Liberalisation to increase China demand for long-range aircraft

Increasing liberalisation of China's aviation sector will boost the country's demand for long-range 200 to 300-seater aircraft as more second-tier cities open up to international services, according to Boeing.

The United States aircraft maker estimates that by 2023, China will need 560 long-range twin-engined jetliners, which is what the company is marketing to airlines with its 777 and 787 series.

Randy Baseler, a vice-president of marketing at Boeing Commercial Airplanes, said more than 50 Chinese cities would be operating direct air services to the US by 2023, up from 15 in 2003, while weekly frequency would jump to 784 flights from 172.

'China will become a big economy like the US in 15 to 20 years. There's no reason not to believe the traffic demand is growing with the emerging middle class in the country,' Mr Baseler said before the launch ceremony of Boeing's 777-200LR in Seattle on Tuesday. 'Chinese people are doing business with the rest of the world and point-to-point traffic is growing.'

China made its largest commitment to Boeing's long-range mid-size aircraft last month when the China Aviation Supplies Import and Export Group, the official agent for aircraft purchase, ordered 60 787s which seat up to 259 passengers on long-haul flights.

The aircraft will be distributed among Air China, China Eastern Airlines, China Southern Airlines and three regional carriers - Hainan Airlines, Shanghai Airlines and Xiamen Airlines, which are making use of a more liberalised aviation regime to tap into the international market.

'China will be a large market for 777 and 787 aircraft,' Mr Baseler said.