of growing the market while ensuring a predominant role for the three protagonists: Air China, China Eastern and China Southern.

This is changing now as China looks to generate higher growth rates: home grown LCCs are to be permitted formally for the first time. Highly successful models like Spring Airlines have led the way; now others will have the opportunity to follow the precedent.