China's aviation industry has been plagued by problems of inefficiency,
redundant leadership, and overlapping organizational and bureaucratic
structures. In a closed system that had a planned economy and prioritized
military development, such problems would not create much of an impact. But
along with the inception of reform and opening-up and People's Liberation Army
(PLA) modernization, problems in China's outdated aviation industry began to
surface, prompting the People's Republic of China (PRC) leadership to initiate
a series of reforms. In January 2006, the PRC State Council released the
National Guideline on Medium and Long-term Program for Science and Technology
Development (2006-2020), which listed the development of large aircraft as a
key national science and technology project.l In May 200S, China established
the Commercial Aircraft Corporation of China, Ltd. (COMAC), and in November
200S, China merged China Aviation Industry Corporation I (AVIC I) and China
Aviation Industry Corporation II (AVIC II) to found China Aviation Industry
Corporation (AVIC). This overhaul of the aviation sector is an indication that
the pace of development and reform in China's aviation industry is picking up.
Therefore, China's determination and injection of resources into the industry
should not be underestimated by the outside world.
Due to the complexity of the development of China's aviation industry and
China's tight control, most of the public information about the sector is
general in nature and gives only an overview and the objectives of the
industry. Truly useful analysis and documentation are rare. Therefore, this
article seeks to provide a relatively objective and comprehensive analysis of
the issue based on available information and personal observations.
Date of Report: March 1, 2013
Number of Pages: 12 Order Number: CH-13003 Price: $9.95
For email and phone orders, provide a Visa, MasterCard, American Express, or Discover card
number, expiration date, and name on the card. Indicate whether you want e-mail
or postal delivery. Phone orders are preferred and receive priority processing.