Albany, NY -- (ReleaseWire) -- 02/10/2014 -- In January-November 2013, China’s civil aviation industry completed total traffic turnover of 61.6 billion ton kilometers, up 10.3% YoY; passenger transport volume of 326 million people, up 11.0% YoY; cargo and mail traffic of 5.067 million tons, up 2.4% YoY. Compared to the falling tendency in 2011 and 2012, growth rate recovered slightly in 2013.
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Under the comprehensive action of “sluggish macro-economy” superimposed by “structural impact brought by high-speed rail”, the overall effectiveness of Chinese aviation industry continues to decline. For the first quarters of 2013, net income of China’s three major state-owned airlines witnessed year-on-year decrease: Air China fell by 3.69% YoY to RMB4.061 billion; China Eastern Airlines RMB3.621 billion, a slight decline of 0.23%; China Southern Airlines RMB2.46 billion, down 7.69% YoY. But Hainan Airlines embraced double-digit growth in net income, which rose 28.44% YoY to RMB2.184 billion.
In order to improve their performance, Chinese airlines since 2013 have been looking for breakthroughs mainly through two ways: to accelerate the open-up of international and regional airlines and to tap into low-cost aviation field. Among them, China Eastern Airlines, Hainan Airlines, Spring Airlines, Juneyao Airlines, etc. have made layout in the low-cost airline business, and many foreign low-cost airlines are also planning to seize the Chinese market.
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So far, there is only Spring Airlines that has opened the low-cost airline operating model in China. Founded in 2004, Spring Airlines has boasted 40 Airbus A320-200 aircrafts as of January 2014; volume of passenger traffic reached 8.847 million persons-times in January-October 2013, a year-on-year increase of 14.69%.
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