China's aircraft ambitions go global as COMAC takes rare step into airline ownership

Chinese aircraft manufacture COMAC has taken the unusual step of acquiring a 49% stake in Lao Airlines, the national carrier of Laos. The Lao Government will retain a 51% stake in the national carrier.

The deal follows announcements in 2023 that the Lao Government was seeking investors for the airline, as part broad efforts to reform and improve four major state-owned companies.

Discussion about COMAC taking an ownership stake in Lao Airlines under a JV arrangement have been ongoing since 2024, amidst deepening ties between the Chinese OEM and the airline.

In Jun-2025, it was reported COMAC had proposed a deal to acquire a minimum 51% stake the carrier, exclusive of its debts. The deal was also reportedly pending an independent audit of the carrier to determine the total value of its assets.

Local lawmakers publicly balked at any deal which would cede majority ownership of the carrier. The debt exclusion provision was also a sticking point.

The revised deal was announced on 10-Nov-2025, although the audit has yet to be completed. Lao Airlines and COMAC will now move to prepare a business development plan for the carrier, which will be submitted to the Lao Government once complete.