An order has been issued to limit passenger capacity to 40% on four routes to the US in retaliation to sanctions imposed by China’s government on United Airlines.
Air France-KLM and China Eastern Airlines are to extend the scope of their partnership following the approval of a recapitalization plan for the European group in which China Eastern, an existing shareholder, is taking part.
Air China and China Eastern Airlines both remained in the red for all four quarters of 2020, racking up annual net losses of CNY14.4 billion (£2.2 billion) and CNY11.8 billion respectively.
The Civil Aviation Administration of China (CAAC) is still yet to begin recertifying the Boeing 737 MAX, saying that major safety concerns raised have “not been fully met.”
China Eastern Airlines will issue 2.5 billion privates shares to its parent China Eastern Air Holdings, in a bid to raise CNY10.8 billion ($1.67 billion) and improve the company’s financial stability.
China Eastern’s new subsidiary OTT Airlines is planning to launch at least five routes during the first quarter of 2021 as it seeks to gain a foothold in China’s domestic market.
China Eastern Airlines signed major deals with CFM International and Honeywell on the Nov. 5 opening day of the China International Import Expo, both relating to its future Airbus A320neos.
Decades ago, China began letting private investment into what had been 100% state enterprises. The usual approach, however, was for the state to share ownership of subsidiaries with outsiders while keeping full ownership at the group level.
June operating figures for Chinese state-owned carriers Air China, China Eastern Airlines and China Southern Airlines, as well as the country’s largest LCC Spring Airlines, show passenger demand has slowed.
China Eastern Airlines will build up at the north-central city Zhengzhou, creating a freight hub for the surrounding region and helping to fill the expanding cargo capacity of the city’s airport.
China Eastern Airlines will set up a base company at Xiamen, with the aim of supporting the city’s ambition to develop as an international hub for southeastern China.
China’s big three state-owned carriers Air China, China Southern Airlines and China Eastern Airlines have recorded a cumulative loss of CNY14 billion ($2 billion) for Q1 2020 as the COVID-19 pandemic brought the Chinese aviation industry to a standstill.
