Get 40% Off
🤯 Perficient is up a mind-blowing 53%. Our ProPicks AI saw the buying opportunity in March.Read full update

China's big three airlines take delivery of domestically made ARJ21 aircraft

Published 2020-06-27, 11:50 p/m
© Reuters. FILE PHOTO:  A model of China's ARJ21 aircraft by COMAC is displayed at Aviation Expo China 2017 in Beijing

BEIJING/SHANGHAI (Reuters) - China's three biggest state-owned airlines on Sunday took delivery of their first ARJ21 aircraft, a short haul 90-seater aircraft made by state-run Commercial Aircraft Corporation of China (COMAC).

COMAC said in a statement on Sunday that Air China Ltd (SS:601111), China Eastern Airlines Corp Ltd (SS:600115) and China Southern (NYSE:SO) Airlines Co Ltd (SS:600029) had received the aircraft, which has a 90-seat capacity, and would each take delivery of three ARJ21 aircraft this year.

Last August, the three carriers announced on the same day deals to each purchase 35 ARJ21-700 regional jets from COMAC, with deliveries scheduled from 2020 through 2024.

The ARJ21 entered commercial operations four years ago and is China's first domestically manufactured airliner.

COMAC has two other passenger jet programmes in development - the C919 narrowbody aircraft programme which is currently undergoing flight testing, and the CR929 widebody programme in collaboration with Russia.

China Eastern Airlines earlier this year launched a subsidiary - OTT Airlines - to operate ARJ21 and C919 airliners. It is slated to be the first customer for the C919, once the 160-seater plane receives airworthiness certification from the Chinese aviation regulator.

The C919 is a much more high-profile programme, that will place COMAC in direct competition with Airbus (PA:AIR) and Boeing (N:BA) in the single-aisle market. The United States earlier this year considered whether or not to block the sales of LEAP-1C engines to the programme, but it later relented.

The impact of the coronavirus pandemic on international travel has decimated the order books of both Airbus and Boeing.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.