CAAC considering lifting restrictions on new airlines: report
CAAC is reportedly considering relaxing its restriction on the establishment of new airlines, primarily by private capital and local governments, according to a report from China Securities Journal. CAAC reportedly said application restrictions and standards will be higher than before to ensure safe operations and better management. The civil aviation authority froze applications for new domestic airlines in 2007 but in Oct-2012 HNA Group announced plans to jointly establish a new regional airline with Fuzhou Provincial Government while Joy Air earlier this week announced it signed an agreement with Hefei Municipal Government to jointly establish Hefei Airlines, scheduled to commence operations later this year. Air China, Nanshan Group and Qingdao Municipal Government are also in talks to establish Qingdao Airlines.