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2017<br />
KING AIR 350i<br />
CHINA G<strong>EN</strong>ERAL<br />
AVIATION REPORT
Beijing<br />
Penglai<br />
Seoul<br />
Chengdu<br />
Shanghai<br />
Shenzhen<br />
Hong Kong<br />
Bangkok<br />
Manila<br />
ABOUT ASIAN SKY GROUP<br />
ASIAN SKY GROUP (ASG), headquartered in Hong Kong with offices throughout Asia, has assembled the most experienced aviation<br />
team in the Asia-Pacific region to provide a wide range of independent services for both fixed and rotary-wing aircraft. ASG also provides<br />
access to a significant customer base around the world with the help of its exclusive partners.<br />
ASG provides its clients with the following business aviation services:<br />
Sales & Acquisitions | Market Research and Consulting | Operational Oversight | Luxury Charter Services<br />
The acclaimed Asian Sky Fleet <strong>Report</strong>s are produced by ASG’s market research and consulting team, in collaboration with Asian Sky<br />
Media — a branch of ASG focusing on media and publications.<br />
Asian Sky Media has a growing portfolio of business aviation reports designed to provide valuable information to readers for a better<br />
understanding of the market. Included in the portfolio is the Asia-Pacific Fleet <strong>Report</strong>s for both civil helicopters and business jets, and the<br />
Africa Business Jet Fleet <strong>Report</strong> for a breakdown of the fleet within respective countries.<br />
Asian Sky Quarterly provides a reader-friendly look at market dynamics within the pre-owned markets of civil helicopters and business<br />
jets. ASG’s latest reports include, the Asia-Pacific Business Jet Charter <strong>Report</strong>, the Asia-Pacific Training <strong>Report</strong> and the latest Asia-Pacific<br />
Infrastructure <strong>Report</strong> focusing on respective industry segments showcasing the current status and challenges of the industry.<br />
DISCLAIMER<br />
The information contained in this report is provided free of charge, for reference only. While such information was compiled using<br />
the best available data as of June 30, 2017, ASG makes no warranties, either expressed or implied, concerning the accuracy,<br />
completeness, reliability, or suitability of such information. ASG is not responsible for, and expressly disclaims any and all liability<br />
for damages of any kind, either direct or indirect, arising out of use, reference to, or reliance on any information contained within this<br />
report.<br />
CONTRIBUTION<br />
ASG would like to acknowledge the gracious contributions made by manufacturers, Avion Pacific Limited, aircraft operators, CAAC and<br />
The General Aviation Manufacturers Association in providing data for this report.<br />
Should you wish to reproduce or distribute any portion of this report, in part or in full, you may do so by mentioning the source as: “Asian<br />
Sky Group, a Hong Kong-based business aviation consulting group”.<br />
For information about our aviation services, contact: sales@asianskygroup.com or visit www.asianskygroup.com.<br />
For information regarding ASG publications, contact: media@asianskygroup.com or visit www.asianskymedia.com.<br />
CONTACT<br />
Suite 3905, Far East Finance Centre, 16 Harcourt Road, Admiralty, Hong Kong<br />
Telephone +852 2235 9222 | Facsimile +852 2528 2766<br />
www.asianskygroup.com
<strong>GA</strong> MARKET OVERVIEW<br />
CONT<strong>EN</strong>TS<br />
02<br />
PUBLISHER’S NOTE<br />
28<br />
AIRCRAFT SPOTLIGHT: KING AIR 350i/350ER<br />
03<br />
FOREWORD<br />
34<br />
COMPANY PROFILE: KINGS AVIATION<br />
04<br />
EXECUTIVE SUMMARY<br />
36<br />
ROTARY-WING MARKET<br />
06<br />
<strong>GA</strong> MARKET OVERVIEW<br />
44<br />
OPERATOR OVERVIEW<br />
10<br />
12<br />
18<br />
FACTORS IMPACTING<br />
<strong>GA</strong> MARKET<br />
REGULATIONS AND POLICIES<br />
FIXED-WING MARKET<br />
46<br />
48<br />
62<br />
COMPANY PROFILE: XIHUA AVIATION<br />
INFRASTRUCTURE OVERVIEW<br />
TRAINING SCHOOLS AND PILOTS<br />
23<br />
COMPANY PROFILE:<br />
<strong>GA</strong> CHINA MA<strong>GA</strong>ZINE
PUBLISHER’S NOTE<br />
There are some basic, necessary pillars required to have a healthy general aviation (<strong>GA</strong>)<br />
industry in <strong>China</strong> — and the Asia-Pacific region for that matter. One is certainly support<br />
from the top down, which we have recently witnessed with numerous regulatory and policy<br />
initiatives put in place by the Central Government. But another essential pillar must be from the<br />
bottom up and this means, at a grass roots level, interest in and development of <strong>GA</strong>. In the future,<br />
people will need to be drawn into <strong>GA</strong> in ever increasing numbers; the challenge today is to give<br />
them the initiatives to do so.<br />
So, this means more dedicated <strong>GA</strong> airports, with more infrastructure at those airports and<br />
incentives to encourage investment from the private sector in the <strong>GA</strong> industry. It also means more manufacturing of domestic aircraft,<br />
more in-country training schools and individuals seeking their private pilot’s license who ultimately see <strong>GA</strong> as a career, not as just a<br />
recreation. All are tough challenges for <strong>China</strong> and will not be solved overnight, but the stakeholders in <strong>China</strong> seem up to the task.<br />
ASG’s first <strong>China</strong> <strong>GA</strong> <strong>Report</strong> attempts to outline all these issues and present a “first of its kind” comprehensive overview of the state<br />
of the <strong>GA</strong> industry in <strong>China</strong>. The report examines <strong>GA</strong> development to date, factors influencing growth and the regulatory environment.<br />
Fixed-wing (jets, turboprops and piston) and rotary (turbine and piston) fleets and their distribution by province are all presented too.<br />
Finally, <strong>GA</strong> airports, industrial zones, FBOs, MROs, training schools and pilot demand are mapped out and discussed. ASG’s hope is<br />
that this report lays out some of the key elements of the <strong>GA</strong> industry in <strong>China</strong>, in one edition, thus becoming indispensable reading for<br />
all interested parties — earning a place as one of ASG’s annual publications.<br />
I must acknowledge here that ASG is not the first to focus on <strong>GA</strong> in <strong>China</strong>. What started as an internal publication for the Capital<br />
Research Institute of General Aviation in 2013, blossomed into <strong>GA</strong> <strong>China</strong> Magazine, a bilingual <strong>GA</strong> publication. <strong>GA</strong> CHINA Magazine<br />
has taken the lead in this industry, attempting to establish communication and provide a better understanding of <strong>GA</strong>. For the inaugural<br />
issue of ASG’s <strong>China</strong> <strong>GA</strong> <strong>Report</strong>, we are working in collaboration with <strong>GA</strong> <strong>China</strong> Magazine to maximize awareness, tackle the issues at<br />
hand and deliver more information than ever.<br />
Sincerely,<br />
Jeffrey C. Lowe<br />
Managing Director, Asian Sky Group<br />
2 | CHINA <strong>GA</strong> REPORT 2017
FOREWORD<br />
It is a great honor for me to write a preface for <strong>China</strong> <strong>GA</strong> <strong>Report</strong>, presented by Asian Sky Group<br />
(ASG). As co-sponsor of the report, <strong>GA</strong> CHINA Magazine is proud to partner with ASG at all<br />
levels. As the Executive-Chief-Editor for the magazine, I have witnessed the development of the<br />
industry in the past six to seven years, which is astonishing and exciting. There are approximately<br />
376 <strong>GA</strong> operators, 74 <strong>GA</strong> airports and about 200 industry associations and now in <strong>China</strong>. The<br />
industry has come a long way to obtain today’s achievement.<br />
Recently, the industry began to realize that the lack of data and communication was one of the<br />
main drivers that led to the failure of investments and closure of businesses. The industry has since developed a relatively comprehensive<br />
understanding that there are indeed tremendous gaps and differences between markets in <strong>China</strong> and other parts of the world.<br />
Other countries have spent decades to reach today’s achievement. For <strong>China</strong>, it is the same. We need to slow down to learn about the<br />
industry, take each step seriously, and solidly.<br />
ASG’s <strong>China</strong> <strong>GA</strong> <strong>Report</strong> is a great source for the most updated information on the <strong>China</strong> <strong>GA</strong> market, with detailed data of fleets, professionals,<br />
operation sectors, company profiles and so forth. Together with ASG, <strong>GA</strong> CHINA Magazine hopes to deliver the most in-depth<br />
industry interviews and articles with the most up-to-date information and provide a thorough understanding of the industry to our<br />
readers.<br />
The industry changes almost every day, especially for the fast-developing sectors such as helicopter and sports aviation. So, we shall<br />
take data and analysis as the cornerstone. I believe, with the assistance of great volumes of data and effective communication, the<br />
industry will eventually step on the right path.<br />
Sincerely,<br />
Elaine Qian Siyin<br />
Executive Managing Editor, <strong>GA</strong> <strong>China</strong> Magazine<br />
2017 CHINA <strong>GA</strong> REPORT | 3
EXECUTIVE SUMMARY<br />
• Mainland <strong>China</strong> is home to 1.379 billion people, making it the<br />
largest country, in terms of population. In the past few decades,<br />
<strong>China</strong>’s aviation industry has flourished. The government is<br />
now looking to tap into the potential of general aviation (<strong>GA</strong>),<br />
through new initiatives.<br />
• <strong>China</strong>’s <strong>GA</strong> industry is made-up of 2,776 aircraft, as of June<br />
2017. This includes fixed-wing aircraft (1,808), rotary-wing<br />
aircraft (903), airship and hot air balloons (65).<br />
• The fixed-wing fleet includes 330 business jets, 250 turboprops<br />
and 1,228 piston and electric aircraft. The Sichuan province<br />
is the most active, with the highest number of fixed-wing<br />
aircraft. Business jets within the country tend to operate in<br />
economically advanced regions, such as Beijing, Guangdong<br />
and Shanghai. Turboprop aircraft, which are often used for<br />
connection between remote second and third tier cities, are<br />
distributed evenly across the country.<br />
• The rotary-wing aircraft fleet stands at 903. Of this, 58% (519)<br />
are turbine, while (40%) 363 are piston. Despite the turbine<br />
fleet being larger, the replacement cost of turbine helicopters<br />
is worth 97% of the market share. 48% of the turbine fleet is<br />
clustered in coastal provinces, including, Guangdong, Shanghai<br />
and Shandong. Nearly half of piston helicopters are used for<br />
training, with Guangdong and Sichuan provinces being the<br />
main operating base for this aircraft type.<br />
• As of June 2017, there were 345 CAAC-approved <strong>GA</strong><br />
enterprises. In 2016, several operators received subsidies<br />
from the government. The five operators to receive the largest<br />
amount of subsidies included: CITIC Offshore Helicopter<br />
Company (COHC), Beidahuang <strong>GA</strong>, <strong>China</strong> Flying Dragon <strong>GA</strong>,<br />
Xinjiang <strong>GA</strong>, and Shandong <strong>GA</strong>.<br />
• The largest turboprop and piston fleet operators, excluding<br />
flight schools are: Beidahuang <strong>GA</strong> (87), AVIC <strong>GA</strong> (40), <strong>China</strong><br />
Flying Dragon <strong>GA</strong> (39) and Xinjiang <strong>GA</strong> (36).<br />
• The largest helicopter operators are: COHC (68), <strong>China</strong> Flying<br />
Dragon <strong>GA</strong> (30), Shanghai Kingwing <strong>GA</strong> (26), State Grid <strong>GA</strong> (24)<br />
and Southern <strong>GA</strong> (22).<br />
• To meet the growing demand of expanding fleets, both in<br />
commercial and <strong>GA</strong>, the number of Part 141 training schools<br />
within <strong>China</strong> has increased from 12 in 2012 to 22 in 2017.<br />
To capture the demand of Chinese pilots, training schools<br />
outside of <strong>China</strong> that meet the CAAC Part 141 requirement has<br />
increased from 23 in 2012 to 27 in 2016. Currently, the number<br />
of registered student pilots is 4,853.<br />
• 311 <strong>GA</strong> airports cater to the growing fleet, compared to the<br />
2,564 <strong>GA</strong> airports in the US. <strong>China</strong> has plans through the 13th<br />
Five-Year Plan (2016-2020) to increase the number of <strong>GA</strong><br />
airports to 500. By 2030, 2,000 airports are expected to be built,<br />
with an ambitious target of having at least one <strong>GA</strong> airport in<br />
each of the 2,800 counties.<br />
• As of June 2017, there were 224 operational commercial<br />
service airports in <strong>China</strong>. <strong>China</strong>’s total commercial passenger<br />
traffic reached 1.016 billion, with an expectation of reaching 1.5<br />
billion by 2020. Commercial passenger traffic concentrates on<br />
hub airports, with 21 of the top airports accounting for 70% of<br />
the country’s traffic.<br />
4 | CHINA <strong>GA</strong> REPORT 2017
NEVER SETTLE FOR LESS<br />
2017 CHINA <strong>GA</strong> REPORT | 5
<strong>GA</strong> MARKET<br />
OVERVIEW<br />
Number of <strong>GA</strong> Fleet 1 :<br />
Number of <strong>GA</strong> Airports 2 :<br />
Number of <strong>GA</strong> Operators 3 :<br />
2,776<br />
311<br />
380<br />
Note: This report includes data as of June 30, 2017, and includes Mainland <strong>China</strong> only.<br />
1. Includes all <strong>China</strong> and non-<strong>China</strong> registered <strong>GA</strong> aircraft operating in Mainland <strong>China</strong>.<br />
2. Excludes helicopter landing spots and helipads.<br />
3. This number is based on all enterprises and organizations operating <strong>GA</strong> aircraft in Mainland <strong>China</strong>.<br />
84<br />
78<br />
11<br />
XINJIANG<br />
2<br />
0<br />
1<br />
TIBET<br />
Number of<br />
<strong>GA</strong> Fleet<br />
Number of<br />
<strong>GA</strong> Airports<br />
Number of<br />
<strong>GA</strong> Operators
207<br />
71<br />
13<br />
HEILONGJIANG<br />
18<br />
3<br />
5<br />
302<br />
9<br />
53<br />
JILIN<br />
BEIJING<br />
85<br />
19<br />
14<br />
12<br />
1<br />
<strong>GA</strong>NSU<br />
4<br />
61 10 9<br />
INNER MONGOLIA<br />
7<br />
2<br />
3<br />
41<br />
3<br />
121 6 19<br />
HEBEI<br />
9<br />
94 3 8<br />
TIANJIN<br />
186<br />
10<br />
LIAONING<br />
20<br />
9<br />
0<br />
4<br />
NINGXIA<br />
SHANXI<br />
SHANDONG<br />
QINGHAI<br />
125<br />
9<br />
17<br />
84<br />
4<br />
20<br />
83<br />
9<br />
21<br />
SHAANXI<br />
H<strong>EN</strong>AN<br />
JIANGSU<br />
137<br />
6<br />
18<br />
312 9 15 32 2 7<br />
175<br />
7<br />
18<br />
13<br />
2<br />
4<br />
SHANGHAI<br />
SICHUAN<br />
CHONGQING<br />
HUBEI<br />
ANHUI<br />
59<br />
8<br />
12<br />
39<br />
3<br />
10<br />
15<br />
9<br />
4<br />
ZHEJIANG<br />
15<br />
0<br />
7<br />
HUNAN<br />
JIANGXI<br />
9<br />
4<br />
3<br />
41<br />
6<br />
11<br />
GUIZHOU<br />
319<br />
12<br />
29<br />
FUJIAN<br />
YUNNAN<br />
16 3 7<br />
GUANGXI<br />
GUANGDONG<br />
35<br />
3<br />
4<br />
HAINAN<br />
Note: The operating base of <strong>GA</strong> aircraft is based on the location of its operator. Some business jets that<br />
are managed by Hong Kong or Taiwan companies are not included in the map.<br />
2017 CHINA <strong>GA</strong> REPORT | 7
<strong>GA</strong> MARKET OVERVIEW<br />
<strong>GA</strong> Development Key Statistics - <strong>China</strong> vs USA<br />
CHINA<br />
1,379<br />
11.2<br />
GDP<br />
(USD Trillions)<br />
2,595 <strong>GA</strong> Fleet<br />
<strong>GA</strong> Flight Hours<br />
9.56 765 (Thousands) 23,300<br />
SURFACE AREA<br />
(sqkm millions) 2,524 <strong>GA</strong> Pilots 38,980<br />
305 <strong>GA</strong> Airports<br />
Population<br />
(Millions) 323<br />
18.6<br />
203,425<br />
2,564<br />
USA<br />
9.83<br />
SURFACE AREA<br />
(sqkm millions)<br />
Data Source: World Bank, <strong>GA</strong>MA, <strong>China</strong> Aircraft Airworthiness Certification <strong>Report</strong> 2016, the FAA’s NPIAS 2017-2021 <strong>Report</strong> and ASG Data;<br />
the US airport data is based on <strong>GA</strong> airports that are available for public use only.<br />
<strong>China</strong>’s <strong>GA</strong> industry is taking off. According to the<br />
Civil Aviation Authority of <strong>China</strong> (CAAC), <strong>GA</strong> aircraft<br />
have experienced an annual growth of over 10%<br />
since 2010, and the growth exceeded 20% in 2013. Despite a<br />
slower expansion into <strong>GA</strong> enterprises, the industry still saw an<br />
approximately 15% increase in 2016. <strong>GA</strong> airports and industrial<br />
zones are rapidly growing, and in recent years, the industry is<br />
experiencing a fast change.<br />
With a vast territory, diversified land structure and large<br />
population, <strong>China</strong> embodies tremendous <strong>GA</strong> market potential,<br />
particularly when the economy has been boosted by economic<br />
reform. While the US has developed its <strong>GA</strong> industry since the<br />
1970s; in contrast, <strong>China</strong>’s <strong>GA</strong> started to develop —relatively<br />
late— in the 2000s. Despite the delay, <strong>China</strong> is an up-andcoming<br />
market, with a strategic target of catching up with the<br />
<strong>China</strong> <strong>GA</strong> Fleet by Aircraft Type<br />
Rotary-Wing 903 (33%)<br />
66+32+2+G<br />
2,776<br />
Hot Air Balloon/Airship 65 (2%)<br />
Fixed-Wing 1,808 (65%)<br />
flourishing international <strong>GA</strong> market. Statistically, <strong>China</strong> falls<br />
greatly behind the US, in terms of <strong>GA</strong> fleet size, mission flight<br />
hours, pilot number, and <strong>GA</strong> airport quantity. As of year end 2016,<br />
there were 2,595 B-Reg aircraft in the <strong>China</strong> <strong>GA</strong> fleet, only 1.2% of<br />
the US’ aircraft number. Thus, there is much potential for <strong>China</strong><br />
<strong>GA</strong> expansion.<br />
The country pays an increasing amount of attention to the <strong>GA</strong><br />
industry, and the government leads this development by issuing<br />
a number of <strong>GA</strong>-related policies, such as procedural simplification<br />
and regulation relaxation. More resources are, as well, put into<br />
infrastructure construction. For the first time in the 13th Five-<br />
Year Plan (2016-2020), <strong>GA</strong> is no longer under the category of<br />
civil aviation and now regarded as an independent industry. The<br />
market is now in a parallel position with civil aviation, railway and<br />
highways in the country. Under the current Five-Year Plan, by<br />
2020, there will be more than 500 <strong>GA</strong> airports, 5,000 <strong>GA</strong> aircraft<br />
and two million flight hours, with the industry worth over RMB 1T<br />
(approximately US$150B).<br />
65% of the country’s <strong>GA</strong> fleet is fixed-wing aircraft; 68% of which<br />
is piston, with mission involvement mainly in flight training and<br />
agriculture. Rotary-wing aircraft occupies 33% of the overall fleet,<br />
with mainly turbine (57%) and piston (40%) aircraft. A small portion<br />
of the fleet (2%) is airship and hot air balloon, which are mainly<br />
utilized in advertisement, performance, and pleasure flights.<br />
The country’s <strong>GA</strong> operation concentrates on governmentinstructional<br />
<strong>GA</strong> mission, for instance, industrial, agricultural,<br />
forestry, meteorological investigation and marine monitoring.<br />
Business-based flights, such as pipeline and powerline patrol, and<br />
Note: Data as of June 30, 2017<br />
8 | CHINA <strong>GA</strong> REPORT 2017
<strong>GA</strong> MARKET OVERVIEW<br />
<strong>GA</strong> Aircraft Fleet - <strong>China</strong> vs USA<br />
<strong>China</strong> <strong>GA</strong> Fleet<br />
US <strong>GA</strong> Fleet<br />
<strong>China</strong> Growth Rate<br />
US Growth Rate<br />
1,000,000<br />
30%<br />
231,607 228,663 223,877 223,370 216,202 209,034 199,927 204,408 210,030 203,425<br />
100,000<br />
20%<br />
10,000<br />
10%<br />
987<br />
903<br />
1,654<br />
1,975<br />
2,235 2,595<br />
780<br />
1,010 1,154<br />
1,342<br />
1,000 0%<br />
100 -10%<br />
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016<br />
Data Source: <strong>GA</strong>MA and <strong>China</strong> Aircraft Airworthiness Certification <strong>Report</strong> 2016<br />
offshore oil service, make up another core flight mission in the <strong>GA</strong><br />
industry. Consumption-nature flights — e.g. sports flying, pleasure<br />
flight, and commuting service— are still at an early stage of<br />
operation. With negative shock by government regulation, business<br />
jet operation has historically underperformed.<br />
According to the <strong>GA</strong>MA, in 2015, 31% of the US <strong>GA</strong> flight hours<br />
are related to personal and pleasure flight, making up 67% of the<br />
overall <strong>GA</strong> fleet. In 2016, <strong>China</strong> saw its first negative growth in<br />
total <strong>GA</strong> mission hours, despite rapid expansion in fleet size and<br />
enterprises. This indicated the market supply growth outpaced<br />
that of the demand, which has an untapped potential.<br />
Meanwhile, <strong>China</strong> <strong>GA</strong> experiences heavy reliance on imported<br />
aircraft. For example, there are 38 helicopters manufactured<br />
by AVIC’s Changhe and Harbin Aviation, accounting for only 7%<br />
of the total rotary-wing fleet. The remaining fleet is composed<br />
of imported aircraft, or domestic-assembled aircraft with<br />
imported parts. On the fixed-wing side, AVIC’s Y5 and Y12 are<br />
the key players in domestic-manufactured aircraft, occupying the<br />
turboprop and piston markets with a notable share amount. Some<br />
foreign aircraft OEMs, such as the Austrian Diamond aircraft, shift<br />
part of their production to <strong>China</strong> through cooperation with local<br />
enterprises. Overall, there is still a disparity between foreign and<br />
local manufactured aircraft.<br />
<strong>GA</strong> Flight Hours - <strong>China</strong> vs USA<br />
<strong>China</strong> Flight Hours (Thousands)<br />
US Flight Hours (Thousands)<br />
<strong>China</strong> Growth Rate<br />
US Growth Rate<br />
25,600<br />
12,800<br />
6,400<br />
3,200<br />
1,600<br />
800<br />
400<br />
200<br />
27,852 26,009 23,763 24,802 24,603 24,403 22,876 23,271 24,142 23,300<br />
261 273<br />
330 368<br />
503 517 591<br />
678 779<br />
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016<br />
765<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
-10%<br />
-20%<br />
Data Source: <strong>GA</strong>MA and <strong>China</strong> Aircraft Airworthiness Certification <strong>Report</strong> 2016<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 9
FACTORS IMPACTING<br />
<strong>GA</strong> MARKET<br />
G<strong>EN</strong>ERAL AVIATION IN CHINA<br />
The heavily-controlled and highly-regulated <strong>GA</strong> industry in<br />
<strong>China</strong> is now entering a new phase. it hopes to grow the<br />
market, incite economic growth, and keep up with more<br />
developed nations. With the government’s acceptance and<br />
understanding toward the industry comes the loosening of<br />
restrictions and proactive initiatives, working toward promoting<br />
general aviation in <strong>China</strong>.<br />
In 2016, the Chinese Government unveiled the 13th Five-<br />
Year Plan (2016-2020), which includes the country’s major<br />
objectives for economic and social development. A key focus<br />
is on the country’s infrastructure, as well as a strong emphasis<br />
on aviation development. Consisting of six major points, the<br />
plan targets safety, economic contribution, service level, an<br />
efficient airport network, the promotion of general aviation and<br />
green development.<br />
Part of this development is the opening of airspace below<br />
3,000m, up from 1,000m, as well as simplifying and reducing<br />
the application time; a move beneficial to most general<br />
aviation aircraft.<br />
General aviation aircraft are typically defined as non-military<br />
and non-commercial aircraft (including those transporting<br />
cargo and scheduled flights carrying passengers.) Within<br />
<strong>China</strong>, general aviation segments include industrial operations,<br />
agriculture, flight training, medical evacuation (medevac),<br />
natural disaster operations, business aviation, short-distance<br />
transport, private flying and tourism.<br />
To fully understand the status of <strong>China</strong>’s <strong>GA</strong> industry, a<br />
comparison to the developed US market is appropriate. The US<br />
is home to approximately 2,564 <strong>GA</strong> airports by FAA standards;<br />
in contrary, <strong>China</strong> only has 74 CAAC approved airports. The<br />
number of <strong>GA</strong> airports serves as an indicator of the industry’s<br />
infrastructure development. Infrastructure and aircraft number<br />
are highly correlated, in the way that advanced infrastructure<br />
attracts acquisition of aircraft.<br />
There are more than 200,000 <strong>GA</strong> aircraft in the US, whereas,<br />
<strong>China</strong> has around 2,770.<br />
In terms of total flying hours, the US has around 24 million total<br />
<strong>GA</strong> flying hours, which is triple that of <strong>China</strong>’s; an indicator that<br />
usage and support facilities are much more common in the US.<br />
INFRASTRUCTURE DEVELOPM<strong>EN</strong>T<br />
The International Air Transport Association (IATA) forecasts the<br />
number of air travelers to double from 3.8 billion in 2016 to 7.2<br />
billion passengers in 2035, with the Asia-Pacific region confirmed<br />
as the biggest driver of demand and <strong>China</strong> replacing the US as<br />
the world’s largest commercial aviation market around 2024.<br />
At the end of 2016, <strong>China</strong> was home to 218 commercial service<br />
airports. Beijing Capital International Airport is the largest airport<br />
in <strong>China</strong>, serving approximately 94.4M passengers in 2016<br />
— surpassing the airport’s annual passenger traffic capacity.<br />
Shanghai Pudong Airport and Guangzhou Baiyun International<br />
Airport follow, both of which also exceed passenger traffic<br />
capacity.<br />
To serve this rapidly-expanding fleet is no easy feat, requiring<br />
help from all angles. The government and private companies<br />
are particularly interested in Beijing. Beijing Daxing International<br />
Airport is in the building stages and set to cater to increasing<br />
traffic in the area. Expected to serve Beijing, Tianjin and Hebei,<br />
the airport — to be completed in 2019 — will free up capacity at<br />
current airports and provide considerable support to the industry.<br />
Currently, there are approximately 311 general aviation airports in<br />
<strong>China</strong> and about 558 airports in the planning stages, exceeding<br />
the State Council’s plans for 500 general aviation airports. The<br />
decision to build airports is now being moved from the Central<br />
Government to that of the Provincial Governments.<br />
General aviation airports in provinces across the country are<br />
expected to be finished in the next few years. The new airports<br />
10 | CHINA <strong>GA</strong> REPORT 2017
FACTORS IMPACTING<br />
will act as not only a form of connectivity to outside cities, but an<br />
economic booster.<br />
Longchuan General Airport in Dehong is among those nowbeing<br />
built and among 50 planned general aviation airports in the<br />
Yunnan province. Upon completion of the airport, “Dehong aims<br />
to boost development in manufacturing, repairing, professional<br />
training and other related industries, promoting achievement in<br />
the industrial chain of general aviation.”<br />
In addition to <strong>GA</strong> airports, the government has positioned itself<br />
to build a more extensive helicopter infrastructure network,<br />
consisting of more helipads and landing spots. According to the<br />
<strong>China</strong> Emergency Rescue Promotion Center, the goal is to build<br />
850 helipads and over 1,400 landing spots across the country.<br />
costly. The International Civil Aviation Organization (ICAO) further<br />
attributes the shortage to a “high cost of pilot license, entry-level<br />
low wages, reduced career interest, more stringent regulations<br />
and a shortage of qualified instructors.”<br />
The ICAO has called upon the region to “be prepared for the future<br />
challenges higher volumes will create; this includes upgrades of<br />
air control systems, improvement of airport infrastructure and<br />
harmonization of pilot training, according to the international<br />
standards, with a high focus on aviation English.”<br />
Not only does the entire industry — commercial and general —<br />
face this shortage, but general aviation additionally faces a sort<br />
of competition with commercial airlines, which often offers more<br />
attractive incentives to pilots.<br />
PERSONNEL SHORTAGE<br />
Growing fleets and increased passenger traffic levels require<br />
manpower. According to Boeing’s 2016 Pilot and Technician<br />
Outlook, “Over the next 20 years, the Asia-Pacific region will lead<br />
the worldwide growth in demand for pilots, with a requirement<br />
for 248,000 new pilots.” Leading the region in this demand is<br />
<strong>China</strong>, requiring 111,000 commercial pilots.<br />
“Overall global fleet growth, along with the increasing trend<br />
for operators to outsource maintenance, repair, and overhaul<br />
activities to third party providers, will drive and increase the need<br />
for qualified technicians,” explains the report. The Asia-Pacific<br />
region will require 268,000 new technical personnel over the next<br />
20 years, with <strong>China</strong> requiring 119,000 technicians.<br />
The need for cabin crew will continue to soar, as well, with flight<br />
routes continuing to expand and airlines growing their fleets.<br />
The Asia-Pacific region will again require the highest number –<br />
298,000 cabin crew within the next 20 years. The projections<br />
come as the number of passenger traffic is expected to increase.<br />
The Asia-Pacific region — and specifically <strong>China</strong> — is the<br />
hardest hit when it comes to this shortage. Unlike many Western<br />
countries, opportunities to join the industry are limited and<br />
ECONOMIC GROWTH<br />
The development of <strong>GA</strong> in <strong>China</strong> will undoubtedly act as an<br />
economic booster to and the country. The Chinese State Council<br />
estimates the industry will be worth over RMB 1T (approximately<br />
US$150B) in the coming years.<br />
As the country moves to develop airports and more aircraft, the<br />
industry will need to be supported by a solid workforce. Jobs will<br />
subsequently be created within and outside of the <strong>GA</strong> industry<br />
including pilots and training, manufacturing and surrounding airport<br />
services. The local GDP of provinces will, therefore, likely increase.<br />
To further incentivize citizens and companies within general aviation,<br />
government subsidies are offered to <strong>China</strong>-based <strong>GA</strong> operators, as<br />
well as Chinese manufacturers, to improve the production of local<br />
aircraft.<br />
In larger provinces, including Tianjin and Beijing, economic zones<br />
have been introduced. Such is the case of the Tianjin Airport<br />
Economic Zone, which falls within the Tianjin Free-Trade Zone. The<br />
airport zone offers development of aerospace along with many<br />
other industries such as food production and manufacturing, and<br />
additionally offers incentives to businesses within the zone, to boost<br />
economic activity and encourage businesses to move to the area.<br />
2017 CHINA <strong>GA</strong> REPORT | 11
REGULATIONS AND POLICIES<br />
With limited capability to produce aircraft domestically,<br />
<strong>China</strong> relies heavily on imported aircraft to support<br />
its <strong>GA</strong> expansion. Nonetheless, prior to 2016, <strong>China</strong><br />
still imposed a tax on imported aircraft to protect the local<br />
aircraft manufacturing industry. The discriminatory tax was<br />
eliminated in late 2016, after being challenged by the Obama<br />
Administration. Now embracing a more open and developed<br />
<strong>GA</strong> industry, the Chinese government is implementing<br />
regulations and policies aimed at allowing the industry to takeoff<br />
and catch up with developed markets.<br />
In the past, the industry’s development in <strong>China</strong> has been greatly<br />
affected by the CAAC’s procedural regulations. Simplifying the<br />
procedures and loosening the regulation on owner-use (noncommercial)<br />
aircraft registration, operation permit application<br />
and airport infrastructure approval are all moves in the right<br />
direction. In December 2013, the approval requirement for most<br />
<strong>GA</strong> flights was relaxed, and the waving of approval on imported<br />
and non-commercial use <strong>GA</strong> aircraft in March 2017 has pushed<br />
the <strong>GA</strong> industry a step further.<br />
In addition to loosening application and approval requirements,<br />
the government is also focusing on improving safety. Aiming to<br />
improve the <strong>GA</strong> maintenance support service, safety inspections<br />
and investigation, is the establishment of more service centers<br />
and a comprehensive safety supervision system. Expanding the<br />
coverage of automatic dependent surveillance – broadcast (ADS-B)<br />
is an important element of safety assurance, in order to meet the<br />
target of reducing the accident rate to less than 0.09% by 2020.<br />
Setting up automatic flight service stations in <strong>GA</strong> active zones<br />
with an expanded information sharing platform, such as weather<br />
updates, will also improve the information system within the <strong>GA</strong><br />
industry, as well.<br />
With an overall operating scale of only one-third the size of Brazil<br />
and Mexico, and one-sixth the size of South Africa, significant<br />
additional infrastructure is needed in <strong>China</strong>. The government<br />
has announced an aggressive expansion: by 2020, 300 new<br />
<strong>GA</strong> airports will be constructed. To meet the target efficiently,<br />
provincial governments have taken responsibility of issuing<br />
<strong>GA</strong> airport approvals. This transfer of power from the central<br />
government to provincial governments has attracted investors.<br />
Additionally, to boost the number of <strong>GA</strong> companies to a total of<br />
300, the government has loosened the aircraft requirement for<br />
<strong>GA</strong> companies. Owning or leasing two <strong>GA</strong> aircraft now satisfies<br />
the aircraft requirement for setting up a <strong>GA</strong> firm; a relatively lower<br />
barrier than the previous requirement of owning two aircraft.<br />
Number of <strong>GA</strong> Policies 2016-2017<br />
Corporation (7%)<br />
Infrastructure (10%)<br />
Procedure/<br />
Qualification (15%)<br />
Aircraft Operation (18%)<br />
44+18+15+10+7+6+G<br />
Safety (6%) Industry Development (44%)<br />
68<br />
Number of <strong>GA</strong> Policies 2012-2017<br />
35<br />
33<br />
13<br />
9<br />
7<br />
2012 2013<br />
4<br />
2014 2015 2016 2017*<br />
Note: For the period from January through June 2017<br />
12 | CHINA <strong>GA</strong> REPORT 2017
REGULATIONS AND POLICIES<br />
List of Policies 2016<br />
Date Policy Details<br />
JAN 14<br />
Regulation on Light Unmanned Civil<br />
Aircraft Operation (Temporary)<br />
• Requires staff who carry out forestry-protection operations and work at a flying<br />
altitude of 15m or above, to obtain qualification<br />
• Increases the required operator-viewing-distance for unmanned forestry-protection<br />
aircraft from 300m to 500m<br />
JAN 27<br />
Amendment on “<strong>China</strong> Civil Aviation<br />
ADS-B Implementation Plan”<br />
• By 2017, implementation of ADS-B surveillance system in core <strong>GA</strong> districts<br />
• By 2020, full implementation of ADS-B surveillance system<br />
MAR 3<br />
Key Missions for Economic<br />
Reformation in 2016<br />
Innovates <strong>GA</strong> operation and monitoring modes, and publishing pro-<strong>GA</strong><br />
development policies<br />
MAR 8<br />
Published “13th Five-Year Plan: General<br />
Aviation Development”<br />
By 2020:<br />
• 500 or more <strong>GA</strong> airports to be built<br />
• <strong>GA</strong> aircraft quantity to reach 5,000<br />
• Total annual mission flight hours to reach 2 million or above<br />
• <strong>GA</strong> industry operation scale with 1 trillion RMB (US$150B) investment<br />
MAR 16<br />
Policy Simplification and Release of<br />
Power in General Aviation Industry<br />
• Reduces the number of authorization-required projects<br />
• Simplifies examination procedures<br />
MAR 24<br />
Provisions on the Administration of<br />
Business Licensing for General Aviation<br />
Since June 1, 2016, lower barrier for <strong>GA</strong> company establishment:<br />
• Waives approval on construction preparation<br />
• Reduces aircraft requirement from ownership of two aircraft to at least leasing two aircraft<br />
• Removes the limit of private capital on aircraft purchase<br />
• Allows <strong>GA</strong> enterprise to share landing locations with other types of aircraft<br />
APR 1<br />
Simplification in “General Aviation<br />
Special Mission Flight Application”<br />
CAAC simplifying the application for special <strong>GA</strong> mission flight:<br />
• Reduces application materials to 2 items, from 11 items<br />
• Shortens approval processing time with higher levels of transparency and efficiency<br />
APR 13<br />
Completion of the Examination for<br />
“Helicopter Power Patrol Safety Guide”<br />
Since April 1, the power mission is broken down into categories, such as on request <strong>GA</strong><br />
flight , hoisting and building construction, and patrol.<br />
APR 26<br />
Action Plan for Consumption-Driven<br />
Industrial Transformation and Upgrades<br />
Implements “10 expense-expanding activities”, for example:<br />
• Facilitating <strong>GA</strong>-airport construction through funding<br />
• Encouraging organizations of sightseeing events, aero competition and aero-cultural<br />
exchange<br />
• Supporting development of aero clubs<br />
MAY 4<br />
Proposal on Facilitating General<br />
Aviation Industry<br />
• Facilitates the construction of <strong>GA</strong> airports in transportation- deficit areas, natural<br />
disaster-active zones and densely-populated districts<br />
• Accelerates the R&D on <strong>GA</strong> aircraft and navigating system<br />
• Expands the usage of environmental monitoring, transportation and resources exploration<br />
• Opens up low-altitude airspace gradually, with strengthened safety inspection<br />
MAY 13<br />
Notice on Reformation and Upgrade of<br />
Manufacturing Industry<br />
Implements 10 major constructions, with a target is promoting domestically produced<br />
aircraft (such as Y-12, AG 600), engines, etc.<br />
MAY 17<br />
Opinions on Promoting the<br />
Development of General Aviation<br />
Industry<br />
For sustainable <strong>GA</strong> development, the followings is proposed:<br />
• Fostering <strong>GA</strong> market<br />
• Accelerating construction of <strong>GA</strong> airports<br />
• Facilitating the transformation and upgrade of <strong>GA</strong> businesses<br />
• Opening up low-altitude airspace<br />
• Setting up more comprehensive safety measure<br />
2017 CHINA <strong>GA</strong> REPORT | 13
REGULATIONS AND POLICIES<br />
Date Policy Details<br />
MAY 25<br />
Opinions on Further Deepening of Civil<br />
Aviation Reform<br />
Carries out large-scale construction within a three-year period (2016-2018), with target<br />
on achieving improvements in:<br />
• Regional and advance <strong>GA</strong> aircraft competency<br />
• Civil aircraft industrialization<br />
• Navigation base station including upgrades and innovation<br />
• Commercial aero-product development<br />
• Supporting system and platform for satellite application<br />
JUN 2<br />
Consultation Notice-Interim Provision<br />
on the Administration of Operators in<br />
the Civilian Unmanned Aircraft System<br />
Sets up systems regarding unmanned aircraft:<br />
• Standard and Recommended Practices (SARPs)<br />
• Procedures for Air Navigation Services (PANS)<br />
• Instructional materials<br />
JUN 6<br />
Improvement Plan for Transportation<br />
Quality & Efficiency, and Service Supply<br />
Capability<br />
Releases the plan of constructing 30 to 50 comprehensive <strong>GA</strong> bases and have 500 <strong>GA</strong><br />
airports by 2020<br />
JUN 16<br />
Instructions on Facilitating General<br />
Aviation Development<br />
Completes implementation of indicated plans in “Instructions on Facilitating General<br />
Aviation Development”<br />
JUL 20<br />
Confirmation of the Content in<br />
“Provisions on the Administration of<br />
Business Licensing for General Aviation”<br />
Clarifies content, for example:<br />
• For the “Main body of <strong>GA</strong> operation should be a business entity” clause, permit holder is<br />
required to be a business entity; while applicant does not.<br />
• For “Supervisor’s major business has to be <strong>GA</strong> operation” clause, major business is<br />
referred to as a business that is fulfilling the operation target<br />
AUG 8<br />
Amendment Consultation: Civil Aviation<br />
Law of the People’s Republic of <strong>China</strong><br />
AVIC Proposed Military-Civil Integration<br />
Clarifies the aircraft registration holders are required to be Chinese citizens and the<br />
distinction between civil service airport and <strong>GA</strong> airport<br />
AVIC sets up a <strong>GA</strong> industry Office at its headquarter.<br />
AUG 17<br />
Consultation Notice: Air Tour<br />
(Sightseeing)<br />
Proposes requirements for pre-flight preparation, crew, aircraft worthiness, operating<br />
location selection and specifying the special flying districts<br />
AUG 24 日<br />
Consultation Notice: Hot Air Balloon<br />
Operation Guide<br />
Clarifies:<br />
• Pilot qualification requirement<br />
• Aircraft worthiness requirement<br />
• Landing and take-off requirement<br />
• Minimum safety altitude<br />
• Densely-populated district flights<br />
• Passenger safety notice<br />
AUG 30 日<br />
Notice on Effectively Doing the Related<br />
Work of Government and Social Capital<br />
Cooperation in Traditional Infrastructure<br />
Clearly states the project highlights of the seven largest fields, including energy resources,<br />
transportation, water conservancy, environmental protection, agriculture, forestry, and<br />
urban construction<br />
SEP 14 日<br />
General Aviation Development<br />
Discussion between Ministry of<br />
Transport’s Assistant Director and<br />
CAAC’s Director<br />
Three key missions:<br />
• Launching <strong>GA</strong> flight testing points for the exploration of a more efficient <strong>GA</strong> air traffic<br />
development<br />
• Expanding <strong>GA</strong> community service coverage: Facilitating construction of emergency<br />
rescue system, opening “Green Channel” for emergency service, establishing <strong>GA</strong> airports<br />
in disaster-active zones and encouraging government to purchase <strong>GA</strong> services<br />
• Encouraging the development of “<strong>GA</strong>+ Internet” and “<strong>GA</strong>+ Creative Economy”<br />
14 | CHINA <strong>GA</strong> REPORT 2017
REGULATIONS AND POLICIES<br />
Date Policy Details<br />
SEP 21 日<br />
Provisions on the Administration of<br />
Operators in the Civilian Unmanned<br />
Aircraft System<br />
“Air Traffic Operation Guide for Civil Unmanned Aircraft System” is published; the previous<br />
policy released in 2009 is abolished.<br />
NOV 3<br />
Incentive Plan for Social Capital<br />
on Investment, Construction and<br />
Operation of Civil Airport<br />
• Frees commercial service airport infrastructure and operator market<br />
• Establishes new commercial service airport design, and operation financing and<br />
investment method<br />
• Removes limit towards investment body<br />
• Intensifies the relationships between government and social capital<br />
NOV 7<br />
Notice on Effectively Doing the Related<br />
Work of General Aviation Promotion<br />
• Forms a short-haul transportation network with <strong>GA</strong> airports and commercial service airports<br />
• Develops low-altitude tourist services and travel routes, creating a low-altitude tourist<br />
circuit<br />
• Integrates local tourist resources and developing diversified aero-sports products.<br />
NOV 8<br />
Development Plan for Aero-Sports<br />
Developing aero-activity is:<br />
• Important matter for developing airspace resources and low-altitude economy<br />
• Significant segment for developing military-civil integration<br />
NOV 14<br />
Key Missions for Recent Promotion on<br />
General Aviation Industry Development<br />
Adjusts the low-altitude airspace from originally 1,000 m to 3,000 m<br />
NOV 25<br />
Development Plan for Aero-Sports<br />
• Promotes flying-base infrastructure in Beijing-Tianjin-Hebei Region, Yangtze River Delta<br />
and Pearl River Delta<br />
• Forms a “200-km aero-activity flying circle” in the above regions<br />
NOV 28<br />
Reformation-Promoting Plan for<br />
Civil Aviation Airspace Control<br />
& Enhancement Plan for <strong>GA</strong><br />
Technological Support<br />
The target of solidifies the reformation of airspace management to build five systems:<br />
• Sustainable supporting system for resources<br />
• Operation system with high service quality<br />
• Business administration system that matches the civil aviation development<br />
• Better strategic development plan to serve the country<br />
• <strong>GA</strong> service system that corresponds to the development progress<br />
DEC 1<br />
Conference: Promoting the<br />
Development of <strong>China</strong>’s General<br />
Aviation<br />
Conference content includes:<br />
• Suggestion on having a user-oriented centre, to strengthen central-local cooperation<br />
and military-civil integration<br />
• Testing point selection regarding districts, stages of development and business models<br />
DEC 9<br />
Construction of One - Hour Air<br />
Traffic Circle<br />
There will be over 20 type A and B <strong>GA</strong> airports in Zhejiang province. Every above-countylevel<br />
city will have at least one commercial service or type A <strong>GA</strong> airport. Coverage incudes<br />
significant islands.<br />
DEC 12<br />
Newly Built General Aviation Airport:<br />
Approved by Provincial Government<br />
Instead of being examined by the state government, <strong>GA</strong> airport projects and military-civil<br />
airport expansion now require approvals from provincial government only.<br />
DEC 19<br />
13th Five-Year Plan: National Strategic<br />
Emerging Industry Plan<br />
• Exploits aircraft leasing market<br />
• Establishes an advanced aero-operating system through internet technology<br />
• Intensifies pilot training<br />
DEC 27<br />
General Aviation Service Capability and<br />
Civil Aviation Service Quality<br />
Starting from April 1, this policy breaks down the mission classification into seven<br />
categories, including:<br />
• General request<br />
• Search and inspection<br />
• Hoisting<br />
2017 CHINA <strong>GA</strong> REPORT | 15
REGULATIONS AND POLICIES<br />
List of Policies 2017<br />
Date Policy Details<br />
JAN 2<br />
Helicopter Power Mission Safety Guide<br />
Starting from April 1, this policy breaks down the mission classification into seven<br />
categories, for example general request, search and inspection, and hoisting<br />
JAN 4<br />
Construction of General Aviation<br />
Industry Demonstrating Districts<br />
26 cities participate as preliminary testing cities, including Beijing, Tianjin, Shenzhen and<br />
Zhuhai.<br />
JAN 6<br />
2017 Budget Plan for General<br />
Aviation Special Project<br />
With a subsidy of over 300 million RMB (US$45M) in 136 <strong>GA</strong> companies regarding operations<br />
and permits, the top 10 enterprises’ subsidies account for 51% of the total amount.<br />
JAN 13<br />
Instructions for Civil Aircraft Pilot<br />
Training School Qualification<br />
Collection of Comments on Self-<br />
Modified Aircraft Permit, Limited-<br />
Access Aircraft Airworthiness<br />
Certificate and Management Structure<br />
Pilots who acquire their qualifications before April 1 still have valid until the permits or<br />
training school certificate expires.<br />
Flight enthusiasts are encouraged to modify aircraft to satisfy personal entertainment<br />
needs. Special permits will be granted if aircraft modification is qualified under Part CCAR-<br />
21-21.212.<br />
JAN 19<br />
Consultation: Water Aerodrome Technical<br />
Requirement (Trial Operation)<br />
There are 10 sections, such as terminology, seadrome information and site selection,<br />
water-based facilities, facilities near the coast line, and firefighting facilities.<br />
FEB 8<br />
Development Plan on Improving <strong>GA</strong><br />
Service Capability<br />
Indicates the major target and mission of <strong>GA</strong> development in the coming five years:<br />
• Establishing an independent regulatory system, corresponding to the <strong>GA</strong> development<br />
• Unifying the examination process for <strong>GA</strong> operation and management permit<br />
• Simplifying or canceling the filing process for aircraft introduction<br />
• Implementing an online system for <strong>GA</strong> operation application, acceptance and authorization<br />
• Developing <strong>GA</strong> market and encouraging flight training services<br />
• Simplifying the management of non-commercial <strong>GA</strong> registration<br />
FEB 16<br />
Issued 13th Five-Year Plan: General<br />
Aviation Development<br />
13th Five-Year Plan is released with target of increasing <strong>GA</strong> airports, aircraft, total flight<br />
hours and industry investment.<br />
FEB 18<br />
Consultation: CCAR Part 141<br />
Pilot Training School Examination<br />
Process<br />
Provides a standard process for CCAR-Part 141 pilot training school, regarding certification<br />
examination. Certification applicants and regional civil aviation administration bureaus are<br />
required to follow this process.<br />
FEB 24<br />
Consultation: Technical<br />
Requirement and Inspection for Civil<br />
Heliport Illuminant Lamp<br />
States technical requirements, for example:<br />
• Working environment temperature: -40 ~55<br />
• For strong constant lights, all-dimensional white lights should be used<br />
• Foldable lighting equipment, with low-position installation<br />
FEB 27<br />
Amendment: Rules for the<br />
Administration of Medical Certificates<br />
for Civil Aviation Personnel<br />
Three amendments were made, with an effective date of April 1st, 2017.<br />
MAR 8<br />
Cancellation of Filing Procedure on<br />
Imported <strong>GA</strong> Aircraft<br />
No filing procedures are required for personal or corporate use <strong>GA</strong> aircraft and<br />
business jet.<br />
MAR 10<br />
MAR 18<br />
Video Call Conference Regarding<br />
General Aviation Safety Measures<br />
CAAC starts the Use of General Aviation<br />
Testing Points<br />
Confirmation of policy implementation, including:<br />
• Strict responsibility-tracing system, regarding production safety<br />
• Categorization on commercial and non-commercial operations, and a more relaxed<br />
regulation on personal use aircraft<br />
• Simplification on application examination<br />
• Online application for flight plan<br />
CAAC starts operating <strong>GA</strong> testing points in Eastern, North-Western <strong>China</strong>, and Xinjiang.<br />
16 | CHINA <strong>GA</strong> REPORT 2017
REGULATIONS AND POLICIES<br />
Date Policy Details<br />
MAR 21<br />
Consultation: Provision on Civil Aircraft<br />
Flight Operator Certification Examination<br />
Amendments on clause 52 of “Civil Aircraft Pilot, Flight Communicator and Flight<br />
Machinist Qualification Certification”, released by CAAC on Aug 1, 1996.<br />
APR 14<br />
Administrative Measures for the<br />
Categorization of General Airports<br />
Categorizes the <strong>GA</strong> airports into two types, according to the openness to public:<br />
• Type A: open to public; public flight services and own flight activities can be carried out<br />
-Type A airport is further broken down into 3 sub-types, based on its impacts on public<br />
• Type B: non-open to public<br />
APR 18<br />
Consultation: Rule for Aviation Safety<br />
and Security of General Aviation<br />
• Sets risk management and threat assessment as a foundation, <strong>GA</strong> flight activities will be<br />
managed with respect to classes and categories.<br />
• Regarding <strong>GA</strong> safety and security, CAAC gives monitoring and management instructions<br />
APR 25<br />
Supplementary Notice: Provision on<br />
Foreign Investment in Civil Aviation<br />
Starting from May 1, 2017;<br />
• Loosening regulations of Chinese-holding <strong>GA</strong> maintenance projects<br />
• Accepting foreign capital as a form of joint-venture investment<br />
MAY 2<br />
13th Five-Year Plan: Regulation on<br />
Technological Innovation Special<br />
Projects in Transportation Sector<br />
Development focuses on:<br />
• Developing technology of building <strong>GA</strong> aircraft with new configuration and using new<br />
energy resources<br />
• Timely and ordinally opening up low-altitude airspace<br />
MAY 9<br />
Amendment Consultation: Regulation<br />
on the Control of General-Purpose<br />
Aviation Flight<br />
In order to facilitate the <strong>GA</strong> development, flight activities are regulated under safety<br />
measures. A policy is therefore imposed, with a consultation period until May 20, 2016.<br />
MAY 24<br />
Amendment Consultation: Provision on<br />
Civil Aircraft Maintenance Staff License<br />
• Groups the qualification for civil aircraft parts maintenance consultation under civil<br />
aircraft maintenance qualification, with cancellation of the original independent<br />
qualification in CAAR-Part 66R2<br />
• Deadline for feedback collection: June 23, 2016<br />
MAY 26<br />
MAY 31<br />
General Aviation Development Seminar<br />
in Beijing<br />
Consultation Notice: Amendment on<br />
Provisions on the Administration of<br />
Business Licensing for General Aviation<br />
• Indicates that a country with developed civil aviaton should encompass eight basic<br />
characteristics, such as international and popular aviation market, large-scale aviation<br />
enterprises with international competitiveness and an efficient and safe air traffic<br />
management system<br />
• Indicates the factors impacting the <strong>GA</strong> development, such as insufficient airspace<br />
resources, incapable ground supporting system and shortage in labour resources<br />
Amended content includes:<br />
• Long-term validity for <strong>GA</strong> operation approval<br />
• Dividing <strong>GA</strong> operation into four categories<br />
• Staff with poor management in civil aviation safety will be black-listed and will not be<br />
appointed as senior management staff in <strong>GA</strong> industry<br />
JUN 7<br />
Regulatory Handbook for General<br />
Aviation Market<br />
• Clarifies the duty and responsibility of staff at each management grade in civil aviation<br />
• Streamlines the permit administration and monitoring process<br />
• Starting date: Oct 1, with handbook uploading onto phone application<br />
JUN 12<br />
Consultation: Instruction on CCAR<br />
Part141 Pilot Training School<br />
Management System<br />
Instructs CCAR-Part 141 pilot training school to establish Quality Management<br />
System(QMS) and Safety Management System (SMS)<br />
JUN 15<br />
Unmanned Aircraft System<br />
Construction Guide<br />
• Proposes facility requirements and details, and implementation methods for unmanned<br />
aircraft system<br />
• With characteristic such as complicated categorization, huge differences in technical<br />
structure, mass and volume , and wide application range, a framework for unmanned<br />
aircraft system is proposed from the management and technical perspectives<br />
2017 CHINA <strong>GA</strong> REPORT | 17
FIXED-WING MARKET<br />
<strong>China</strong>’s fixed-wing fleet currently stands at 1,808, including 330 business jets, 250 turboprop, and 1,228<br />
piston and electric aircraft, each accounting for 18%, 14%, and 68%, respectively. In terms of the fleet<br />
numbers by province, there are seven provinces with more than 100 aircraft: Sichuan, Beijing, Heilongjiang,<br />
Guangdong, Shandong, Hubei and Shaanxi. Sichuan province has the largest fleet among all provinces, with a total<br />
of 251; 227 of them are piston aircraft, representing 90% of the fleet. Beijing’s fleet is at 209, with almost half (53%)<br />
business jets. Heilongjiang comes third with 163 aircraft; piston aircraft represents 82% of them.<br />
Fixed-Wing Fleet by Province<br />
1,808 in Total<br />
Sichuan<br />
100+83+65+55+49+45+43+29+29+26+26+24+22+20+16+13+11+10+10+6+4+4+3+3+2+2+2+1<br />
251<br />
209<br />
163<br />
138<br />
124<br />
114 108<br />
74 73<br />
66 65 60 56<br />
51<br />
40 33 28 26<br />
25<br />
15 11 11 7 7 5 4 4 2<br />
Beijing<br />
Heilongjiang<br />
Guangdong<br />
Shandong<br />
Hubei<br />
Shaanxi<br />
Xinjiang<br />
Tianjin<br />
Liaoning<br />
Shanghai<br />
Hebei<br />
Jiangsu<br />
Inner Mongolia<br />
Henan<br />
Zhejiang<br />
Shanxi<br />
Hunan<br />
Hainan<br />
Jilin<br />
Jiangxi<br />
Yunnan<br />
Anhui<br />
Gansu<br />
Qinghai<br />
Guangxi<br />
Ningxia<br />
Guizhou<br />
18 | CHINA <strong>GA</strong> REPORT 2017
FIXED-WING MARKET<br />
<strong>China</strong> has a large land mass, and aircraft in different market<br />
segments that can be distributed in different parts of the country<br />
Fixed-Wing Fleet by Type<br />
depending on their purposes. Business jets operate primarily in<br />
economically-advanced regions such as Beijing (111), Guangdong<br />
(56) and Shanghai (43). The fleet of these three provinces together<br />
Turboprop 250 (14%)<br />
Piston/Electric Aircraft<br />
1,228 (68%)<br />
accounts for 62% of the total business jets in <strong>China</strong>.<br />
The distribution of turboprop aircraft is a different story. Turboprop<br />
aircraft have a complex mission type, such as agriculture, aerial<br />
surveying and photography, artificial rain, transportation, etc.; the Business Jet<br />
330 (18%)<br />
location is more spread out compared to that of business jets.<br />
Piston aircraft have a low acquisition price and operating cost,<br />
perfect for agriculture, fishery, training and recreational needs.<br />
Pistons with agricultural mission are often seen in Heilongjiang,<br />
Guangdong, Xinjiang, Liaoning, Inner Mongolia, and Hubei, in order<br />
of importance. Pistons for training can be found in Sichuan, Hubei,<br />
Shaanxi, Shandong, Tianjin and Beijing.<br />
68+18+14+G<br />
1,808<br />
1,808 in Total<br />
FLEET DISTRIBUTION BY PROVINCE<br />
Number of Business Jets<br />
Number of Piston and Electric Aircraft<br />
Number of Turboprop<br />
111<br />
88<br />
133<br />
30<br />
HEILONGJIANG<br />
13<br />
2<br />
10<br />
BEIJING<br />
52<br />
14<br />
JILIN<br />
60<br />
14<br />
XINJIANG<br />
7<br />
<strong>GA</strong>NSU<br />
3 2<br />
QINGHAI<br />
227<br />
LIAONING<br />
52<br />
35<br />
105<br />
15<br />
18<br />
1<br />
9 12 9<br />
1<br />
INNER MONGOLIA SHANXI TIANJIN<br />
12 7<br />
48<br />
SHANDONG<br />
4<br />
2<br />
10<br />
NINGXIA<br />
HEBEI<br />
85<br />
30 22<br />
34 4<br />
JIANGSU<br />
7<br />
16<br />
6<br />
H<strong>EN</strong>AN<br />
43<br />
SHAANXI 101<br />
16<br />
6<br />
SHANGHAI<br />
7<br />
2<br />
11<br />
ANHUI<br />
11 13<br />
HUBEI<br />
9<br />
7 17<br />
SICHUAN<br />
21<br />
2 3<br />
HUNAN<br />
10<br />
1<br />
JIANGXI<br />
ZHEJIANG<br />
5 3 3<br />
YUNNAN<br />
2<br />
GUIZHOU<br />
4<br />
GUANGXI<br />
56 49<br />
33<br />
GUANGDONG<br />
Note: The operating base of fixed-wing aircraft is based on the<br />
location of its operator. Some business jets managed by Hong<br />
Kong or Taiwan companies are not included in the list.<br />
16 9<br />
HAINAN<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 19
FIXED-WING MARKET<br />
BUSINESS JET MARKET<br />
Business Jet by OEM<br />
Boeing 10 (3%)<br />
Airbus 15 (5%)<br />
Embraer 26 (8%)<br />
Cessna 35 (11%)<br />
Dassault 36 (11%)<br />
Bombardier 88 (27%)<br />
32+27+11+11+8+5+3+3+G<br />
330<br />
Hawker 10 (3%)<br />
Gulfstream 110 (32%)<br />
Large business<br />
jets are the most<br />
favored in the<br />
<strong>China</strong> market,<br />
holding 38% of the<br />
market with 124<br />
aircraft.<br />
Business Jet by Size Category<br />
Very Light 15 (5%) Large 124 (38%)<br />
Light 24 (7%)<br />
Corp. Airliner 29 (9%)<br />
Mid-Size 35 (10%)38+30+11+9+7+5+G<br />
Long Range 103 (31%)<br />
330<br />
With the economy taking off, <strong>China</strong>’s business jet<br />
market has flourished to become home to the<br />
largest business jet fleet in the Asia-Pacific region.<br />
<strong>China</strong>’s business jet fleet makes up 18% of the country’s fixedwing<br />
market with 330 aircraft.<br />
Gulfstream is the leading manufacturer with the most<br />
aircraft. Gulfstream’s 110 aircraft represent 33% of the total<br />
fleet; followed by Bombardier and Dassault, with 88 aircraft<br />
(27%) and 36 aircraft (11%) respectively. Commercial airline<br />
manufacturers — Airbus and Boeing — seem to have less of<br />
an advantage in the country’s business jet market. There are<br />
15 Airbus corporate jets (5%) in <strong>China</strong>, while Boeing has an<br />
smaller market share, with 10 aircraft (3%) in the market.<br />
Business Jet by Registration<br />
Isle of Man 10 (3%) Others 8 (2%)<br />
Cayman Islands 11 (3%)<br />
United States 45 (14%)<br />
78+14+3+3+2+G<br />
330<br />
<strong>China</strong> 256 (78%)<br />
Choice of registration country is influenced by regulations:<br />
foreign-registered aircraft are bound by stricter restrictions. For<br />
example, some maintenance services are available to <strong>China</strong>registered<br />
jets only, which makes the <strong>China</strong> B registration<br />
preferred. Out of the entire fleet, 78% (256) are <strong>China</strong>registered,<br />
while US-registered jets account for 14% (45). In<br />
terms of registration country popularity, Cayman Islands and<br />
Isle of Man follow, having 11 and 10 <strong>China</strong>-operated aircraft<br />
registered under the two countries respectively.<br />
Large business jets are the most favored in the <strong>China</strong> market,<br />
holding 38% of the market with 124 aircraft. Long-range jets<br />
follows, with 103 aircraft (31%). Mid-size aircraft have a market<br />
share that is much lower than that of the large and long-range<br />
aircraft, it ranks third place with 11% (35). Combined, these<br />
three sizes represent almost 80% of the jet market.<br />
20 | CHINA <strong>GA</strong> REPORT 2017
FIXED-WING MARKET<br />
Despite the popularity of large aircraft, the long-range Gulfstream<br />
G550 has a leading share of 14%, with 46 aircraft. 40 G450s<br />
— large aircraft— take up 12% of the market. The long-range<br />
Dassault Falcon 7X ranks third with 27 aircraft (8%). Of all the<br />
G550s in the country, 23 (50%) are run by operators in Beijing;<br />
while Guangdong and Shanghai each has eight. Combined, these<br />
three cities hold 85% of the country’s G550 fleet.<br />
In general, the acquisition cost of a business jet is higher than<br />
other fixed-wing and rotary-wing aircraft. Jets, however, have a<br />
shorter life span, which contributes to jets having the youngest<br />
fleet among all <strong>GA</strong> aircraft types. A newly-delivered aircraft<br />
generally has an in-service period of 10 years, with owners often<br />
considering selling the existing model for a newer model. With<br />
benefits from economic reform and loosening of restrictions,<br />
the <strong>China</strong> business jet market has been open for around 20<br />
years, which further explains the country’s young fleet. In <strong>China</strong>,<br />
approximately 65% of the jets were manufactured during or<br />
after 2010. The 2013 manufacturing year produced the greatest<br />
number, with 49.<br />
place, with 56 aircraft (17%). Shanghai, an emerging international<br />
financial center in <strong>China</strong>, placed third with the operation of 43<br />
aircraft (13%).<br />
Mainland-based Deer Jet is currently the top operator in <strong>China</strong>,<br />
operating 50 aircraft. G450 and G550 still make up most of the<br />
company’s fleet, with respectively 12 and 18. Other models, such<br />
as the Falcon 7X, G650 and BBJ, constitute a small portion of<br />
the fleet.<br />
Shenzhen-headquartered Business Aviation Asia (BAA) set up<br />
branches in major cities, including Hong Kong and Shanghai with<br />
a 46-aircraft fleet. Models such as the Legacy 650, Global 6000<br />
50<br />
40<br />
Business Jet by Age<br />
With cost and age limitations, business jets are typically utilized in<br />
charter business, or non-commercial uses by companies in <strong>China</strong>.<br />
The distribution of jets, therefore, concentrates in first-tier cities,<br />
including Beijing, which is a business-jet hub. Along with being the<br />
top location for the G550, the province operates 111 jets, which<br />
represents 34% of the country’s fleet. Beijing builds its fleet scale<br />
by having the most Gulfstream and Bombardier aircraft in the<br />
country, with 41% and 33% of the respective fleet operating in the<br />
province. In terms of fleet size, Guangdong occupies the second<br />
30<br />
20<br />
10<br />
0<br />
1970<br />
1980<br />
1990<br />
2000<br />
Year of Manufacture<br />
2010<br />
2017<br />
2017 CHINA <strong>GA</strong> REPORT | 21
FIXED-WING MARKET<br />
and Challenger 604/605 make up part of the fleet, in addition to<br />
the eight G450s and Falcon 7X, and seven G550s, respectively.<br />
These two dominating operators hold almost one-third of <strong>China</strong>’s<br />
jet fleet.<br />
At airport hubs, such as Beijing, Shanghai and Guangzhou,<br />
business jets face insufficient parking, take-off and landing slots.<br />
Commercial airliners, are given privilege in slot arrangements.<br />
headquarters and high-net-worth individuals are mainly in these<br />
regions, which creates congestion at the airport. After recognizing<br />
the problem, Hebei province started to build the first business<br />
jet airport in the country in Sanhe city. In 2019, Beijing’s new<br />
airport will be built, combined with other airport expansions and<br />
constructions, the traffic tension will greatly be reduced.<br />
A newly-delivered<br />
aircraft generally<br />
has an in-service<br />
period of 10 years,<br />
with owners often<br />
considering selling<br />
the existing model<br />
for a newer model.<br />
OEM<br />
Model<br />
Fleet<br />
OEM<br />
Model<br />
Fleet<br />
Airbus A319ER 3<br />
Airbus ACJ318 5<br />
Airbus ACJ319 6<br />
Airbus ACJ320 1<br />
Boeing B787-8 1<br />
Boeing BBJ 9<br />
Bombardier Challenger 300 5<br />
Bombardier Challenger 604/605 15<br />
Bombardier Challenger 800/850 23<br />
Bombardier Challenger 870 12<br />
Bombardier CRJ100/200/VIP 7<br />
Bombardier Global 5000 5<br />
Bombardier Global 6000 11<br />
Bombardier Global Express 1<br />
Bombardier Global Express XRS 1<br />
Bombardier Learjet 35A/36A 5<br />
Bombardier Learjet 60/XR 3<br />
Cessna Citation 525 13<br />
Cessna Citation Excel/XLS/+ 12<br />
Cessna Citation II 2<br />
Cessna Citation Mustang 1<br />
Cessna Citation S/II 2<br />
Cessna Citation Sovereign 4<br />
Cessna Citation X 1<br />
Dassault Falcon 2000EX 2<br />
Dassault Falcon 2000LX 2<br />
Dassault Falcon 7X 27<br />
Dassault Falcon 900DX 1<br />
Dassault Falcon 900LX 4<br />
Embraer Legacy 500 1<br />
Embraer Legacy 650 17<br />
Embraer Lineage 1000 4<br />
Embraer Phenom 100 1<br />
Embraer Phenom 300 3<br />
Gulfstream G200 8<br />
Gulfstream G280 3<br />
Gulfstream G450 40<br />
Gulfstream G550 46<br />
Gulfstream G650 8<br />
Gulfstream G650ER 4<br />
Gulfstream G-IV 1<br />
Hawker Hawker 4000 1<br />
Hawker Hawker 400A 1<br />
Hawker Hawker 800XP 7<br />
Hawker Hawker 900XP 1<br />
TOTAL 330<br />
22 | CHINA <strong>GA</strong> REPORT 2017
BRIDGING THE <strong>GA</strong>P OF<br />
COMMUNICATION<br />
INTERVIEW WITH ELAINE QIAN SIYIN,<br />
EXECUTIVE MANAGING EDITOR, <strong>GA</strong> CHINA MA<strong>GA</strong>ZINE<br />
Interview by Litalia Yoakum<br />
Born into an aviation-minded family in Beijing, Elaine Qian Siyin is now the Executive<br />
Managing Editor of one of <strong>China</strong>’s most trusted general aviation publications —<br />
<strong>GA</strong> CHINA Magazine. Upon first glance Elaine doesn’t seem like your typical <strong>GA</strong><br />
enthusiast. She has a spunky sense about herself and an interesting take on life,<br />
intertwined with a sense of adventure. But perhaps it’s that same sense that has<br />
led her to develop the bilingual, quarterly magazine into the well-known source of<br />
information it is today.<br />
After completing her studies through the University<br />
of Huddersfield in both the UK and Singapore, Elaine<br />
remained in the city-state where she worked for an<br />
events management company for three more years. Although<br />
she didn’t work in aviation at the time, she was still able to visit<br />
the Singapore Aviation Academy on a few occasions, where she<br />
admits the facilities amazed her.<br />
Still, the credit for Elaine’s curiosity of aviation stems from family.<br />
“I got to know the field when I was younger, through family<br />
members,” says Elaine. “Especially my dad, who is somewhat of a<br />
pioneer in this industry.”<br />
Elaine’s piqued interest led her back to <strong>China</strong> seven years ago.<br />
“This was also the time the <strong>GA</strong>industry was really starting to<br />
pick up [2010] and at that time there wasn’t a lot of reporting or<br />
content on <strong>GA</strong> aviation.”<br />
Starting out as a writer for an internal <strong>GA</strong> publication for the<br />
Capital Research Institute for General Aviation (under the<br />
Department of Information), Elaine evolved — along with the<br />
publication, which would later become <strong>GA</strong> CHINA — into the<br />
leader of the magazine.<br />
Throughout those seven years, a lot has changed, admits Elaine:<br />
“When I came back seven years ago, the industry was just getting<br />
started and everyone was crazy about it; investors wanted to<br />
‘catch the train to success’. After the initial two to three years,<br />
there was a second stage where everyone realized the gap in the<br />
market between <strong>China</strong> and the other part of the world.”<br />
2017 CHINA <strong>GA</strong> REPORT | 23
COMPANY PROFILE: <strong>GA</strong> CHINA MA<strong>GA</strong>ZINE<br />
The industry<br />
pays attention to<br />
pilots, but we lack<br />
experienced pilots,<br />
flight instructors,<br />
and management<br />
level personnel.<br />
While the industry continues to evolve, so does Elaine. In doing so,<br />
she has had plenty of unique experiences of her own. There’s the<br />
time she interviewed the first test flight pilot for Bell Helicopter in<br />
<strong>China</strong>, who shared some of his crazy past stories; or the time her<br />
interview led to a newfound passion of skydiving.<br />
“I did an interview with representatives from a skydiving company<br />
in New Zealand,” explains Elaine. “I got to know the company, staff,<br />
its training process, and the operational aspect of it — all the way to<br />
the actual skydive.” Elaine, who has since skydived multiple times<br />
since her first jump, recalls the experience as “amazing”, enjoying<br />
the feeling of flying on her own.<br />
She went on to explain skydiving’s influence in <strong>China</strong>. Not needing<br />
to apply for all the applications as a typical aircraft, skydiving<br />
has become something many Chinese<br />
companies are now considering as an<br />
operational segment.<br />
The most memorable interview yet was<br />
one Elaine did about two years ago. “I<br />
was in London and was able to interview<br />
The Red Arrows from the UK’s Royal<br />
Air Force Aerobatic Team. Their level<br />
of professionalism and training was<br />
amazing,” says Elaine, who conducted a<br />
video interview, which was later posted<br />
online, as well as published in print.<br />
Elaine stressed the evolution of aviation culture, safety and<br />
communication during this time, which has contributed to<br />
the establishment of consulting companies and industry<br />
organizations offering the community necessary information.<br />
Since that time, the government has brought general aviation to<br />
the forefront of its agenda. Yet, the challenges remain.<br />
Since those interviews, Elaine has<br />
continued her adventurous spirit,<br />
traversing the globe at every chance<br />
she gets. Currently, she calls Auckland,<br />
New Zealand home, while she finishes up her Master’s of<br />
Management degree. The pursuit is her own effort to improve<br />
herself and her team. “<strong>GA</strong> is a demanding industry and there’s<br />
large volume of information and data to get through,” explains<br />
Elaine. “Seeing this, I understand that there’s so much for me<br />
to learn still. I have this obligation to the magazine, the industry<br />
and the team, to learn as much as I can.”<br />
“The industry has still not learned to communicate effectively,”<br />
explains Elaine. “There’s huge potential but market opportunities<br />
are on a small scale, so people are fighting for profit. Because of<br />
this, it’s really important to trade and provide relevant and solid<br />
information about the industry.”<br />
“Also, the lack of professional personnel is a significant issue.<br />
During this time, companies are being established fast. They are<br />
eager to build something up, but there is no focus on training. The<br />
industry pays attention to pilots, but we lack experienced pilots,<br />
flight instructors, and management level personnel.”<br />
Once the program is complete, Elaine will once again pack<br />
her bags — this time heading to Washington D.C., where she<br />
was nominated, by the US Embassy in Beijing, to complete an<br />
International Leadership Program.<br />
When back in <strong>China</strong>, Elaine is ready to continue taking on the<br />
industry and leading the magazine — at maximum speed. “We<br />
have some exciting things ahead for the magazine, and our<br />
readers are as curious as ever.”<br />
www.gafun.cn<br />
24 | CHINA <strong>GA</strong> REPORT 2017
<strong>GA</strong> CHINA MA<strong>GA</strong>ZINE<br />
Established at the end of 2013 as an internal industry<br />
publication for the Capital Research Institute of General<br />
Aviation in Beijing, <strong>GA</strong> CHINA Magazine (《 中 国 通 航 博<br />
览 》 杂 志 ) has since transformed into the first bilingual general<br />
aviation publication, acting as a go-to source of information and<br />
market data on the industry in <strong>China</strong>. The publication — published<br />
quarterly, in print and online — provides an understanding of the<br />
industry through interviews with key leaders — domestically and<br />
internationally, policy and regulation interpretation, a guide to<br />
purchasing aircraft and helicopters, model comparisons and the<br />
latest industry news.<br />
Not only does <strong>GA</strong> CHINA aim to promote the development of the<br />
industry in <strong>China</strong>, it also aims to build a bridge of communication<br />
between the country and other parts of the world. The<br />
communication comes in various forms: exhibitions, events,<br />
photography competitions and tours, including a series of <strong>GA</strong><br />
Airport Tours that took place from 2015 to 2016.<br />
As the industry develops and the government works toward<br />
boosting it, interest has piqued. Readers are now drawn to<br />
insiders’ perspectives and overseas’ opportunities, as well<br />
as operations and management knowledge, particularly for<br />
helicopter operations, such as emergency medical services<br />
and scenic flight sectors, as well as sport aviation. Additionally,<br />
the audience has developed a relatively comprehensive<br />
understanding of the tremendous gaps and differences between<br />
markets in <strong>China</strong> and that of other parts of the world. Industry<br />
“know-hows” have also provided a chance for readers, particularly<br />
those in the <strong>GA</strong> industry, to gain a better understanding of all<br />
facets — management, technical and operational.<br />
To engage with the community, <strong>GA</strong> CHINA Magazine has several<br />
events coming up in 2017. Collaborating with the <strong>China</strong> Heli-<br />
Expo in Tianjin, the magazine held a Helicopter Safety and<br />
Operation Management Forum during the first few days of the<br />
show. The magazine’s aviation photography competition results<br />
was also included. “The Most Beautiful Moment” competition<br />
results were unveiled at the Heli-Expo. In November, <strong>GA</strong> <strong>China</strong><br />
will host about 70 industry leaders at a Summit and subsequent<br />
party in Beijing, where attendees can exchange ideas in an<br />
informal, yet constructive, setting.<br />
Culminating in what will have proved to be an exciting and busy<br />
year for the magazine is its special year-end issue. Covering<br />
all key topics from 2017, the year-end issue will be packed<br />
with original content from the publication’s own reporters, as<br />
well as contributors from inside the industry — an uncommon<br />
occurrence for <strong>GA</strong> publications in <strong>China</strong>.<br />
In the coming years, as the industry develops, so will <strong>GA</strong> CHINA<br />
Magazine. As Chief Executive Editor Elaine Qian puts it: “A<br />
magazine (or media) should never stay where it is. It should<br />
always search and explore the unknown and discover the<br />
unspoken, while putting the knowledge into action.” And so, the<br />
magazine is. In addition to its regular round of quarterly issues,<br />
<strong>GA</strong> CHINA Magazine will launch its own aviation video show,<br />
which is now in production. The team also hopes to enhance<br />
its inaugural Helicopter Safety and Operation Management<br />
Forum into a renowned and recognizable brand that serves the<br />
country’s helicopter community. Enthusiasts living abroad can<br />
also expect to see <strong>GA</strong> CHINA’s English edition, in the near future.<br />
www.gafun.cn
FIXED-WING MARKET<br />
TURBOPROP FIXED-WING MARKET<br />
Turboprop Fixed-Wing by OEM<br />
Piper 2 (1%)<br />
Piaggio 4 (2%)<br />
Pacific Aerospace 9 (4%)<br />
Quest Aircraft 19 (8%)<br />
Pilatus 22 (9%)<br />
Beechcraft 32 (13%)<br />
33+30+13+9+7+4+2+1+1+G<br />
250<br />
Viking Air 2 (1%)<br />
Cessna 84 (33%)<br />
AVIC 76 (30%)<br />
Adapted to local<br />
demand for<br />
different purposes,<br />
turboprop<br />
models differ<br />
from province to<br />
province.<br />
Turboprop Fixed-Wing by<br />
Size Category<br />
Twin 108 (43%)<br />
54+43+3+G<br />
Airliner 7 (3%) Single 135 (54%)<br />
250<br />
Turboprop Fixed-Wing by Mission<br />
EMS 4 (2%)<br />
Training 17 (7%)<br />
Charter/Air Taxi 24 (9%)<br />
Aero-Survey<br />
27 (10%)<br />
Agriculture 27 (11%)<br />
43+14+12+10+9+7+2+2+1+G<br />
250<br />
Aero-Sport 4 (2%)<br />
Others 3 (1%)<br />
Multi-Mission<br />
108 (43%)<br />
Sightseeing/Air Tour<br />
36 (14%)<br />
To maximize the economic benefit general aviation<br />
can bring to <strong>China</strong>, the connection between remote,<br />
second and third tier cities must expand — a<br />
viable option with turboprops, which fill the gap between<br />
business jets and helicopters in the general aviation market.<br />
Turboprop aircraft have the advantage of lower acquisition<br />
and operating costs than business jets, as well as faster<br />
speed and longer range than helicopters.<br />
In <strong>China</strong>, there are 250 turboprop aircraft, accounting<br />
for 14% of the total fixed-wing fleet. The multi-function<br />
aircraft is distributed evenly across the country. Major<br />
turboprop fleet provinces are Guangdong (13%),<br />
Heilongjiang (12%), Jiangsu (9%), Zhejiang (7%), Shaanxi<br />
(6%), Xinjiang (6%) and Inner Mongolia (6%).<br />
Adapted to local demand for different purposes, turboprop<br />
models differ from province to province. The Cessna 208<br />
accounts for 64% of the Guangdong fleet due to its flexibility<br />
in configuration for different usage: agriculture, charter,<br />
science and sightseeing. It is often used as sea plane<br />
for transportation and sightseeing in <strong>China</strong>. The fleet in<br />
Heilongjiang, on the other hand, is specialized in agriculture<br />
and aero-survey with 70% of the fleet consisting of the Y-12.<br />
50% of Jiangsu’s fleet are Pilatus PC-6s; Kodiak 100 follows<br />
with 32%. The PC-6 is used mainly for sightseeing in Jiangsu,<br />
while the Kodiak 100 is utilized as a multi-mission aircraft.<br />
26 | CHINA <strong>GA</strong> REPORT 2017
FIXED-WING MARKET<br />
The top four OEM's Cessna, AVIC, Beechcraft and Pilatus<br />
account for 85% of the total fleet. Benefitting from having its<br />
own assembly line in <strong>China</strong>, Cessna has the largest turboprop<br />
fleet with 34% aircraft, all of which are Cessna 208s. The 208<br />
airframes can be outfitted with several types of landing gear,<br />
allowing it to operate in a variety of environments. AVIC follows<br />
with 30% aircraft.<br />
91% of the AVIC fleet are Y-12s, with remaining models<br />
including the MA60, MA600 and Y-7. Priced at almost half of<br />
the Y-12’s most comparable competitor — the Viking DHC-6-<br />
400 Twin Otter the Y-12 is popular among remote provinces<br />
such as Heilongjiang, Inner Mongolia and Xinjiang for its large<br />
cabin volume and payload, travel distance and configuration<br />
capabilities. Rainmaking is one of the major ways to tackle<br />
draught issue in <strong>China</strong>. Over 15% (11) of Y-12s are configured<br />
with a rainmaking system, contributing to the 615 tons of<br />
artificial rain created in 2016.<br />
Beechcraft ranks third in total fleet, with 32 aircraft. The<br />
King Air 350 and C90GTi share nearly 90% of the Beechcraft<br />
market. Remaining models are the King Air B200 and Bonanza.<br />
Distribution of the King Air aircraft is clustered in more remote<br />
provinces such as Heilongjiang and Xinjiang. The first <strong>China</strong>assembled<br />
King Air 350 joined the market in 2015, a joint<br />
venture by Textron and AVIC. The mission segment of King Airs<br />
includes multi-mission (42%), training (26%), aero-survey (13%)<br />
and charter (10%).<br />
Pilatus follows with 9% aircraft in total. Compared to other OEMs, the<br />
Pilatus fleet is clustered in several provinces with over half of the fleet<br />
(12) based in Jiangsu. Main missions of the Pilatus are sightseeing<br />
(50%), multi-mission segment (23%) and agriculture (18%).<br />
OEM Model Fleet<br />
AVIC MA60 3<br />
AVIC MA600 2<br />
AVIC Y12 69<br />
AVIC Y7 2<br />
Beechcraft Bonanza 1<br />
Beechcraft King Air B200 2<br />
Beechcraft King Air 350 15<br />
Beechcraft King Air C90GTi 14<br />
Cessna Cessna 208 84<br />
Pacific Aerospace PAC750XL 9<br />
Piaggio P180 4<br />
Pilatus PC-12 2<br />
Pilatus PC-6 20<br />
Piper PA-42-720 2<br />
Quest Aircraft Kodiak100 19<br />
Viking Air DHC-6 Twin Otter 2<br />
TOTAL 250<br />
2017 CHINA <strong>GA</strong> REPORT | 27
AIRCRAFT SPOTLIGHT<br />
KING AIR 350i / 350ER<br />
28 | CHINA <strong>GA</strong> REPORT 2017
AIRCRAFT SPOTLIGHT<br />
Aircraft manufacturer Beechcraft a subsidiary of Textron Aviation — launched an updated version of its successful<br />
B200 line, with its Super King Air 300, which took flight for the first time in 1983. Following its success, the<br />
company dropped the “Super” and subsequently developed updated models including the King Air 350ER and the<br />
King Air 350i. The two have since stood out as outstanding aircraft, with superior performance.<br />
The King Air 350i is a large twin turboprop aircraft, suited for<br />
two pilots and nine passengers. Its short takeoff and landing<br />
(STOL) requirements and high payload capacity are its main<br />
selling points. With a wide-range of uses, the 350i is fit for<br />
reconnaissance, remote sensing, aerial photography, geophysical<br />
exploration and other special missions. The aircraft range is<br />
3,345km (1,806nm).<br />
The King Air 350ER, an extended version of the model 300,<br />
was announced at the Paris Air Show in 2005. The updated<br />
version offers flexible, reconfigurable interiors, making it easy<br />
to accommodate the passengers, cargo, and various mission<br />
segments. In 2012, the National Aeronautics Association<br />
(NAA) and International Aviation Federation (FAI) confirmed<br />
that King Air 350ER set a flying speed record, with a maximum<br />
speed of 574 km/h.<br />
Both the King Air 350i and the King Air 350ER offer superior<br />
quality, including new standard cabins with the latest passive<br />
sound insulation and noise technology. Larger cabins, smaller fuel<br />
consumption and less running costs allow each aircraft to carry<br />
more passengers and cargo, as well as to take off and land and<br />
operate more flexibly.<br />
Beechcraft owners, including owners of the King Air 350i and the<br />
King Air 350ER, enjoy an extensive global service support network.<br />
Please contact Avion Pacific Ltd ((Beechcraft dealer in Greater <strong>China</strong>)<br />
for more information.<br />
Tel: +86 755 26670729<br />
Website: www.avionpacific.com<br />
Email: marketing@avionpacific.com<br />
SPECS<br />
KING AIR 350i<br />
KING AIR 350ER<br />
Range<br />
3,345 km (1,806 nm)<br />
Range<br />
4,986 km (2,692 nm)<br />
Maximum Cruise Speed<br />
578 km/h (312 ktas)<br />
Maximum Cruise Speed<br />
561 km/h (303 ktas)<br />
Maximum Ramp Weight<br />
6,849 kg (15,100 lb)<br />
Maximum Ramp Weight<br />
7,530 kg (16,600 lb)<br />
Maximum Payload<br />
1,102 kg (2,430 lb)<br />
Maximum Payload<br />
1,608 kg (3,545 lb)<br />
Maximum Passengers<br />
11<br />
Maximum Passengers<br />
11<br />
Cabin Interior<br />
Cabin Interior<br />
Height<br />
1.45 m (57 in)<br />
Height<br />
1.45 m (57 in)<br />
Width<br />
1.37 m (54 in)<br />
Width<br />
1.37 m (54 in)<br />
Length<br />
5.94 m (19 ft 6 in)<br />
Length<br />
5.94 m (19 ft 6 in)<br />
Features<br />
• Rockwell Collins Pro Line Fusion Avionics<br />
• Terrain Awareness and Warning System<br />
• Traffic Collision Avoidance System<br />
• Automatic Flight Guidance System (AFGS)<br />
Features<br />
• Intuitive graphical touchscreen flight planning<br />
• Synthetic Vision System (SVS)<br />
• Available automatic wireless database and chart uploads<br />
• NextGen and precision GPS capabilities<br />
2017 CHINA <strong>GA</strong> REPORT | 29
FIXED-WING MARKET<br />
PISTON FIXED-WING MARKET<br />
Piston Fixed-Wing by OEM<br />
Zhongqing 19 (2%)<br />
Others 114 (7%)<br />
PZL-Mielec 19 (2%)<br />
Thrush Aircraft 20 (2%)<br />
MiBee 25 (2%)<br />
Sunward 27 (2%)<br />
Tecnam 34 (3%)<br />
Piper 47 (4%)<br />
Cirrus 67 (6%)<br />
Cessna 253 (21%)<br />
26+23+21+6+4+3+2+2+2+2+2+7+G<br />
1,228<br />
AVIC 318 (26%)<br />
Diamond 285 (23%)<br />
Piston fixed-wing<br />
aircraft in <strong>China</strong> are<br />
mainly used for training<br />
and agriculture. The<br />
combination of which<br />
account for over 80% of<br />
the total fleet number.<br />
Piston Fixed-Wing by Size Category<br />
Ultralight 79 (7%)<br />
88+7+5+G<br />
1,228<br />
Piston Fixed-Wing by Mission<br />
Aero-Survey/Photography 5 (1%)<br />
Sightseeing 46 (4%)<br />
Aero-Sport 65 (5%)<br />
Multi-Mission 116 (9%)<br />
Agriculture<br />
279 (23%)<br />
58+23+8+5+4+2+G<br />
1,228<br />
Twin 67 (5%)<br />
Single 1,082 (88%)<br />
Training 717 (58%)<br />
The piston fixed-wing market in <strong>China</strong> is the largest of<br />
all general aviation aircraft, with a total of 1,228 in the<br />
country. Chinese aircraft manufacturer AVIC has the<br />
largest fleet, with 318 aircraft in total, followed by Diamond<br />
(285) and Cessna (253). Combined, these manufacturers<br />
account for over half of the piston fixed-wing aircraft fleet<br />
in <strong>China</strong>.<br />
Despite Cessna’s third place rank, the Cessna 172 is the most<br />
popular model in this category of aircraft, with 244 in <strong>China</strong>.<br />
Unlike other models, the Cessna 172 is more concentrated<br />
in a few provinces including Sichuan, Shandong, Hubei and<br />
Guangdong, where 87% of the Cessna 172 fleet are located.<br />
AVIC’s Y-5 model follows the Cessna 172, with 216 aircraft.<br />
The Y-5 models are more dispersed across the country, with<br />
the highest number (19%) located in Heilongjiang. Although<br />
the first flight of the Y-5 was 40 years ago, it continues to<br />
be the most popular made-in-<strong>China</strong> piston aircraft today<br />
because of its stability and low operating cost. The Diamond<br />
DA40 follows the Cessna 172 and Y-5, in terms of popularity.<br />
Like the Cessna 172, the DA40 fleet is clustered into certain<br />
provinces such as Shaanxi, Hubei and Tianjin.<br />
Piston fixed-wing aircraft in <strong>China</strong> are mainly used for<br />
training and agriculture. The combination of which account<br />
for over 80% of the total fleet number. 717 (58%) of all piston<br />
fixed-wing aircraft in <strong>China</strong> are used for training purposes,<br />
with the Cessna 172 being used most often for this purpose.<br />
30 | CHINA <strong>GA</strong> REPORT 2017
FIXED-WING MARKET<br />
AVIC aircraft are the most popular piston aircraft in <strong>China</strong>, 65%<br />
are used for agriculture. Aircraft used for training can be found<br />
throughout the country, in 22 of the 34 provinces.<br />
23% (279) of <strong>China</strong>'s fleet is used for agriculture purposes. Unlike<br />
training aircraft, which can be found in most provinces in large<br />
quantities, agriculture piston aircraft are concentrated in a few<br />
provinces including Heilongjiang, Xinjiang, Liaoning and Hebei.<br />
Heilongjiang itself already has 105 agriculture aircraft based in<br />
the province. 40% of these agriculture aircraft are AVIC’s Y-5<br />
model.<br />
In terms of geography, the southwest province of Sichuan has the<br />
highest number of piston fixed-wing aircraft. 215 (95%) are used<br />
for training purposes; a reflection of the provinces’ high quality<br />
training schools. Most of these are operated by the Civil Aviation<br />
Flight University of <strong>China</strong> and Sichuan Longhao Flight Training.<br />
Heilongjiang province, located in the most northeastern part of<br />
<strong>China</strong>, is <strong>China</strong>’s largest agriculture base and plays a significant<br />
role in the industries of oil, timber, coal and machinery. As such,<br />
the province is home to the majority of the country’s agriculture<br />
aircraft. In 1985, the second largest general aviation company<br />
in <strong>China</strong>, Beidahuang <strong>GA</strong>, was set up in this province. The<br />
company now has over 70 pilots and 130 mechanics with over<br />
80 piston aircraft. The local government has also contributed<br />
to the development of this business environment. In 2017, the<br />
subsidy for piston fixed-wing aircraft for agricultural purpose in<br />
Heilongjiang was 4.7B RMB (approximately US$705M).<br />
<strong>China</strong>’s capital city of Beijing ranks fifth in total fleet by province.<br />
Compared to the previous three provinces, Beijing has a diverse<br />
fleet of aircraft. While training continues to dominate with nearly<br />
half of these aircraft used in this segment, aero-sport and multimission<br />
aircraft account for 22% and 19% of the province's fleet,<br />
respectively. Agriculture and sightseeing follow with 8% and 3%,<br />
respectively.<br />
The Civil Aviation Flight University of <strong>China</strong> (CAFUC) has the<br />
largest fleet of piston fixed-wing aircraft in the country. CAFUC<br />
is one of the largest pilot training schools in <strong>China</strong> with four<br />
branches. The Sichuan-based pilot school has five airports and<br />
208 piston aircraft for training purposed. CAFUC’s piston fixedwing<br />
fleet is more than double the second-ranked Beidahuang <strong>GA</strong>.<br />
The fleet consists of mostly Cessna 172Rs, with Cirrus SR 20 and<br />
Piper PA 44-180 making up a large part of the fleet.<br />
Beidahuang <strong>GA</strong> ranks second in total fleet size with 80 piston<br />
aircraft, all of which are configured to handle agriculture demands.<br />
Ayres Thrush S2R-H80, an American low-wing agricultural aircraft,<br />
accounts for 25% of the total fleet. Dromader M-18, a Polish single<br />
engine agricultural aircraft, follows with 19 aircraft.<br />
Hainan Aviation Academy and Phoenix Flying College share third<br />
place with 46 aircraft each. Both operator’s fleets are made up of<br />
only Diamond aircraft.<br />
2017 CHINA <strong>GA</strong> REPORT | 31
FIXED-WING MARKET<br />
OEM<br />
Model<br />
Fleet<br />
OEM<br />
Model<br />
Fleet<br />
Air Tractor AT-3R100 4<br />
Air Tractor AT-402B 4<br />
Air Tractor AT-504 2<br />
Air Tractor AT-802 6<br />
AVIC A2C 29<br />
AVIC A2C-L 4<br />
AVIC CJ-6A 2<br />
AVIC LE-500 47<br />
AVIC N5A 15<br />
AVIC Y11 5<br />
AVIC Y5 216<br />
Cessna Cessna 152 2<br />
Cessna Cessna 172 244<br />
Cessna Cessna 182 1<br />
Cessna Cessna 206 6<br />
Cirrus SR20 59<br />
Cirrus SR22 8<br />
Comco Ikarus C42 14<br />
CubCrafters CC18-180 1<br />
Daher-Socata TB-20 14<br />
Dart GK-18 2<br />
Diamond DA20 28<br />
Diamond DA40 210<br />
Diamond DA42 47<br />
Evektor-<br />
Aerotechnik<br />
SportstarSL 1<br />
Feibao XY I 2<br />
Flight Design CTLS 7<br />
Gippsland <strong>GA</strong>200 6<br />
Gippsland <strong>GA</strong>8 2<br />
Jabiru J160 13<br />
Jabiru J230 2<br />
KnAAPO Be-103 2<br />
Liberty Liberty XL-2 6<br />
MiBee M11 2<br />
MiBee M3C 8<br />
MiBee M4 15<br />
Mooney M20J 1<br />
Mooney M20TN 1<br />
Piper PA-44-180 47<br />
Pipistrel SINUS912 1<br />
Pipistrel Taurus 4<br />
Pipistrel VIRUSSW100 2<br />
Pipistrel VIRUSSW80 1<br />
PZL-Mielec M-18 19<br />
Rans Coyote II 1<br />
Rans Rans S6ES 1<br />
Ruixiang RX1E 4<br />
SeaRey SeareyLSA 6<br />
Sunward SA60L 27<br />
Tecnam P2002-JF 11<br />
Tecnam P2006T 13<br />
Tecnam P92-JS 10<br />
Thrush Aircraft S2R-H80 20<br />
Transavua PL12-T400 1<br />
XremeAir XA42 3<br />
Zhongqing Petrel 650 19<br />
TOTAL 1,228<br />
32 | CHINA <strong>GA</strong> REPORT 2017
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2017 CHINA <strong>GA</strong> REPORT | 33
COMBINING EAST AND<br />
WEST IN CHINA <strong>GA</strong><br />
INTERVIEW WITH DAVID P<strong>EN</strong>G, G<strong>EN</strong>ERAL MANAGER<br />
KINGS AVIATION<br />
Interview by Litalia Yoakum<br />
In 1996, David Peng was introduced to aviation for the first time at the “<strong>China</strong><br />
International Aviation & Aerospace Exhibition” in Zhuhai, opening his eyes —<br />
and ears — to the roaring sounds of fighter jets, military and civil aircraft. The<br />
sights and sounds piqued Peng’s interest and left a lasting impression. During<br />
that time, <strong>China</strong> had also begun embracing general aviation; an opportune time<br />
to make a move in that direction. Since that first show in Zhuhai, Peng has grown<br />
with the industry; going on to establishing his own general aviation company in<br />
Shenzhen, <strong>China</strong>.<br />
What is your background in the aviation<br />
industry?<br />
In 2005, <strong>China</strong>’s leading general aviation service provider —<br />
Avion Pacific Limited — was recruiting marketing personnel,<br />
and I decided to make the move from the automobile industry<br />
to aviation. With the company, I performed market analysis and<br />
aircraft sales. It was also during this time that Avion Pacific’s<br />
Chairman, Mr. Wu Zhendong and the current Asia Vice Sales<br />
Director, Mr. XueFeng Liao helped to guide me through the<br />
developing world of general aviation.<br />
As an authorized agent of Hawker Beechcraft products, Avion<br />
Pacific enabled me to achieve one of my career highlights, which<br />
was the sale of the first Hawker 4000, a super-medium business<br />
jet. This was the first one to be imported into <strong>China</strong>.<br />
34 | CHINA <strong>GA</strong> REPORT 2017
COMPANY PROFILE: KINGS AVIATION<br />
What inspired Kings Aviation's<br />
establishment?<br />
It began as a thought in 2009. With restrictions on lower altitude<br />
airspace becoming more relaxed, it was anticipated that <strong>China</strong>'s<br />
<strong>GA</strong> market growth rate would accelerate; thus creating a large<br />
aircraft management demand and the demand for <strong>GA</strong> pilots.<br />
including: 1) the country’s large land mass, population, and high<br />
economic growth; 2) the government’s continued support; and<br />
3) the high enthusiasm among the investment world for <strong>China</strong><br />
<strong>GA</strong>. Government executive transport, EMS, natural disaster and<br />
emergency respondse, construction, forestry and firefighting,<br />
air tourism, private recreational flight, and pilot training all have<br />
great room for growth.<br />
In 2010, I was sent to establish a general aviation company,<br />
which is now King’s Aviation. It started with aircraft sales and<br />
moved to aircraft operation. On June 13 2012, Shenzhen Kings<br />
Aviation acquired a CAAC Part 91 certification.<br />
After years of exploration and development, Kings Aviation is<br />
now building up its brand and reputation in the <strong>GA</strong> industry. Our<br />
main operations are powerline patrol, forestry, air tourism, pilot<br />
training, serving power cable companies, forestry and firefighting<br />
departments, tourist attractions, and corporate and private<br />
aviation clients.<br />
Currently, we operate out of Guangdong, Yangjiang, with a second<br />
base at Shenzhen Nantou Heliport. These two locations are<br />
pivotal to the services that we provide. For the needs of powerline<br />
patrol operations, Kings Aviation uses over 20 helicopter landing<br />
spots in Hubei, Hunan, Guizhou, Chongqing, Sichuan, and Yunan.<br />
For our forestry operation, we have bases at Jingzhou Shashi<br />
Airport and Wuchang Airport, while tourism operations are based<br />
in Qinghai, Guide and Chaka.<br />
The <strong>GA</strong> market is<br />
limited in terms of<br />
economic scale;<br />
the cake is small<br />
and everybody<br />
wants a piece of it.<br />
What aircraft does Kings Aviation operate?<br />
Currently, we operate two Airbus AS350B3s, one Sikorsky<br />
Schweitzer 300CBi, and we are planning to bring in a medium- or<br />
heavy-size helicopter, as well as fixed-wing aircraft.<br />
What potential do you see in <strong>China</strong>'s <strong>GA</strong><br />
industry?<br />
<strong>China</strong>'s <strong>GA</strong> market is still limited by its small economic scale,<br />
operation restrictions and irrational competition. However,<br />
the <strong>GA</strong> market has huge potential for a number of reasons<br />
What do you consider the industry’s<br />
greatest challenge?<br />
The greatest challenge is still the fact that the <strong>GA</strong> market<br />
is limited in terms of economic scale; the cake is small and<br />
everybody wants a piece of it. The average flying hours per<br />
aircraft are still low and operating cost is increasing, which<br />
dampens business development and growth. For safety reasons,<br />
<strong>GA</strong> operation relies on experienced chief pilots, which causes<br />
a shortage of experienced pilots. Young pilots often don't have<br />
the chance to build up their required flight hours to become an<br />
experienced pilot, causing a problem for <strong>GA</strong> development. Solving<br />
this problem requires effort from many different sides; to train<br />
better personnel and lower the cost of operation.<br />
Still, <strong>GA</strong> is in a better position now than before the government’s<br />
widespread support for the industry. At that time <strong>GA</strong> was<br />
considered on only a small economic scale. There was limited<br />
investment, a restricted operational environment, and a lack of<br />
professional personnel.<br />
What makes Kings Aviation a reputable<br />
company?<br />
Since 2012, keeping “Safety First” in mind, Kings Aviation has<br />
worked hard and built a reputable image by committing to our<br />
customers. The company has a crew with an international<br />
mindset, excellent potential and dedicated behavior. Influenced<br />
greatly by Avion Pacific, Kings Aviation has a company mission<br />
of promoting <strong>China</strong> <strong>GA</strong> development. Our team consists of<br />
international professionals, with outstanding capabilities,<br />
dedication, spirit, and cooperation.<br />
www.kingsaviation.cn<br />
2017 CHINA <strong>GA</strong> REPORT | 35
ROTARY-WING MARKET<br />
The limitation of low altitude airspace still hinders the growth of the entire aviation industry in <strong>China</strong>, including<br />
the rotary-wing market. 57% of the total fleet is turbine, with 519 aircraft in total. Piston follows with 364 (40%)<br />
aircraft. Despite the turbine fleet being larger by 17%, the replacement cost of turbine helicopters is worth 97%<br />
of the market share.<br />
48% of the turbine fleet is clustered in coastal provinces including Guangdong, Shanghai and Shandong, with main<br />
mission segments including offshore in Guangdong, emergency medical service and search and rescue in Shanghai. For<br />
piston helicopter, nearly half are training aircraft, with sightseeing, agriculture and multi-mission segments making up<br />
the rest. Foreign OEMs dominate the <strong>China</strong> market, despite the government policies aimed at promoting Chinese OEMs,<br />
including tax benefits. Chinese manufacturers AVIC only account for 7% of the turbine market share.<br />
Rotary-Wing Fleet by Province<br />
903 in Total<br />
Guangdong<br />
Beijing<br />
100+50+41+36+35+34+26+26+19+18+16+16+15+12+10+10+8+8+6+6+6+5+5+4+4+3+2+2+2+2+1<br />
173<br />
85<br />
70 62 61 60<br />
44 44<br />
32 30 28 27 26<br />
21<br />
17<br />
17 13 13 10 10 10 9 8 6 6 5 4 4 3 3 2<br />
Shanghai<br />
Shandong<br />
Sichuan<br />
Hubei<br />
Henan<br />
Heilongjiang<br />
Chongqing<br />
Hebei<br />
Yunnan<br />
Jiangsu<br />
Zhejiang<br />
Tianjin<br />
Liaoning<br />
Shaanxi<br />
Guizhou<br />
Hunan<br />
Guangxi<br />
Inner Mongolia<br />
Xinjiang<br />
Fujian<br />
Hainan<br />
Anhui<br />
Shanxi<br />
Gansu<br />
Jiangxi<br />
Qinghai<br />
Jilin<br />
Ningxia<br />
Tibet<br />
36 | CHINA <strong>GA</strong> REPORT 2017
ROTARY-WING MARKET<br />
Rotary-Wing Fleet by Type<br />
Total Fleet<br />
Replacement Cost (USD Billions)<br />
Gyroplane 20 (2%) Turbine 519 (57%) Piston (3%)<br />
Turbine (97%)<br />
Piston 364 (40%)<br />
57+40+3+G<br />
903<br />
97+3+G<br />
$3.8<br />
903 in Total<br />
FLEET DISTRIBUTION BY PROVINCE<br />
Number of Piston<br />
Number of Turbine<br />
Number of Gyroplane<br />
29<br />
15<br />
HEILONGJIANG<br />
58<br />
26<br />
1<br />
BEIJING<br />
5 12<br />
LIAONING<br />
3<br />
JILIN<br />
1<br />
9<br />
XINJIANG<br />
4 1<br />
<strong>GA</strong>NSU<br />
4 6<br />
INNER MONGOLIA<br />
4 1 1<br />
SHANXI<br />
7 14<br />
TIANJIN<br />
32<br />
20<br />
10<br />
4<br />
3<br />
NINGXIA<br />
16 12 2<br />
HEBEI<br />
SHANDONG<br />
2<br />
QINGHAI<br />
16<br />
30<br />
11<br />
13<br />
1 JIANGSU<br />
8 9 49<br />
H<strong>EN</strong>AN<br />
SHAANXI<br />
21<br />
TIBET<br />
41<br />
20<br />
SICHUAN<br />
26<br />
2<br />
YUNNAN<br />
SHANGHAI<br />
24<br />
29 29<br />
2 4<br />
8<br />
2<br />
ANHUI<br />
CHONGQING HUBEI<br />
2 2<br />
JIANGXI<br />
8 5<br />
HUNAN 116<br />
10 3<br />
57<br />
GUIZHOU<br />
GUANGDONG<br />
2 8<br />
GUANGXI<br />
16 10<br />
ZHEJIANG<br />
4 5<br />
FUJIAN<br />
6<br />
2<br />
HAINAN<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 37
ROTARY-WING MARKET<br />
TURBINE HELICOPTER MARKET<br />
Turbine Helicopter by Size Category<br />
Light Twin 39 (8%) Single 297 (57%)<br />
Heavy 52 (10%)<br />
Medium 131 (25%)<br />
57+25+10+8+G<br />
519<br />
Reflective of the turbine-helicopter multi-mission segment is<br />
the use of Airbus’ H125, which is the most popular turbinetype<br />
in <strong>China</strong>. There are 89 H125s in the country, representing<br />
17% of the total fleet. Airbus’s H135, H155 and H120 are also<br />
popular models. Bell has the second largest market share,<br />
with the Bell 407 and Bell 206 representing 10% and 7% of<br />
the total fleet. Chinese OEM AVIC also has a stake in the<br />
market, with a 7% share, which includes the AC311, AC312,<br />
H410, H425, Z11 and Z9.<br />
Operating the fleet of 519 turbine helicopters are<br />
approximately 105 operators — 61 of which have only one<br />
or two helicopters on their inventory while the remaining<br />
operators account for 68% of the fleet.<br />
Turbine Helicopter by Mission<br />
Others 14 (3%)<br />
Training 13 (3%)<br />
Charter/Commuter 14 (3%)<br />
SAR 23 (5%)<br />
Powerline 28 (5%)<br />
EMS 29 (6%)<br />
Agriculture 43 (9%)<br />
Sightseeing/Air Tour<br />
47 (9%)<br />
Law Enforcement 54 (11%)<br />
The total number of turbine helicopters in <strong>China</strong> stands at<br />
519 as of mid-2017. Airbus Helicopters continues to have<br />
the largest market share in <strong>China</strong> at 38%, with 197 aircraft.<br />
The French manufacturer’s helicopters in <strong>China</strong> have surpassed the<br />
number in United States, becoming the largest market for the OEM,<br />
in terms of annual booking. Bell Helicopter holds 21% of the market,<br />
followed by Leonardo, with 10%.<br />
37+12+10+9+8+6+5+4+3+3+3+G<br />
519<br />
Turbine-helicopters in <strong>China</strong> are used for varying mission segments,<br />
with 37% of the fleet used for multi-mission segments, followed<br />
by offshore, law enforcement, sightseeing, agriculture and EMS.<br />
Included in the multi-mission segment are helicopters used for<br />
forestry protection operations, including firefighting, which are<br />
used throughout the year. Powerline patrol and agriculture spraying<br />
operations are also increasingly popular and much-needed mission<br />
types, within the multi-mission segment.<br />
Multi-Mission 190 (37%)<br />
Offshore 64 (12%)<br />
<strong>China</strong>’s Citic Offshore Helicopter Company (COHC) is the<br />
largest operator in <strong>China</strong>. The company is heavily involved<br />
in offshore oil operations and pilot services for ships at port,<br />
with 34 helicopters assigned to offshore missions. Models<br />
include AS332L/L1, EC155B/B1, EC225LP and S-92A. COHC<br />
<strong>GA</strong>, a subsidiary of COHC, specializes in powerline patrol and<br />
various multi-mission segments. Their models include the<br />
H425, KA-32, AS350B3 and Z11. CHOC has a total number of<br />
68 turbine helicopters.<br />
State Grid and Shanghai Kingwing <strong>GA</strong> are the second largest<br />
non-state operators. State Grid’s helicopters are used for<br />
powerline missions, including the Bell 206, Bell 429, Bell<br />
407 and AS350B3. Other operators include <strong>China</strong> Southern,<br />
Reignwood and Flying Dragon with focuses on offshore,<br />
charter, agriculture and flight training.<br />
While the fleet of 519 turbine helicopters are spread out<br />
throughout the country, small clusters are situated along<br />
the eastern coast — from North to South. In the Western<br />
part of <strong>China</strong> there are 91 helicopters, leaving the Eastern<br />
countryside with remaining 82%. Large demand alongside<br />
the coast can be seen in areas surrounding Bohai Bay, which<br />
is home to one of the country’s largest oil and gas production<br />
bases, as well as the government-owned <strong>China</strong> National<br />
Offshore Oil Corporation (CNOOC).<br />
Southern <strong>China</strong> accounts for more than 60% of the total<br />
helicopter fleet, thanks to provinces with large fleets such<br />
as the manufacturing hub of Guangdong (116), as well as<br />
Shanghai (49). Guangdong continues to be the province<br />
with the highest number of helicopters. Nearly 90% of the<br />
helicopters in <strong>China</strong> allocated for offshore missions are in<br />
Guangdong, accounting for nearly half of the fleet in this<br />
province. The remaining helicopters are assigned to multimission<br />
use, law enforcement and SAR.<br />
38 | CHINA <strong>GA</strong> REPORT 2017
Turbine Helicopter by OEM<br />
Total Fleet<br />
Kamov 15 (3%)<br />
Robinson 16 (3%)<br />
Russian Helicopters 16 (3%)<br />
Enstrom 21 (4%)<br />
AVIC 38 (7%)<br />
Silkorsky 49 (9%)<br />
38+21+10+9+7+4+3+3+3+2+G<br />
519<br />
Others 6 (2%)<br />
Airbus Helicopters<br />
197 (38%)<br />
Leonardo 53 (10%) Bell 108 (21%)<br />
Replacement Cost (USD Billions)<br />
Russian Helicopters (4%)<br />
AVIC (4%)<br />
Kamov (5%)<br />
Leonardo (11%)<br />
Bell (11%)<br />
37+23+11+10+8+5+4+2+G<br />
$3.7<br />
Others (2%)<br />
Airbus Helicopters (39%)<br />
Sikorsky (24%)<br />
Larger helicopter hubs in Northern <strong>China</strong> are in Beijing (58) and<br />
Shandong (32). Beijing has the second largest fleet in <strong>China</strong>. Out<br />
of its 58 turbine helicopters, 23 are used for powerline patrol, while<br />
the remaining are responsible for multi-mission, law enforcement<br />
and charter. Airbus’ H125 and Bell 407 do particularly well in this<br />
area, accounting for 28% and 24%, respectively.<br />
Shanghai ranks third with a fleet of 49. The helicopter inventory<br />
has kept growing compared to last year, with an addition of five<br />
helicopter in 2017. 19 of the 49 helicopters are used for EMS<br />
services, operated by Shanghai King Wing <strong>GA</strong>. Eight of them are<br />
used for search and rescue missions, operated by the Ministry of<br />
Transportation (Shanghai).<br />
While the fleet of 519<br />
turbine helicopters are<br />
spread out throughout<br />
the country, small<br />
clusters are situated<br />
along theEastern coast.<br />
2017 CHINA <strong>GA</strong> REPORT | 39
ROTARY-WING MARKET<br />
OEM<br />
Model<br />
Fleet<br />
OEM<br />
Model<br />
Fleet<br />
Airbus Helicopters AS332L 2<br />
Airbus Helicopters AS332L1 6<br />
Airbus Helicopters AS350B2 7<br />
Airbus Helicopters AS365N 5<br />
Airbus Helicopters H120 18<br />
Airbus Helicopters H125 89<br />
Airbus Helicopters H130 13<br />
Airbus Helicopters H135 21<br />
Airbus Helicopters H145 1<br />
Airbus Helicopters H155 21<br />
Airbus Helicopters H225 14<br />
AVIC AC311 14<br />
AVIC AC312 2<br />
AVIC H410 2<br />
AVIC H425 14<br />
AVIC Z11 4<br />
AVIC Z9 2<br />
Bell Bell 206 38<br />
Bell Bell 212 3<br />
Bell Bell 407 50<br />
Bell Bell 412EP 2<br />
Bell Bell 427 1<br />
Bell Bell 429 14<br />
Enstrom <strong>EN</strong>480 3<br />
Enstrom <strong>EN</strong>480B 18<br />
Kamov Ka-32 15<br />
Leonardo AW109 7<br />
Leonardo AW109/SP 9<br />
Leonardo AW119 22<br />
Leonardo AW139 15<br />
Leonardo SW-4 1<br />
MD Helicopters MD 500 2<br />
MD Helicopters MD 600 1<br />
MD Helicopters MD 900 1<br />
Robinson R66 16<br />
Russian Helicopters Mi-171 9<br />
Russian Helicopters Mi-26TC 4<br />
Russian Helicopters Mi-8T 3<br />
Schweizer S-333 1<br />
Sikorsky S-76A 3<br />
Sikorsky S-76C 5<br />
Sikorsky S-76C+ 6<br />
Sikorsky S-76C++ 12<br />
Sikorsky S-76D 9<br />
Sikorsky S-92A 14<br />
TOTAL 519<br />
40 | CHINA <strong>GA</strong> REPORT 2017
ROTARY-WING MARKET<br />
PISTON HELICOPTER MARKET<br />
Piston Helicopter by Size Category<br />
Gyroplane 20 (5%)<br />
Piston Helicopter by Mission<br />
Aero-Survey/Photography 9 (2%)<br />
Agriculture 33 (8%)<br />
Sightseeing/Air Tour<br />
61 (16%)<br />
Multi-Mission 99 (26%)<br />
As <strong>China</strong>’s helicopter sector continues to flourish, its piston<br />
fleet stands at 384, as of mid-2017. Its total replacement<br />
value is US$120M, representing only three percent of the total<br />
value of <strong>China</strong>’s helicopter market.<br />
95+5+G<br />
384<br />
47+25+17+8+2+1+G<br />
384<br />
Piston 364 (95%)<br />
Others 8 (1%)<br />
Training 174 (46%)<br />
While turbine helicopters are typically utilized for more critical<br />
mission segments, including search and rescue, offshore operations<br />
and emergency medical services, single-engine pistons are generally<br />
used in the corporate, private and flight training segments. In <strong>China</strong>,<br />
piston helicopters are most used for pilot training (45%), as well as<br />
being used for sightseeing, agriculture and multi-mission operations.<br />
Piston helicopters are often preferred by operators<br />
participating in non-critical mission segments because of the<br />
piston’s low operating cost and relatively easy maintainability.<br />
Helicopter manufacturer Robinson Helicopter Company<br />
dominates <strong>China</strong>’s piston helicopter market, making up 73%<br />
of the market, followed by Schweizer, which makes up 16%.<br />
The Robinson R44 is the most popular model in the country<br />
— and globally — accounting for 54% of the total piston<br />
helicopter fleet. The Robinson R22 makes up 19%, while the<br />
Schweizer 300C makes up 16%.<br />
Helicopter<br />
manufacturer<br />
Robinson Helicopter<br />
Company dominates<br />
<strong>China</strong>’s piston<br />
helicopter market,<br />
holding a 73% share.<br />
In 2013, gyroplanes received airworthiness certificates in<br />
<strong>China</strong>. Currently, there are 14 MTOsport and six AutoGyro<br />
Calidus, most of which are operated in the Shandong<br />
Province. As the only gyroplane training institution in<br />
<strong>China</strong>, Shandong Qi Xiang <strong>GA</strong> has the largest number of<br />
gyroplanes. These are typically used for recreational flying<br />
and private training.<br />
Guangdong Baiyun General Aviation is the operator with the<br />
largest piston fleet, which is made up of mainly R22s and<br />
R44s, used for flight training. Guangzhou Suilian Helicopter,<br />
Xilin Fengteng <strong>GA</strong> and <strong>China</strong> Flying Dragon <strong>GA</strong> follow.<br />
In terms of geography, Guangdong and Sichuan are the<br />
main operating bases for piston helicopters. Henan, Hubei<br />
and Shandong also have strong presence.<br />
42 | CHINA <strong>GA</strong> REPORT 2017
Piston Helicopter by OEM<br />
Total Fleet<br />
Replacement Cost (USD Millions)<br />
Enstrom 5 (1%) Robinson 282 (73%)<br />
Guimbal 15 (4%)<br />
Guimbal (5%)<br />
AutoGyro (1%)<br />
Enstrom (1%)<br />
AutoGyro 20 (5%)<br />
Schweizer 62 (16%)<br />
73+17+5+4+1+G 74+19+5+1+1+G<br />
384<br />
Schweizer (19%)<br />
$120<br />
Robinson (74%)<br />
Servicing the fleet of piston helicopters are 12 maintenance<br />
facilities, providing services to R22 and R44 helicopters. These<br />
maintenance providers are made up of Robinson Helicopter<br />
operators, including one which also provides MRO services to<br />
Schweizer, and helicopter MRO companies.<br />
While <strong>China</strong>’s turbine helicopter fleet is larger than the<br />
piston fleet, the piston market is expected to grow because<br />
of the fast development of the country’s agriculture and<br />
sightseeing industries.<br />
Piston Helicopter by Model<br />
OEM Model Fleet<br />
AutoGyro Calidus 6<br />
AutoGyro MTOsport 14<br />
Enstrom <strong>EN</strong> 280FX 4<br />
Enstrom TH-28 1<br />
Guimbal Cabri G2 15<br />
Robinson R22 72<br />
Robinson R44 210<br />
Schweizer 300C 62<br />
TOTAL 384<br />
2017 CHINA <strong>GA</strong> REPORT | 43
OPERATOR OVERVIEW<br />
As of June 30, 2017, there were 345 CAAC-approved <strong>GA</strong><br />
companies. Between 2014 and 2015, the number of <strong>GA</strong><br />
companies showed a 17.6% growth, with an increase<br />
from 239 to 281. In 2016, the growth decreased to 13.9%, with still<br />
320 <strong>GA</strong> firms. There are around 380 companies and organizations<br />
operating <strong>GA</strong> aircraft.<br />
Civil Aviation Industry Development Statistics in 2016 showed<br />
that <strong>China</strong> had a total <strong>GA</strong> flight mission of 764,700 hours, a 1.8%<br />
decrease from 2015. 2015 saw a 15.4% increase, with a total of<br />
779,000 hours. In 2016, a slower growth rate in <strong>GA</strong> corporations<br />
accompanied the negative increase in the total <strong>GA</strong> mission hours,<br />
however, the numbers for the first half of 2017 seem to be better<br />
than that of 2016 already.<br />
The 12th Five-Year Plan (2011-2015) fostered and developed<br />
several backbone <strong>GA</strong> companies, which acted as a driving force<br />
to the <strong>GA</strong> industry. The 13th Five-Year Plan (2016-2020) intends<br />
to follow suit. In 2016, a total of RMB 277M (US$41.55M) was<br />
invested into <strong>GA</strong> enterprises by civil aviation. In 2017, the budget<br />
for special projects is RMB 326M (US$48.9M), a 17.7% increase<br />
from last year.<br />
The five operators that received the largest subsidies in 2016<br />
were: Beidahuang <strong>GA</strong> (RMB 32.06M; US$4.81M), CITIC Offshore<br />
Helicopter Company (COHC) (RMB 27.84M; US$4.18M), <strong>China</strong><br />
Flying Dragon <strong>GA</strong> (RMB 20.78M; US$3.1M), Xinjiang <strong>GA</strong> (RMB<br />
15.49M; US$2.3M) and Shandong <strong>GA</strong> (RMB 12.80M; US$1.8M).<br />
COHC, and its subsidiary, together received the largest subsidy<br />
amount among all <strong>GA</strong> operators, with RMB 38.14M (US$5.72M).<br />
Under the Provision on Capital Management of Special Project<br />
for General Aviation (Temporary), released by the CAAC financial<br />
department, there are four types of operations eligible for<br />
subsidization: (1) agriculture, farming and farming slight (sowing,<br />
spray, fertilization, deratization, forestry, artificial weather, etc);<br />
(2) industrial flight (fuel, power mission, aero-photography,<br />
climate investigation, marine monitoring, etc); (3) community<br />
service flight (medical and rescue, scientific experiment, geology<br />
exploration, urban fire control, etc); and (4) mission flights that<br />
carry out national emergency rescue.<br />
High operating costs, uneven mission distribution, insufficient<br />
economic capacity, underdeveloped <strong>GA</strong> facilities and low-altitude<br />
airspace restrictions are the prevailing problems encountered by<br />
most of the <strong>GA</strong> enterprises, at a time when the industry is still in its<br />
start-up phase. Meanwhile, government subsidization toward <strong>GA</strong><br />
missions can greatly reduce the operating costs of the industry.<br />
<strong>GA</strong> companies seldom have annual profit of over RMB 10M<br />
(US$1.5M) and some are still struggling with achieving a balance<br />
of payments, as the country gives priority to the development<br />
of air ambulance and rescue services. Provincial government<br />
and corporations already have plans underway for the industry’s<br />
development, for instance, the introduction of fixed and rotarywing<br />
air ambulance, improvements in highway services, tourist<br />
area landing spots and hospital rooftop helipads. Rescue<br />
practice is also performed with hospital and police authorities.<br />
Public-oriented sightseeing tours, commuting services, and noncommercial<br />
enterprise and private flying are fields that require<br />
extra effort from the industry in the coming future, for further<br />
development of the market.<br />
Number of <strong>GA</strong> Operators in <strong>China</strong> 2007-2016<br />
Number of <strong>GA</strong> Operators<br />
% Change<br />
350 35%<br />
320<br />
300<br />
281<br />
30%<br />
250<br />
239<br />
25%<br />
200<br />
189<br />
20%<br />
146<br />
150<br />
123<br />
15%<br />
111<br />
89<br />
103<br />
100 68<br />
10%<br />
50<br />
0<br />
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016<br />
5%<br />
0%<br />
Data Source: <strong>GA</strong>MA and 2016 Civil Aviation Industry Development Statistics Bulletin<br />
44 | CHINA <strong>GA</strong> REPORT 2017
OPERATOR OVERVIEW<br />
Top Operators * - Business Jet Operator Distribution by Fleet -<br />
Business Jet<br />
50+46+14+14+14+12+12+12+9+7<br />
Deer Jet<br />
BAA<br />
<strong>China</strong> Eastern<br />
Sino Jet<br />
TAG Aviation<br />
Hongkong Jet<br />
Nanshan Jet<br />
ZYB Lily Jet<br />
Sparkle Roll Jet<br />
Beijing Airlines<br />
7<br />
9<br />
14<br />
14<br />
14<br />
12<br />
12<br />
12<br />
46<br />
50<br />
>20<br />
11-20<br />
3-10<br />
1-2<br />
* <strong>China</strong> Ocean Aviation, <strong>China</strong> United, Flight Inspection Center of CAAC and CAFUC are<br />
not shown in this list.<br />
2<br />
7<br />
17<br />
28<br />
Top Operators -<br />
Turboprop & Piston Fixed-Wing<br />
Operator Distribution by Fleet -<br />
Turboprop & Piston Fixed-Wing<br />
CAFUC<br />
Beidahuang <strong>GA</strong><br />
Hainan Aviation Academy<br />
Phoenix Flying College<br />
Civil Aviation Univercity of <strong>China</strong><br />
AVIC <strong>GA</strong>C<br />
<strong>China</strong> Flying Dragon <strong>GA</strong><br />
Xinjiang <strong>GA</strong><br />
Hubei Sky-Blue Academy<br />
Jiutian Flight Academy<br />
210<br />
100+41+22+22+20+19+18+17+15+15<br />
39<br />
31<br />
46<br />
42<br />
36<br />
32<br />
46<br />
40<br />
87<br />
>20<br />
11-20<br />
3-10<br />
1-2<br />
14<br />
17<br />
65<br />
88<br />
Top Operators* - Helicopter Operator Distribution by Fleet -<br />
Helicopter<br />
68+30+26+24+22+21+20+19+19+17+17<br />
COHC<br />
<strong>China</strong> Flying Dragon <strong>GA</strong><br />
Shanghai Kingwing <strong>GA</strong><br />
State Grid <strong>GA</strong><br />
Southern <strong>GA</strong><br />
Reignwood Star<br />
Guangdong Baiyun <strong>GA</strong><br />
Guangzhou Suilian <strong>GA</strong><br />
Xilin Fengteng <strong>GA</strong><br />
Chongqing <strong>GA</strong><br />
Hubei Tongcheng <strong>GA</strong><br />
17<br />
20<br />
19<br />
17<br />
24<br />
22<br />
21<br />
19<br />
26<br />
30<br />
68<br />
>20<br />
11-20<br />
3-10<br />
1-2<br />
* <strong>China</strong> National Police and Ministry of Transport (MOT) are not shown in this list.<br />
6<br />
7<br />
69<br />
101<br />
2017 CHINA <strong>GA</strong> REPORT | 45
COMPANY PROFILE: XIHUA AVIATION<br />
EXPANDING G<strong>EN</strong>ERAL<br />
AVIATION IN CHINA<br />
INTERVIEW WITH DAJUN LI,<br />
DIRECTOR, XIHUA AVIATION<br />
Interview by Litalia Yoakum<br />
In a move to facilitate the development of civil aviation in Sichuan province, the local government requested<br />
Chengdu Aircraft Industrial (Group) Company, a subsidiary of state-owned Aviation Industry Corporation of<br />
<strong>China</strong> (AVIC), to establish the first general aviation company in the province. In 1996, experienced technicians<br />
and managerial staff were appointed to set up Huaxi <strong>GA</strong> Company. After restructuring, the company evolved into<br />
Xihua Aviation in early 2017; officially known as Sichuan Xihua <strong>GA</strong> Company Limited.<br />
What services does Xihua Aviation provide?<br />
At the moment, approximately 30% of aero-surveying missions<br />
in the South-Western region are undertaken by Xihua Aviation.<br />
A notable amount of our aero-captured geographical data was<br />
provided to the Bureau of Surveying and Mapping, Xi’an Research<br />
Institute of Surveying and Mapping, Western War Zone and State<br />
Bureau of Surveying and Mapping.<br />
Xihua Aviation participated in several rescue and reconstruction<br />
missions: Sichuan earthquake in 2008, Lushan earthquake in<br />
2013, and the Sichuan landslide and Jiuzhaigou earthquake in<br />
2017.<br />
The first aviation-police detachment in the Sichuan province<br />
was set up under the assistance of Xihua Aviation they execute<br />
police service flights such as patrolling, rescue, law enforcement<br />
and anti-terrorism. With participation in the anti-terrorist drills<br />
and emergency rescue practices, which are organized by<br />
the Ministry of Public Security and Sichuan Provincial Public<br />
46 | CHINA <strong>GA</strong> REPORT 2017
COMPANY PROFILE: XIHUA AVIATION<br />
Security Department, we have built a reputable image in the<br />
industry. Moreover, Xihua Aviation is the first enterprise in the<br />
country to use 12IV-type and Y-12E aircraft in agriculture and<br />
forestry missions.<br />
Xihua Aviation is the<br />
first <strong>GA</strong> company<br />
located in the South-<br />
Western region that<br />
simultaneously<br />
operates fixed-wing<br />
and rotary-wing<br />
aircraft.<br />
What aircraft does Xihua Aviation operate?<br />
Xihua Aviation is the first <strong>GA</strong> company located in the South-<br />
Western region that simultaneously operates fixed and rotarywing<br />
aircraft. Additionally, we are the only <strong>GA</strong> firm that is equipped<br />
with high, mid and low-altitude operation capability. With a stable<br />
development, the company is continuously expanding the fleet<br />
through aircraft additions with a broader model range. Currently,<br />
we are operating a 15-aircraft fleet with seven model types. Fixedwing<br />
aircraft models include King Air 350ER, C90GTI, Cessna<br />
208B, Y5B, and JA600; helicopters models include the AC311 and<br />
R44II.<br />
How do you feel about the development of<br />
the <strong>GA</strong> market and its potential?<br />
In 2016, the State Council released “Instructions on <strong>GA</strong><br />
Development Facilitation”, a significant move after perceiving the<br />
country’s strategic development and trend. CAAC department<br />
supervisors followed the country’s steps, delivering a series of<br />
reform policies and the provincial government also responded by<br />
forming a <strong>GA</strong> development framework. A remarkable period with<br />
immense opportunities and chances, like now, has been longwaited<br />
by generations of industry professionals.<br />
Based on the experience of <strong>GA</strong>-developed countries, we are<br />
optimistic towards the potential of the <strong>GA</strong> consumption<br />
market. At the current stage, the <strong>GA</strong> market is dominated<br />
by government services, such as urban-function safeguards<br />
(police and fire fighting), medical services (rescue and medical<br />
transfer) and emergency services. Community service has a<br />
prominent nature in favoring public interests, and hence, the<br />
government has a better capability to carry out the services.<br />
When community services are highly correlated with citizens’<br />
living standard, the <strong>GA</strong> acceptance level by the public is raised.<br />
Community service growth is beneficial to social equality, which<br />
helps push forward the management reformation. Community<br />
service requires a secured airport network, which can also<br />
be utilized in private flying. When the necessary conditions<br />
are gradually fulfilled, private flying can be a customized<br />
consumption with favorable prospect.<br />
What were the challenges prior to the<br />
government’s loosening of restrictions?<br />
Survival.<br />
What is a major challenge of the<br />
industry today?<br />
<strong>GA</strong> is an industry with strong professionalism and high safety<br />
pressure. In recent years, the country keeps expanding the<br />
support towards <strong>GA</strong> development, which raises awareness<br />
from society and capital inflow to the industry. This creates a<br />
great pushing force to the <strong>GA</strong> sector. Since time and patience<br />
are highly required in <strong>GA</strong>’s development, we believe that the<br />
major challenge is to strive for an equilibrium between long-term<br />
commitment and capital’s profit-oriented nature.<br />
2017 CHINA <strong>GA</strong> REPORT | 47
INFRASTRUCTURE OVERVIEW<br />
Infrastructure insufficiency is a significant hurdle to <strong>China</strong> <strong>GA</strong> development. Despite its second-place rank in the number<br />
of flights globally, <strong>China</strong> falls behind other <strong>GA</strong>-developed countries, including the US, Canada, Australia and Brazil. Civil<br />
airports and airport-supporting facilities are two significant components of <strong>GA</strong> infrastructure.<br />
A civil airport can be divided into an air carrier airport and <strong>GA</strong><br />
airport. An air carrier airport is a civil airport with scheduled flights;<br />
224 are already built. The existing airports are operational bases<br />
for most business jets, and a portion of them are also equipped<br />
with <strong>GA</strong> service capabilities. A <strong>GA</strong> airport is regarded as an airport<br />
that is neither for military use, nor serving scheduled flights. <strong>GA</strong><br />
airports can be categorized into Type A and B: Type A is open to<br />
the public; while Type B is non-public.<br />
In 2010, there were 286 <strong>GA</strong> airports and temporary landing spots<br />
(certified: 43; non-certified: 243); while in 2015, the number of <strong>GA</strong><br />
airports and landing spots increased to 400. According to Asian<br />
Sky Group’s statistics, there are 913 <strong>GA</strong> airports and temporary<br />
landing spots in the country. 74 <strong>GA</strong> airports are certified<br />
(including 20 heliports), and the number of non-certified fixedwing<br />
<strong>GA</strong> airports is 204, 33 heliports without certification, and<br />
over 602 helipad or designated landing spots.<br />
Under the Provision on <strong>GA</strong> Airport Classification, released on April<br />
24th, 2017, Type A can be further divided into three subtypes:<br />
• A1: <strong>GA</strong> airports with commercial flight activities using an<br />
aircraft suitable for 10 passengers and above;<br />
• A2: <strong>GA</strong> airports with commercial flight activities using an<br />
aircraft suitable for five to nine passengers;<br />
• A3: <strong>GA</strong> airports that are not included in A1 and A2.<br />
Among the 602 landing spots, including helipads built by hospitals,<br />
the main purpose is to serve emergency medical flights. Henan<br />
province, with 104 hospital-constructed landing spots, is the<br />
pioneer in air ambulance support, and sets up landing spots at<br />
locations such as stadiums, squares, parks and schools. There<br />
will be 850 international-standardized bases for emergency air<br />
rescue by 2020. Apart from emergency-use landing spots, there<br />
are landing spots for forest protection and tourism.<br />
48 | CHINA <strong>GA</strong> REPORT 2017
INFRASTRUCTURE OVERVIEW<br />
A temporary landing spot, in general, has one-year validity, which<br />
will be subsequently cancelled if no renewal is made before<br />
expiry. Meanwhile, temporary landing spots can be upgraded,<br />
into different classes of <strong>GA</strong> airports.<br />
The country plans to have 500 <strong>GA</strong> airports and a batch of<br />
landing spots by 2020; in 2030, 2,000 airports are expected to be<br />
constructed, with an ambitious target of having at least one <strong>GA</strong><br />
airport in each of the 2,800 counties.<br />
<strong>GA</strong> Airports, Heliports & Helipads by Province<br />
160<br />
Fixed-Wing General Aviation Airport<br />
Heliport<br />
Helipad and Landing Spot<br />
140<br />
120<br />
100<br />
Xinjiang<br />
Number of <strong>GA</strong> Airports and Landing Spots<br />
68<br />
17<br />
19<br />
5<br />
7<br />
13<br />
Heilongjiang<br />
Liaoning<br />
Guangdong<br />
Inner Mongolia<br />
Shandong<br />
Shaanxi<br />
Beijing<br />
4<br />
Jiangsu<br />
10<br />
Sichuan<br />
Jiangxi<br />
Zhejiang<br />
Hubei<br />
Hebei<br />
Shanghai<br />
25<br />
Yunnan<br />
9 1<br />
Henan<br />
Fujian<br />
Jilin<br />
Shanxi<br />
Guangxi<br />
Tianjin<br />
Hunan<br />
Hainan<br />
Ningxia<br />
Chongqing<br />
Anhui<br />
Gansu<br />
Guizhou<br />
QInghai<br />
Tibet<br />
3 9<br />
24<br />
80<br />
60<br />
40<br />
30<br />
20<br />
10<br />
0<br />
78<br />
2 64<br />
7<br />
7 2 51<br />
6 3 3<br />
4 10<br />
5<br />
4 5 3<br />
4 4 45<br />
3 4 11<br />
44<br />
6<br />
3 3 8<br />
21<br />
1 5<br />
3 165<br />
1<br />
1 3 7<br />
3 2<br />
3 3<br />
2 1<br />
21<br />
2 1 9<br />
2 1 6<br />
1 2 4<br />
2 2<br />
1 1 7<br />
1 1 1<br />
1 1<br />
19<br />
3<br />
0<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 49
INFRASTRUCTURE OVERVIEW<br />
COMMERCIAL SERVICE AIRPORTS<br />
Commercial service airports serve the needs of both public air transportation and <strong>GA</strong> services. As of December 31,<br />
2016, there were 218 operational commercial service airports in <strong>China</strong>, with the number increased to 224 by<br />
June 2017. In 2016, the country’s total passenger traffic though commercial service airports was 1.16 billion,<br />
an increase of 11.1% from 915 million in 2015. By 2020, the number is estimated to reach 1.5 billion, with the number of<br />
commercial service airports expected to be 260. Commercial airline passenger traffic concentrates on hub airports, with<br />
the top 21 airports accounting for above 70% of the country’s traffic. The “east-dense, west-sparse” airport density fully<br />
reflects the country’s uneven distribution of population, resulting in the airport’s uneven distribution of revenue.<br />
XINJIANG<br />
• Ürümqi<br />
• Yining<br />
• Karamay<br />
• Bortala<br />
• Hotan<br />
• Hami<br />
• Kashgar<br />
• Tacheng<br />
• Buerjin<br />
• Korla<br />
• Kuqa<br />
• Nalati<br />
• Aksu<br />
QINGHAI<br />
• Altay<br />
• Qiemo<br />
• Turpan<br />
• Fuyun<br />
• Shihezi<br />
<strong>GA</strong>NSU<br />
• Lanzhou<br />
• Jiayuguan<br />
• Tianshui<br />
• Qingyang<br />
• Zhangye<br />
• Jiuquan<br />
• Gannan<br />
• Jinchang<br />
NINGXIA<br />
• Zhongwei<br />
• Guyuan<br />
• Yinchuan<br />
• Golmud<br />
• Yushu<br />
• Xining<br />
• Golog<br />
• Delingha<br />
• Huatugou<br />
HUBEI<br />
SHAANXI<br />
• Yanan<br />
• Yulin<br />
• Hanzhong<br />
• Xi’an<br />
• Ankang<br />
TIBET<br />
• Lhasa<br />
• Changdu<br />
• Linzhi<br />
• Shigatse<br />
• Ngari<br />
• Yichang<br />
• Enshi<br />
• Wuhan<br />
• Xiangfan<br />
• Shiyan<br />
• Shennongjia<br />
CHONGQING<br />
• Wanzhou<br />
• Chongqing<br />
• Qianjiang<br />
HUNAN<br />
• Changde<br />
• Zhangjiajie<br />
• Huaihua<br />
• Yongzhou<br />
• Hengyang<br />
• Changsha<br />
SICHUAN<br />
• Jiuzhaigou<br />
• Nanchong<br />
• Jiuzhaigou<br />
• Guangyuan<br />
• Chengdu<br />
• Panzhihua<br />
• Huzhou<br />
• Ganzi<br />
• Daocheng<br />
• Mianyang<br />
• Liangshan<br />
• Dazhou<br />
• Hongyuan<br />
GUIZHOU<br />
• Liupanshui<br />
• Qianxinan<br />
• Qiandongnan<br />
• Anshun<br />
• Bijie<br />
• Guiyang<br />
• Zunyi<br />
• Tongren<br />
• Liping<br />
• Qiannanzhou<br />
YUNNAN<br />
• Lincang<br />
• Lijiang<br />
• Baoshan<br />
• Dali<br />
• Dehong<br />
• Wenshan<br />
• Kunming<br />
• Zhaotong<br />
• Puer<br />
• Tengchong<br />
• Xishuangbanna<br />
• Diqing<br />
• Ninglang<br />
• Cangyuan<br />
50 | CHINA <strong>GA</strong> REPORT 2017
INFRASTRUCTURE OVERVIEW<br />
INNER MONGOLIA<br />
JILIN<br />
• Yanbian<br />
• Tonghua<br />
• Changchun<br />
• Baishan<br />
• Baicheng<br />
• Huolin Gol<br />
• Ulanqab<br />
• Zhalantun<br />
• Ejin<br />
HEILONGJIANG<br />
• Yichan<br />
• Jiamusi<br />
• Harbin<br />
• Daqing<br />
• Fuyuan<br />
• Jiagedaqi<br />
• Mohe<br />
• Mudanjiang<br />
• Jixi<br />
• Heihe<br />
• Qiqihar<br />
• Alxa Left Banner<br />
• Alxa Right Banner<br />
• Ulanhot<br />
• Wuhai<br />
• Erenhot<br />
• Baotou<br />
• Hulun Buir<br />
• Hohhot<br />
• Bayannur<br />
• Manzhouli<br />
• Chifeng<br />
• Tongliao<br />
• Ordos<br />
• Xilin Gol<br />
• Hinggan<br />
LIAOLING<br />
TIANJIN<br />
• Tianjin<br />
BEIJING<br />
• Beijing Capital<br />
• Beijing Nanyuan<br />
HEBEI<br />
• Tangshan<br />
• Zhangjiakou<br />
• Chengde<br />
• Shijiazhuang<br />
• Qinhuangdao<br />
• Handan<br />
• Dandong<br />
• Dalian<br />
• Chaoyang<br />
• Shenyang<br />
• Yingkou<br />
• Jinzhou<br />
• Anshan<br />
• Changhai<br />
SHANDONG<br />
GUANGXI<br />
• Beihai<br />
• Nanning<br />
• Liuzhou<br />
• Guilin<br />
• Hechi<br />
• Baise<br />
• Wuzhou<br />
HAINAN<br />
• Sanya<br />
• Sansha<br />
• Haikou<br />
• Qionghai<br />
GUANGDONG<br />
• Foshan<br />
• Guangzhou<br />
• Huizhou<br />
• Jieyang<br />
• Meizhou<br />
• Shenzhen<br />
• Zhanjiang<br />
• Zhuhai<br />
JIANGXI<br />
• Jian<br />
• Nanchang<br />
• Yichun<br />
• Jingdezhen<br />
• Ganzhou<br />
FUJIAN<br />
• Xiamen<br />
• Nanping<br />
• Quanzhou<br />
• Fuzhou<br />
• Longyan<br />
• Sanming<br />
SHANGHAI<br />
• Pudong<br />
• Hongqiao<br />
ZHEJIANG<br />
• Jinhua<br />
• Taizhou<br />
• Ningbo<br />
• Hangzhou<br />
• Wenzhou<br />
• Zhoushan<br />
• Quzhou<br />
H<strong>EN</strong>AN<br />
• Nanyang<br />
• Luoyang<br />
• Zhengzhou<br />
ANHUI<br />
• Hefei<br />
• Anqing<br />
• Chizhou<br />
• Fuyang<br />
• Huangshan<br />
JIANGSU<br />
• Nanjing<br />
• Nantong<br />
• Changzhou<br />
• Xuzhou<br />
• Yangzhou<br />
• Wuxi<br />
• Huaian<br />
• Yancheng<br />
• Lianyungang<br />
SHANXI<br />
• Lvliang<br />
• Datong<br />
• Taiyuan<br />
• Xinzhou<br />
• Yuncheng<br />
• Changzhi<br />
• Linfen<br />
• Dongying<br />
• Linyi<br />
• Weihai<br />
• Rizhao<br />
• Jinan<br />
• Jining<br />
• Weifang<br />
• Yantai<br />
• Qingdao<br />
Note: Alxa Right, Alxa Left and Ejin Banner are commuter airports,<br />
operating aircraft with 30 to 60 seats.<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 51
INFRASTRUCTURE OVERVIEW<br />
<strong>GA</strong> AIRPORTS<br />
As of June 30, 2017, there are 74 CAAC approved <strong>GA</strong> airports, with eight located in the Guangdong Province.<br />
Shandong Province follows with 6 <strong>GA</strong> airports, while Beijing and Jiangsu Province both have 5 airports. <strong>GA</strong><br />
airports usually serve flights with the following purposes: pilot training, powerline patrol, sightseeing, scientific<br />
investigation, entertainment, air show, aero-surveying, forestry and protection and agriculture. Under extraordinary<br />
occasions, <strong>GA</strong> flights and scheduled flights can use the facility simultaneously.<br />
Shihezi<br />
Xilinhot Bayin Baolige<br />
Urad Middle Banner<br />
Shijiazhuang Luancheng<br />
Datong<br />
Huangye<br />
Yinchuan Yueya Lake<br />
Yanchi <strong>GA</strong><br />
Anyang Northern Suburb<br />
Pingyin Xiaozhi <strong>GA</strong><br />
Pucheng <strong>GA</strong><br />
Shangjie<br />
Hubei Xiantao<br />
Suizhou Lishan <strong>GA</strong><br />
Shashi<br />
Jingmen Zhanghe<br />
Fixed-Wing General Airport<br />
Heliport<br />
Taipingsi <strong>GA</strong><br />
Guanghan<br />
Xinjin<br />
Suining<br />
According to the latest version of the government-approved<br />
Investment Project Catalogue, the approval examination<br />
process is currently passed down to the provincial department.<br />
Nonetheless, the examination has to pass through several<br />
government entities: military, CAAC, provincial Department<br />
of Environmental Protection, provincial Water Resources<br />
Department, provincial Office of Land and Resources, provincial<br />
Development and Reform Commission, Earthquake Management<br />
Department, Cultural Relics Investigation Team, Surveying and<br />
Mapping Institute and Prospecting Team and others.<br />
With encouragement for aviation development and local<br />
government urban planning, a portion of <strong>GA</strong> airports are under<br />
planning to relocate and upgrade. Other <strong>GA</strong> airport innovations<br />
and expansion are made upon needs, but are required to maintain<br />
the capability to serve the <strong>GA</strong> industry.<br />
Apart from CAAC approved airports, other kinds of airports are also<br />
in operation in the country. There are more than 421 <strong>GA</strong> airports and<br />
temporary landing points, serving the purpose of agriculture, pilot<br />
training, aircraft test flight and other mission segments.<br />
52 | CHINA <strong>GA</strong> REPORT 2017
INFRASTRUCTURE OVERVIEW<br />
Genhe Aolu Guya<br />
Moergen <strong>GA</strong><br />
Pinggu Jinhaihu<br />
Dingling<br />
Beijing Miyun<br />
Beijing Beianhe<br />
Beijing Badalin<br />
Binhai Douzhuang<br />
Tianjin Tanggu<br />
Binhai Eastern <strong>GA</strong><br />
Beidahuang<br />
Jagdaqi<br />
Baicheng <strong>GA</strong><br />
Yushu <strong>GA</strong><br />
Faku Caihu<br />
Anshan <strong>GA</strong><br />
Hebei Pingquan<br />
Hebei Qianan<br />
Panjin Chenjia<br />
Hainan Xiqing<br />
Hainan Eastern <strong>GA</strong><br />
<strong>China</strong> Southern Sanya<br />
Luoding<br />
Zhongshan Sanjiao<br />
Guangzhou Shawan<br />
Shenzhen Nantou<br />
Zhuhai Jiuzhou<br />
Yangjiang Heshan<br />
Zhanjiang Xintang<br />
Zhanjiang Potou<br />
Ningguo Qinglongwan<br />
Jingdezhen Lumeng<br />
Jiujiang Weijia<br />
Ji’an Tongping <strong>GA</strong><br />
Fuzhou Zhuzhi<br />
Xiamen Xiajinwan<br />
Nanchang<br />
Shanghai<br />
Huashan Hospital<br />
Longhua<br />
Tianzi Lake<br />
Jiande <strong>GA</strong><br />
Zhoushan Wudao<br />
Dongyang <strong>GA</strong><br />
Xuzhou Agricultural<br />
Nanjing<br />
Zhenjiang Dalu <strong>GA</strong><br />
Jiangyin<br />
Ruohang Suzhou<br />
Binzhou Dagao<br />
Penglai<br />
Dezhou Pingyuan <strong>GA</strong><br />
Shandong Laiwu<br />
Jinan Agricultural<br />
2017 CHINA <strong>GA</strong> REPORT | 53
INFRASTRUCTURE OVERVIEW<br />
AIRPORT DEVELOPM<strong>EN</strong>T<br />
According to the 13th Five-Year Plan, the number of<br />
<strong>GA</strong> airports will exceed 500 by 2020; while under the<br />
provincial and enterprise planning, there will be 578 new<br />
<strong>GA</strong> airports built between 2017 and 2020, with investment of over<br />
140 billion RMB (US$21B). By the end of 2020, the number of inoperation<br />
<strong>GA</strong> airports (including A1 and A2 type) is expected to<br />
be over 700.<br />
Civil airports can be divided into commercial service airport and<br />
<strong>GA</strong> airport. <strong>GA</strong> airports are regarded as an airport that is neither<br />
for military use, nor serving scheduled flights. <strong>GA</strong> airport can be<br />
categorized into A and B type, in which type A is opening to public<br />
and type B is non-public.<br />
Among the currently under-construction A1 and A2 <strong>GA</strong> airports,<br />
their construction sites include major agricultural production<br />
districts, forest regions, certificated 5A tourist attractions, vast<br />
territories with traffic inconvenience, <strong>GA</strong> industrial zones, training<br />
schools, etc. A3 <strong>GA</strong> airport construction points include highway<br />
service stops (helipad), first class hospitals (helipad), qualified<br />
tourism areas, agricultural production regions, etc.<br />
<strong>GA</strong> airport and infrastructure insufficiencies are headwinds to<br />
<strong>China</strong> <strong>GA</strong> industry development. The scale of the <strong>GA</strong> operation<br />
used to be relatively small, causing a low investment intention.<br />
The unsatisfying level of deregulation causes under-development<br />
in <strong>GA</strong> airport infrastructure and slowing down the overall <strong>GA</strong><br />
development progress. In the 12th Five-Year Plan, government<br />
encourages enterprises to build more <strong>GA</strong> airports; while in the<br />
13th Five-Year Plan, a target of having 500 <strong>GA</strong> airports is clearly<br />
established, as well as a higher level of deregulation.<br />
47+3+50+ G<br />
Xinjiang<br />
3<br />
100+ G<br />
Tibet<br />
47<br />
5+1+94+ G<br />
5 1<br />
Qinghai<br />
14+1+85+<br />
1<br />
G<br />
Gansu<br />
Within the vast territories, such as Xinjiang, Qinghai and Inner<br />
Mongolia, the importance of <strong>GA</strong> flight emerges. The northwestern<br />
area is massive, for example, Qinghai is eight times<br />
bigger than France with an area of 720,000sqkm. The most<br />
eastern and western sides of Qinghai are 1,000km apart, and the<br />
vertical distance between Xining and Haixi Perfecture is 400km.<br />
The center is a large piece of “No Man’s Land” and it would take six<br />
to seven hours to travel by driving. If the commuting time can be<br />
reduced to one hour with the <strong>GA</strong> flight, the regional convenience<br />
will be greatly increased. In some scenic areas, sightseeing air<br />
tours can be a new form of touristic activity for the public. The<br />
distance in the remote area imposes obstacle to the rescue team<br />
of in the event of a natural disaster. The government, therefore,<br />
pushes the <strong>GA</strong> airports to a strategic level, with both motivating<br />
the economy and boosting employment, as well as opening the<br />
industry for military use.<br />
By 2020, airport number 13 planned to reach 260. New airports<br />
such as Beijing Daxing International, Chengdu Tianfu International,<br />
Pearl River Delta, and Qingdao Jiaodong International airports,<br />
along with several others, will help solve the growing demand for<br />
civil aviation.<br />
Note: The map includes A1 and A2 level <strong>GA</strong> airports, and commercial<br />
service airport planned for 2017-2020.<br />
54 | CHINA <strong>GA</strong> REPORT 2017
INFRASTRUCTURE OVERVIEW<br />
Heilongjiang<br />
21+2+77+ G<br />
21<br />
2<br />
24+3+73+<br />
Sichuan<br />
24<br />
G3<br />
51+3+46+ G<br />
Yunnan<br />
3<br />
Inner Mongolia<br />
31<br />
3+1+96+ G<br />
Ningxia<br />
Chongqing<br />
51<br />
21+2+77+ G<br />
Guizhou<br />
35+4+61+ G<br />
2+3+95+ G<br />
Shaanxi<br />
21<br />
2 3<br />
5<br />
5+3+92+<br />
3<br />
G<br />
2<br />
4<br />
35<br />
19+1+80+ G<br />
Guangxi<br />
12+1+87+ G<br />
Shanxi<br />
3<br />
19<br />
19+2+79+ G<br />
Hubei<br />
19<br />
19+1+80+ G<br />
25+1+74+ G 100+ G<br />
12<br />
1<br />
Hebei<br />
2<br />
Beijing<br />
25<br />
11+5+84+ G<br />
14+7+79+ G<br />
1<br />
Hunan<br />
Henan<br />
14<br />
7<br />
Guangdong<br />
11<br />
5<br />
1<br />
19<br />
1<br />
33+3+64+ G<br />
15+1+84+ G<br />
Jiangxi<br />
Tianjin<br />
4+2+94+ G<br />
4 2<br />
Anhui<br />
15<br />
1<br />
19+2+79+ G<br />
19<br />
2<br />
10+4+86+ G<br />
Fujian<br />
8<br />
8+3+89+<br />
3<br />
G<br />
Jilin<br />
1+1+98+ G<br />
10<br />
4<br />
11<br />
Liaoning<br />
71+29+ G<br />
Jiangsu<br />
37+2+61+ G<br />
Zhejiang<br />
71<br />
100+ G<br />
33<br />
3<br />
Shandong<br />
2<br />
37<br />
Shanghai<br />
Number of Commercial Service Airports<br />
Number of <strong>GA</strong> Airports<br />
14+6+80+ G<br />
Hainan<br />
14<br />
6<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 55
INFRASTRUCTURE OVERVIEW<br />
AVIATION INDUSTRIAL ZONES<br />
Province City Name Province City Name<br />
GUANGDONG<br />
Guangzhou<br />
Guangzhou Airport Economic<br />
SHANGHAI<br />
Shanghai<br />
Shanghai Linggang Pilot Free Trade Zone<br />
Demonstration Zone<br />
Shanghai<br />
Qingpu Industrial Park<br />
Zhuhai<br />
Zhuhai Economic and<br />
Technological Development Zone<br />
YUNNAN<br />
Kunming<br />
Kunming Helicopter <strong>GA</strong><br />
Integrated Service Centre<br />
SHANDONG<br />
Linyi<br />
Linyi Airport Economic Zone<br />
Weihai<br />
Jinan<br />
Binzhou<br />
Weifang<br />
Yantai<br />
Yantai<br />
Weihai Industrial Park<br />
Jinan Industrial Park<br />
Binzhou Dagao <strong>GA</strong> Industrial Park<br />
Zhucheng Industrial Park<br />
Yantai Industrial Park<br />
Nanshan Industrial Park<br />
INNER<br />
MONGOLIA<br />
Baotou<br />
Huheaote<br />
Chifeng<br />
Hulunbeier<br />
Eerduosi<br />
Baotou Zhongxiang <strong>GA</strong> Industrial Park<br />
Hohhot <strong>GA</strong> Industrial Park<br />
Chifeng <strong>GA</strong> Industrial Park<br />
Dalai Nur Industrial Park<br />
Ordos Equipment Manufacture Base<br />
Laiwu<br />
Qingdao<br />
Laiwu Aero Sports Base<br />
Qingdao Aerotropolis<br />
BEIJING<br />
Beijing<br />
Beijing<br />
Beijing Tianzhu Airport Industrial Zone<br />
Zhongguan Airport Economy Zone<br />
GUANGXI<br />
Nanning<br />
Qingzhou<br />
Nanning <strong>GA</strong> Industrial Park<br />
Qinzhou Free Trade <strong>GA</strong> Industrial Park<br />
Beijing<br />
Beijing<br />
Beijing<br />
Pinggu General Aviation Industrial Park<br />
Miyun General Aviation Industrial Park<br />
Beijing Aviation Industrial Park<br />
JIANGSU<br />
Nanjing<br />
Nantong<br />
Nanjing Industrial Park<br />
Nantong Industrial Park<br />
JILIN<br />
Jilin<br />
Jilin Industrial Park<br />
Yixing<br />
Changzhou<br />
Wuxi<br />
Wuxi<br />
Kunshan<br />
Huaian<br />
Yixing <strong>GA</strong> Industrial Park<br />
Changzhou Aviation Industrial Park<br />
Yixing <strong>GA</strong> Industrial Park<br />
Wuxi Airport Industrial Park Science<br />
and Technology Business Center<br />
Kunshan Industrial Park<br />
Huai’an Airport Industrial Park<br />
SICHUAN<br />
Chengdu<br />
Chengdu<br />
Chengdu<br />
Zigong<br />
Zigong<br />
Chengdu Aviation Economic and<br />
Technological Development Zone<br />
Chengdu <strong>GA</strong> Industrial Park<br />
Chengfei Aeronautics Hi-tech Industrial Park<br />
Beichuan <strong>GA</strong> Industrial Park<br />
Chuannan <strong>GA</strong> Industrial Park<br />
Yancheng<br />
Jianhu Industrial Park<br />
Yancheng<br />
Suzhou<br />
Jiangsu Lantian Aerospace Industrial Park<br />
Kunshan Dianshanhu Aeronautics<br />
TIANJIN<br />
Tianjin<br />
Tianjin Airport Economic Area<br />
JIANGXI<br />
Zhenjiang<br />
Nancang<br />
Industrial Park<br />
Zhenjiang Industrial Park<br />
Nanchang Economic and<br />
Technological Development Zone<br />
ZHEJIANG<br />
Jiaxing<br />
Ningbo<br />
Shaoxing<br />
Huzhou<br />
Jiaxing Aviationand Spaceflight<br />
Industrial Park<br />
Hangzhou Bay <strong>GA</strong> Industrial Park<br />
Shaoxing Industrial Park<br />
Deqing <strong>GA</strong> Park<br />
HEBEI<br />
Chengde<br />
Shijiazhuang<br />
Chengde Aviation Economic and<br />
Technological Industrial Park<br />
Shijiazhuang <strong>GA</strong> Industrial Park<br />
ANHUI<br />
Hefei<br />
Wuhu<br />
Hefei Industrial Park<br />
Wuhu industrial Park<br />
H<strong>EN</strong>AN<br />
Anyang<br />
Zhengzhou<br />
Anyang <strong>GA</strong> Industrial Park<br />
Zhengzhou General Aviation Industry<br />
SHANXI<br />
Shanxi<br />
Datong<br />
Dalian <strong>GA</strong> Industrial Park<br />
Yanggao <strong>GA</strong> Industrial Park<br />
Zhengzhou<br />
Test Area<br />
Zhengzhou Airport Economy Zone<br />
HUBEI<br />
Wuhan<br />
Wuhan Economic and Technological<br />
Development Zone- <strong>GA</strong> and Satellite<br />
NINGXIA Yinchuan Yinchuan <strong>GA</strong> Industrial Park<br />
Jingmen<br />
Industrial Park<br />
Jingmen Industrial Park<br />
56 | CHINA <strong>GA</strong> REPORT 2017
INFRASTRUCTURE OVERVIEW<br />
Province City Name<br />
HUNAN Zhuzhou Changzhutan Aerospace Economic<br />
and Technical Develoment Zone<br />
Zhuzhou Zhuzhou Hi-Tech Industrial<br />
Development Zone<br />
Changsha Huanghe <strong>GA</strong> Town<br />
FUJIAN Xiamen Xiamen Aide Aviation Industrial Park<br />
Fuzhou Fuzhou <strong>GA</strong> Industrial Park<br />
Fuzhou Fuqing <strong>GA</strong> Industrial Park<br />
GUIZHOU Anshun Anshun Economic and Technological<br />
Development Zone<br />
Anshun Anshun National Hi-Tech Industrial<br />
Base of Civil Aviation Industrial<br />
LIAONING Chaoyang Chaoyang <strong>GA</strong> Park<br />
Shenyang Shenyang National Aviation<br />
Economic Zone<br />
Shenyang Faku <strong>GA</strong> Park<br />
Panjin Panjin <strong>GA</strong> Industrial Park<br />
CHONGQING Chongqing Liangjiang General Aviation Industrial Park<br />
Chongqing Dazu <strong>GA</strong> Industrial Park<br />
SHAANXI Xianyang Xiangyang Aeronautics Aviation<br />
Industrial Park<br />
Shangluo Danfeng <strong>GA</strong> Industrial Park<br />
Baoji Baoji Training and Air Equipments<br />
Manufacture Park<br />
Hanzhong Industrial Park<br />
Hanzhong Hanchung Industrial Park<br />
Winan Pucheng <strong>GA</strong> Industrial Park<br />
Xi’an Xi’an Yanliang National Aviation Hi-Tech<br />
Industrial Base<br />
Xi’an AVIC Industrial Park<br />
HEILONGJIANG Zhaodong Zhaodong Lower Airspace<br />
Economy Zone<br />
Harbin Harbin Aviation Economic and<br />
Technlological Development Zone<br />
Aviation industrial zones include airport economic zones<br />
and <strong>GA</strong> industrial zones. A <strong>GA</strong> industrial zone is an<br />
incorporation of commercial flight, aircraft manufacture,<br />
aircraft maintenance, aeronautical material and parts production,<br />
aerospace technology research and development, pilot training,<br />
scientific experiment, aviation logistic, air show, air rescue,<br />
sightseeing air tour, meteorological investigation, artificial<br />
weather modification, agriculture, aeroclub, etc. Meanwhile,<br />
supporting facilities such as airport, MRO, FBO, residential area<br />
and theme park are also located in an industrial zone. According<br />
to the statistics provided by <strong>China</strong> Vast, an industrial urban<br />
development company, 116 above-county-level cities are currently<br />
planning or constructing more than 170 industrial zones, with a<br />
total investment exceeding RMB1.5T (approximately US$225B).<br />
In general, building <strong>GA</strong> industrial zones encompasses three<br />
stages: (1) site selection, (2) facility investment, and (3) entry of<br />
business. Recently, <strong>GA</strong> industrial zone construction has attracted<br />
great interest from different investors, and become a popular<br />
investment project. Nonetheless, there is a lack of thorough<br />
understanding towards the nature and structure of <strong>GA</strong> industrial<br />
zones, which is reflected by several prevailing problems. Firstly,<br />
the construction restraints are not taken into consideration<br />
during the site selection process for some industrial zones. Flight<br />
take-off, test flight, maintenance and noise pollution will have<br />
negative impacts on the surroundings. Secondly, the planned<br />
annual production quantity for some of the zones is 1,000 by<br />
2025 or 2030. This will potentially put the industry in a blowout<br />
state and create excessive supply. Eventually, the industry may<br />
suffer from redundancy and waste of resources due to faulty<br />
overall planning.<br />
Airport economic zone centers at large-scale hub airports, with<br />
surrounding districts being assigned as free-trade zones. This<br />
layout can form an aviation-related business cluster, to push<br />
forward the economy in the airport area. Currently, the in-operation<br />
airport economic zones include, Zhengzhou Airport Economic<br />
Zone, Guangzhou Airport Economic Zone, and Tianjin Airport<br />
Economic Zone.<br />
Data Source: <strong>China</strong> <strong>GA</strong> Development <strong>Report</strong> and ASG<br />
2017 CHINA <strong>GA</strong> REPORT<br />
| 57
INFRASTRUCTURE OVERVIEW<br />
FBO AND MRO FACILITIES<br />
HARBIN<br />
33<br />
34<br />
SH<strong>EN</strong>YANG 46<br />
2<br />
13<br />
14 15 16 17 18<br />
19<br />
BEIJING<br />
49 SHIJIAZHUANG<br />
35 JINAN<br />
10 40 41 42 43 44 45<br />
SHANGHAI<br />
TIANJIN 12 50 51 52<br />
BINZHOU 20<br />
QINGDAO 39<br />
6<br />
55<br />
XI'AN<br />
56 ZH<strong>EN</strong>JIANG<br />
26 27 GUANGHAN<br />
54<br />
XIANGYANG<br />
NINGBO 38<br />
22<br />
23 24<br />
CH<strong>EN</strong>GDU<br />
HANGZHOU<br />
9<br />
25 CHONGQING<br />
7 21 CHANGSHA<br />
JINGDAZH<strong>EN</strong><br />
36 37<br />
1 28 29 30 31<br />
8 GUILIN<br />
4 NANNING<br />
57 ZHUHAI<br />
GUANGZHOU<br />
XIAM<strong>EN</strong> 53<br />
SH<strong>EN</strong>ZH<strong>EN</strong> 11 47 48<br />
3<br />
32<br />
HAIKOU<br />
SANYA<br />
5<br />
City FBO MRO<br />
1 Baiyun Airport BAC<br />
13<br />
2 Beijing Capital Jet<br />
14<br />
3 Deer Jet<br />
4 Deer Jet<br />
5 Deer Jet<br />
6 Deer Jet<br />
7 Deer Jet<br />
8 Deer Jet<br />
9 Deer Jet<br />
10 Hawker Pacific Shanghai<br />
11 Shenzhen Joyee<br />
12 Tianjin Airport BAC<br />
15<br />
16<br />
17<br />
18<br />
19<br />
20<br />
21<br />
22<br />
23<br />
24<br />
AMECO<br />
Beijing Airines<br />
Beijing Dingshi <strong>GA</strong><br />
Beijing Capital<br />
Deer Jet<br />
Gulfstream Beijing<br />
STAECO<br />
Shandong Hairuo <strong>GA</strong><br />
Changsha Jielian<br />
AMECO<br />
Dachuan <strong>GA</strong><br />
SMECO<br />
25<br />
26<br />
27<br />
28<br />
29<br />
30<br />
31<br />
32<br />
33<br />
34<br />
35<br />
36<br />
Chongqing <strong>GA</strong><br />
CAFUC<br />
Xilin Fengteng <strong>GA</strong><br />
Guangzhou Champion<br />
<strong>GA</strong>MECO<br />
H&P <strong>GA</strong><br />
Guangzhou Suilian <strong>GA</strong><br />
HNA Aviation Technik<br />
AVIC (Harbin)<br />
<strong>China</strong> Flying Dragon<br />
STAECO<br />
AVIC (Changhe)<br />
37<br />
38<br />
39<br />
40<br />
41<br />
42<br />
43<br />
44<br />
45<br />
46<br />
47<br />
48<br />
Changhe Agusta<br />
GDAT<br />
Jiutian Flight Academy<br />
Boeing Shanghai<br />
Deer Jet<br />
<strong>China</strong> Eastern<br />
Hawker Pacific Shanghai<br />
Kingwing <strong>GA</strong><br />
STARCO<br />
<strong>China</strong> Southern<br />
Avion Pacific<br />
COHC <strong>GA</strong>MEC<br />
49<br />
50<br />
51<br />
52<br />
53<br />
54<br />
55<br />
56<br />
57<br />
Cessna-Avic Aircraft<br />
Bombardier Tianjijn<br />
Eastern <strong>GA</strong><br />
ExecuJet Haite<br />
HAECO<br />
Hubei Sky-Blue Academy<br />
<strong>China</strong> Flight <strong>GA</strong><br />
Zhenjiang Aerochine<br />
Metrojet<br />
58 | CHINA <strong>GA</strong> REPORT 2017
With 477 business jets as of December 2016, Greater<br />
<strong>China</strong> has evolved into the regional leader of business<br />
aviation. Over the last decade, an increasing number of<br />
large corporations and the growing number of HNWIs in Greater<br />
<strong>China</strong> have come to realize the value of business jets, resulting in<br />
the region operating 41% of the total Asia-Pacific fleet.<br />
To serve this rapidly-expanding fleet is no easy feat, requiring<br />
help from all angles. The Government and private companies are<br />
particularly interested in Beijing, which “accounts for 50% of all<br />
movements in <strong>China</strong>,” explained Million Air CEO Roger Woolsey, in<br />
an interview to Aviation International News. “There’s between 35<br />
and 50 corporate jets a day coming into the airport.”<br />
A planned new international airport — Beijing Daxing International<br />
Airport — is to cater to increasing traffic in the area. Expected to<br />
serve Beijing, Tianjin and Hebei, the airport, to be complete in 2019,<br />
will free up capacity at current airports and provide considerable<br />
support to the business aviation industry.<br />
The new airport is part of the CAAC aim to have 74 new civil<br />
transport airports by 2020, which was outlined in <strong>China</strong>’s 13th<br />
Five-Year Plan (2016-2020). In the meantime, business aviation<br />
in <strong>China</strong> is served by four full-service FBOs: Beijing CJet, Shanghai<br />
Hawker Pacific Business Aviation Service Centre (Shanghai<br />
Hawker Pacific), Shenzhen Joyee FBO and Yitong Business<br />
Aviation Service Co. at the Guangzhou Baiyun International<br />
Airport, which is currently under construction with a completion<br />
date of year end 2017.<br />
Located at the Shanghai Hongqiao Airport, Shanghai Hawker<br />
Pacific is expanding with a second hangar, a VIP lounge<br />
and parking slots, along with plans for a full-service FBO at<br />
Pudong Airport.<br />
The new Yitong FBO, owned by the Guangdong Airport Authority,<br />
will feature a 88,000sqm parking apron, 20,000sqm of hangar<br />
space and a 5,800sqm business aviation terminal.<br />
<strong>China</strong>-based operator Deer Jet is an active participant in the FBO<br />
market, through ground handling, still requiring the use of an<br />
independent business aviation terminal and CIQ service. Zhuhai<br />
Jinwan Airport has also committed to providing a full-service FBO.<br />
Maintenance facilities for business jets are available in Beijing,<br />
Jinan, Shanghai, Tianjin, Xi’an and Zhuhai, as well as facilities for<br />
civil helicopters. In 2017, the Tianjin Airport Economic Area and<br />
Bombardier Business Aircraft opened one of the newest service<br />
centers in <strong>China</strong>, supporting the Global, Challenger 604, 605 and<br />
850 series.<br />
FBO’S FACILITIES AND SERVICES<br />
1<br />
Under Construction<br />
2<br />
Fuel Arrangement Services<br />
FBO NAME<br />
AIRCRAFT HAN<strong>GA</strong>RAGE<br />
ON-SITE CIQ<br />
VIP LOUNGES<br />
AIRCRAFT HANDLING<br />
AIRCRAFT REFUELING 2<br />
Baiyun Airport BAC 1<br />
● ● ●<br />
Beijing Capital Jet<br />
● ● ● ●<br />
Deer Jet<br />
● ● ● ●<br />
Hawker Pacific<br />
● ● ● ● ●<br />
Shenzhen Joyee<br />
● ● ●<br />
Tianjin Airport BAC<br />
● ● ● ●<br />
2017 CHINA <strong>GA</strong> REPORT | 59
● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ● ● ● ●<br />
● ●<br />
● ● ● ● ● ●<br />
● ● ● ● ● ● ●<br />
● ● ● ●<br />
● ● ● ●<br />
● ● ● ●<br />
● ● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ● ● ●<br />
● ●<br />
● ● ● ● ● ● ● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ●<br />
● ●<br />
● ● ● ● ●<br />
● ● ● ● ● ● ● ●<br />
● ● ●<br />
● ● ● ●<br />
MRO CAPABILITIES BY MODEL<br />
CITY<br />
ABBREVIATION<br />
● Line Maintenance (Fixed-Wing)/Field Maintenance (Helicopter)<br />
● Base Maintenance (Fixed-Wing)/Overhaul (Helicopter)<br />
● Both<br />
BJ<br />
BZ<br />
CD<br />
CS<br />
GZ<br />
Beijing<br />
Binzhou<br />
Chengdu<br />
Changsha<br />
Guangzhou<br />
AIRBUS<br />
ACJ318<br />
ACJ319<br />
ACJ320<br />
AMECO (BJ)<br />
AMECO (CD)<br />
Beijing Airlines<br />
BJ Dingshi <strong>GA</strong><br />
Boeing SC (SH)<br />
Bombardier (TJ)<br />
<strong>China</strong> Eastern<br />
<strong>China</strong> Southern<br />
<strong>China</strong> Flight <strong>GA</strong><br />
Deer Jet (BJ)<br />
Deer Jet (SH)<br />
ExecuJet Haite<br />
<strong>GA</strong>MECO<br />
Gulfstream (BJ)<br />
HAECO (XM)<br />
Hawker Pacific<br />
HNA Aviation<br />
Metrojet (ZH)<br />
SMECO<br />
STAECO (BJ)<br />
STAECO (JN)<br />
STARCO (SH)<br />
JN<br />
NB<br />
SH<br />
TJ<br />
ZH<br />
Jinan<br />
Ningbo<br />
Shanghai<br />
Tianjin<br />
Zhuhai<br />
ACJ321<br />
BOEING<br />
BBJ1<br />
BBJ2<br />
BBJ3<br />
BOMBARDIER<br />
Learjet 60/60XR<br />
CRJ200<br />
Challenger 300<br />
Challenger 601<br />
Challenger 604<br />
Challenger 605<br />
Challenger 850<br />
Global Express<br />
Global Express XRS<br />
Global 5000<br />
Global 6000<br />
DASSAULT<br />
Falcon 7X<br />
Falcon 8X<br />
Falcon 900<br />
Falcon 2000<br />
EMBRAER<br />
Legacy 600<br />
Legacy 650<br />
Lineage 1000<br />
GULFSTREAM<br />
G200<br />
G280<br />
GIV/GIV-SP/G300/G400<br />
GV<br />
G350/G450<br />
G500/G550<br />
G650/G650ER<br />
TEXTRON<br />
Citation III/VI/VII<br />
Citation XLS/+<br />
Citation X/+<br />
Citation CJ1/+<br />
Citation Sovereign/+<br />
Hawker 750<br />
Hawker 800 A/B/850XP<br />
Hawker 900XP<br />
Hawker 4000
●<br />
● ●<br />
● ●<br />
●<br />
● ● ● ●<br />
●<br />
●<br />
● ●<br />
● ●<br />
● ●<br />
● ● ● ●<br />
● ● ● ● ●<br />
● ● ● ● ● ● ●<br />
● ● ● ● ●<br />
● ● ● ● ● ●<br />
● ● ● ●<br />
● ● ● ● ●<br />
● ● ● ●<br />
●<br />
● ● ●<br />
● ●<br />
●<br />
● ● ● ● ● ●<br />
● ● ● ● ●<br />
● ● ● ● ● ●<br />
● ● ● ● ● ● ● ● ●<br />
● ● ● ● ● ●<br />
● ●<br />
● ●<br />
INFRASTRUCTURE OVERVIEW<br />
Aerochine Aviation<br />
AVIC Changhe<br />
Avion Pacific<br />
Beijing Capital<br />
CAFUC<br />
Cessna-Avic<br />
Champion<br />
<strong>China</strong> Eastern<br />
<strong>China</strong> Flight <strong>GA</strong><br />
Chongqing <strong>GA</strong><br />
COHC <strong>GA</strong>MEC<br />
Dachuan <strong>GA</strong> (SC)<br />
Dingshi <strong>GA</strong> (BJ)<br />
Eastern <strong>GA</strong><br />
Flying Dragon<br />
GDAT (NB)<br />
H&P <strong>GA</strong> Service<br />
AVIC Harbin<br />
Hairuo <strong>GA</strong> (BZ)<br />
Heliflite<br />
Jielian (CS)<br />
Jiutian<br />
Changhe Agusta<br />
Kingwing <strong>GA</strong><br />
Ruoer <strong>GA</strong><br />
Hubei Sky-Blue<br />
Suilian <strong>GA</strong> (GZ)<br />
Xilin Fengteng <strong>GA</strong><br />
Yanxiang (SH)<br />
AIRBUS<br />
H120<br />
H125<br />
H135<br />
H215<br />
AS365<br />
AVIC<br />
AC311<br />
AC313<br />
H410<br />
Z9/Z9A<br />
BELL<br />
206<br />
407<br />
429<br />
LEONARDO<br />
AW109<br />
AW119<br />
AW139<br />
MD<br />
MD 500/520<br />
MD 600<br />
ROBINSON<br />
R22<br />
R44<br />
R66<br />
SIKORSKY<br />
S76<br />
S300<br />
269C<br />
C++<br />
TEXTRON<br />
King Air 300/350<br />
Cessna 172<br />
Cessna 182<br />
Cessna 205<br />
Cessna 206<br />
Cessna 207<br />
Cessna 400<br />
Caravan<br />
Grand Caravan<br />
Baron<br />
Bonanza<br />
Data Source: ASG’s ASIA PACIFIC REGION INFRASTRUCTURE REPORT 2017<br />
Note: For complete version of the report, please visit ASG’s website: media.asianskygroup.com<br />
2017 CHINA <strong>GA</strong> REPORT | 61
TRAINING SCHOOLS<br />
AND PILOTS<br />
Fixed-Wing Fleet by OEM<br />
Socata 14 (3%)<br />
AVIC 26 (5%)<br />
Piper 40 (7%)<br />
Cirrus 42 (7%)<br />
Diamond 217 (38%)<br />
38+38+7+7+5+3+2+G<br />
572<br />
Note: Only includes the fleet of Part 141 training schools within <strong>China</strong>.<br />
Rotary-Wing Fleet by OEM<br />
Bell 6 (3%)<br />
AutoGyro 8 (4%)<br />
Guimbal 13 (7%)<br />
Schweizer 39 (21%)<br />
60+22+7+4+3+4+G<br />
187<br />
Others 13 (2%)<br />
Cessna 220 (38%)<br />
Others 7 (4%)<br />
Robinson 114 (61%)<br />
To meet the growing demand of expanding fleets, both<br />
for commercial airlines and general aviation companies,<br />
the number of Part 141 training schools within <strong>China</strong> has<br />
increased from 12 in 2012 to 22 in 2017. To capture the demand<br />
for Chinese pilots, training schools outside of <strong>China</strong> that meet the<br />
CAAC Part 141 requirement have also increased from 23 in 2012<br />
to 27 in 2016. Currently, the number of registered student pilot is<br />
4,853, an increase by 32% since 2012.<br />
As of August 2016, there were 20 training schools approved<br />
by the CAAC, with <strong>China</strong> Civil Aviation Regulations (CCAR) Part<br />
141 standards. In 2017 there have been two new additions for<br />
civil pilot schools: Sichuan Longhao and Beijing Reignwood<br />
Star. There are more than 80 other general aviation operators<br />
that can provide part 61 or 91 training programs, many of which<br />
offer helicopter courses. However, of those 80 general aviation<br />
operators, slightly less than half provide training courses to the<br />
public. Many of these companies with part 61 or 91 licenses only<br />
provide training to their own staff.<br />
The 22 Part 141 training schools operate 572 fixed-wing aircraft<br />
for training purpose. Cessna and Diamond have 76% of the<br />
market share. Cessna has 220 aircraft and Diamond has 217<br />
aircraft with major models being DA40 and DA42. Cirrus and<br />
Piper rank at third and fourth with 42 and 40 aircraft and Chinese<br />
OEM AVIC follows, accounting for 5% (26) of the total fleet.<br />
The rotary-wing training fleet in this section includes all<br />
helicopters dedicated for training, including the fleet of non-Part<br />
141 training schools such as Part 91 general aviation companies.<br />
Of the 187 helicopters, 114 (61%) are Robinson aircraft. Schweizer<br />
and Guimbal follow with 39 (21%) and 13 (7%) aircraft. A majority<br />
62 | CHINA <strong>GA</strong> REPORT 2017
TRAINING SCHOOLS AND PILOTS<br />
Top Training School’s Fleet by Model<br />
FIXED-WING<br />
ROTARY-WING<br />
Cessna 172<br />
Diamond DA40<br />
Diamond DA42<br />
Cirrus SR20<br />
PA-44-180<br />
211 Robinson R44<br />
65<br />
71+0+54+0+18+0+16+0+13<br />
39<br />
Top Training School by Fleet<br />
165 Robinson R22<br />
47<br />
44 Schweizer S-300<br />
38<br />
40<br />
Cabri G2<br />
MTOsport<br />
65+0+47+0+38+0+13+0+8<br />
8<br />
13<br />
FIXED-WING<br />
ROTARY-WING<br />
CAFUC<br />
Hainan Aviation Academy<br />
Phoenix Flying College<br />
Civil Aviation University of <strong>China</strong><br />
Hubei Sky-Blue Academy<br />
Jiutian Flight Academy<br />
Zhuhai AVIC Flight Academy<br />
Xinjiang Tianxiang Aviation College<br />
Shandong Nanshan Flying College<br />
71+0+16+0+16+0+14+0+11 +0+10+0+9+0+8+0+7<br />
of the helicopter training fleet are piston helicopters due to their<br />
fuel efficiency compared to turbine.<br />
Civil Aviation Flight University of <strong>China</strong> (CAFUC) has the<br />
largest training fleet, with 217 fixed-wing aircraft. Phoenix<br />
Flying College and Hainan Aviation Academy each follow with<br />
48 aircraft. For rotary-wing training, Guangdong Baiyun <strong>GA</strong><br />
has the most helicopters for training with 17 aircraft, <strong>China</strong><br />
Flying Dragon <strong>GA</strong> and Guangzhou Suilian <strong>GA</strong> follow with 10<br />
and 9 helicopters. In terms of fleet model, Cessna 172 has the<br />
largest fleet number with 211 aircraft, Diamond DA40 follows<br />
with 165 aircraft. For rotary-wing training fleet, Robinson R44<br />
and R22 account for 60% of the total fleet. Schweizer S-300<br />
ranks the third with 38 (20%) aircraft.<br />
31<br />
28<br />
24<br />
22<br />
48<br />
48<br />
42<br />
32<br />
217<br />
Guangdong Baiyun <strong>GA</strong><br />
<strong>China</strong> Flying Dragon <strong>GA</strong><br />
Guangzhou Suilian <strong>GA</strong><br />
Hainan Aviation Academy<br />
Shandong Qixiang <strong>GA</strong><br />
CAFUC<br />
Shanghai Suxiang <strong>GA</strong><br />
Xilin Fengteng <strong>GA</strong><br />
Anyang <strong>GA</strong><br />
Ruoer <strong>GA</strong><br />
17+0+10+0+9+0+9+0+9+0+8+0+8+0+8+0+6+0+6<br />
To be certified with a Private Pilot License (PPL), candidates<br />
must be at least 17 years old, and attain 40 flying hours including<br />
at least 20 training hours with an instructor and 10 solo hours. A<br />
Commercial Pilot License (CPL) requires students to be at least<br />
18 years old and obtain at least 250 flying hours on a single/<br />
multi-engine aircraft or 150 hours on a helicopter. For an Airline<br />
Transport Pilot License (ATPL) on an airplane, students must<br />
complete 1,500 hours and 1,000 hours for a helicopter. Typical<br />
cost for a PPL in Greater <strong>China</strong> is 30,000 USD, while the cost for<br />
a CPL is 90,000 USD, which includes the cost of PPL courses.<br />
For more information on flight training schools in Asia Pacific, please<br />
refer to ASIA-PACIFIC TRAINING REPORT 2016<br />
6<br />
6<br />
8<br />
8<br />
8<br />
10<br />
9<br />
9<br />
9<br />
17<br />
2017 CHINA <strong>GA</strong> REPORT | 63
TRAINING SCHOOLS AND PILOTS<br />
PILOT OUTLOOK<br />
According to Boeing’s Annual <strong>China</strong> Market Outlook,<br />
airlines in <strong>China</strong> will spend more than US$1 trillion on<br />
new airplanes over the next two decades to account<br />
for the country’s demand for air travel. Air traffic over <strong>China</strong> is<br />
set to almost quadruple in the next two decades, making it the<br />
world’s busiest market, according to Airbus Group. Faced with<br />
a local shortage of experienced pilots, the industry in <strong>China</strong><br />
has made news as it looked to satisfy the demand.<br />
As of the end of 2016, there were a total of 50,504 Chinese pilot<br />
licenses issued — a stark increase from 27,807, just five years<br />
earlier in 2011. The total number in 2016 includes 3,090 private<br />
pilot licenses (PPL), 26,712 commercial pilot’s license (CPL)<br />
s, 104 multi-crew pilot licenses, and 19,941 air transport pilot’s<br />
licenses (ATPL)s, according to the Annual <strong>Report</strong> of Chinese Pilot<br />
Development 2016.<br />
Projected Airline Pilots by 2036<br />
81,720<br />
8,142<br />
89,862<br />
Pilot demand for increased fleet<br />
Retirement<br />
Total number of new pilot needed<br />
Competition between airlines is increasing around the world.<br />
In <strong>China</strong>, the emergence of low-cost carriers is threatening the<br />
market position of the “Big Three” airlines of <strong>China</strong>. When airlines<br />
can no longer guarantee profit, they are less likely to invest on<br />
cadet pilot programs. The lack of upfront investment on pilots<br />
has since created problems not only on major international<br />
airlines but also smaller one.<br />
Commercial airlines are now more likely to hire self-funded pilots<br />
with sufficient flying hours and corresponding type ratings,<br />
which may intensify the pilot shortage problem in the <strong>GA</strong> sector<br />
of <strong>China</strong>. While the benefits and career prospects of the large<br />
airlines attract the top tiers of cadet pilot and commercial pilot<br />
programs, regional airlines and <strong>GA</strong> airlines suffer from a reduced<br />
pool of pilots.<br />
The pilot demand/supply imbalance problem has been making<br />
headlines in the <strong>China</strong> aviation industry. Worldwide, the industry<br />
needs 617,000 new pilots by 2035 to meet the projected growth<br />
in pilot demand. Approximately 90,000 pilots of the worldwide<br />
demand will be required for <strong>China</strong> — 16% of the global demand<br />
according to ASG’s estimation.<br />
With more than 6,810 new aircraft deliveries in <strong>China</strong> by 2035,<br />
averaging 12 pilots per aircraft, the total demand for commercial<br />
airline pilots by 2035 is 81,720. Coupled with the 8,142 retiring<br />
pilots by 2035, the total demand for pilots comes to 89,862.<br />
<strong>China</strong> would need an extra 4,403 pilots per year to meet the<br />
demand for airline pilots, an 11% growth annually. In 2012, <strong>China</strong><br />
only produced 3,574 pilot graduates, however, the industry has<br />
since benefited from an increase in Part 141 training schools<br />
within <strong>China</strong> — from 12 in 2012 to 22 in 2017. Registered pilots of<br />
all categories increased from 31,381 to 50,504 and pilot growth,<br />
as of 2016 is 4,981.<br />
Airline Pilot Demand and Supply<br />
4,403<br />
4,981<br />
New pilots needed per year<br />
Pilot growth in 2016<br />
Why do we still face a pilot shortage problem in general aviation<br />
when the average growth rate of pilot graduates is higher than<br />
the projected annual additional pilot demand?<br />
At the current rate of pilot production, there are too many first<br />
officers in the commercial airlines. The transition period from<br />
first officer to captain, which requires at least 1,500 flying hours<br />
with an ATPL license, has risen from five to ten years, due to<br />
insufficient flying hours from high competition. However, these<br />
pilots are unwilling to move to the <strong>GA</strong> sector because of low<br />
salary and job prospects with less quality packages.<br />
64 | CHINA <strong>GA</strong> REPORT 2017
TRAINING SCHOOLS AND PILOTS<br />
Historical Pilot Supply Growth<br />
Total Number of Pilots<br />
Growth<br />
60,000<br />
50,000<br />
40,000<br />
+4,124<br />
+4,376<br />
+5,612<br />
+4,981<br />
30,000<br />
20,000<br />
10,000<br />
0<br />
2012 2013 2014 2015 2016<br />
Data Source: <strong>China</strong> Civil Aviation Pilot Development Annual <strong>Report</strong> 2016<br />
According to Wang Zhiqing, Deputy Head of the CAAC, the<br />
difference could be as much as 10 times, while the maximum<br />
hours of airline pilots can be 100 hours per month. In the US,<br />
pilots working at international commercial airlines earn three<br />
times more than turboprop pilots.<br />
This creates a bizarre phenomenon in the <strong>China</strong> aviation sector:<br />
Too many airline pilots but too few <strong>GA</strong> pilots. While the growth of<br />
<strong>GA</strong> aircraft was at an explosive 16% annual growth in 2016, the<br />
insufficient number of <strong>GA</strong> pilots is unable to support the growth.<br />
The growth rate of total flying hours then falls behind the <strong>GA</strong><br />
aircraft growth rate.<br />
There is an 8.2% difference in historical annual growth rate and<br />
required annual growth rate of <strong>GA</strong> pilot. <strong>GA</strong> aircraft, however,<br />
only has a 2.1% gap to meet. The difference shows that the <strong>GA</strong><br />
company in <strong>China</strong> has biasedly focused on purchasing aircraft to<br />
achieve growth in general aviation without developing the most<br />
fundamental factor in the sector, the <strong>GA</strong> pilot. To tackle the<br />
problem, general aviation companies have started to focus more<br />
on developing their own <strong>GA</strong> pilot to meet the demand in <strong>GA</strong> pilot.<br />
Historical Annual Growth Rate<br />
<strong>GA</strong> Pilots<br />
2.9%<br />
11.1%<br />
2015 2016 2042<br />
Required Annual Growth Rate<br />
Data Source: Annual <strong>Report</strong> of Chinese Airlines Pilot<br />
Development 2016, U.S. Department of Labour<br />
<strong>GA</strong> Aircraft<br />
16.1% 18.3%<br />
Outlined in <strong>China</strong>’s 13th Five-Year Plan, the target growth rate of<br />
<strong>GA</strong> aircraft and <strong>GA</strong> pilots is 17.5% and 15.5%, respectively. When<br />
compared to 2016 data from the US-based General Aviation<br />
Manufacturers Association, it would take 26 years for <strong>China</strong><br />
to meet the US standards of today at 11.1% and 18.3% annual<br />
growth rate for <strong>GA</strong> pilot and aircraft.<br />
2015 2016 2042<br />
Data Source: CAAC, CARNOC; <strong>GA</strong>MA 2016<br />
2017 CHINA <strong>GA</strong> REPORT<br />
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66 | CHINA <strong>GA</strong> REPORT 2017