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China’s private airlines face do-or-die year in 2009

China’s nascent private airline sector faces another very challenging year after a series of nasty surprises of 2008. The first private carrier to take to the skies, Okay Airways, has also been the first casualty. For the Chinese airline sector, earthquakes, icestorms, security crackdowns and yuan depreciation were among the major challenges faced last year. Internal wrangling over strategy and the lack of skilled human resources added to the challenges for the smaller private airlines. In 2009, both the private and state-owned airlines face a slackening revenue environment amid a slowing economy.

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