BREAKING NEWS

BREAKING NEWS

China clarifies ban on aircraft orders

Now Reading:

China clarifies ban on aircraft orders

Text size Aa Aa

China has clarified its position regarding a ban on local carriers making new aircraft orders next year. The announcement from the country’s aviation regulator earlier this week sent the value of shares in US aircraft maker Boeing down by more than two percent.
Officials have now said that while in principle it will not permit new orders, airlines can still sign deals for equipment to be delivered in 2006 and beyond.

The regulator ruled that domestic airlines had already ordered enough planes to meet requirements for next year: a total of 147 new planes. All aircraft orders in China must be approved by the government. The announcement from Beijing of next year’s ban came as Boeing and Airbus, controlled by European aerospace giant EADS, try their best to tap into China’s growing market.