28 Mar 2025
#5 March 2025: China Aviation Industry Newsletter
CALC Introduces First A321neo from Airbus Mobile Facility
China Aircraft Leasing Group Holdings (CALC) has successfully delivered the first of 12 new Airbus A321neo aircraft to United Airlines. This milestone marks CALC’s 200th aircraft delivery and its first from Airbus’ manufacturing facility in Mobile, USA. The remaining 11 aircraft are scheduled for phased delivery through 2026. CALC President & CEO Winnie Liu emphasised the company’s ongoing collaboration with Airbus to modernise fleets and expand access to fuel-efficient aircraft, reinforcing a shared commitment to a sustainable aviation future.
Comac Accelerates Efforts to Compete with Boeing and Airbus
Commercial Aircraft Corporation of China (Comac) has announced plans to increase production capacity for its C919 narrowbody jet by 50% in 2025. The company aims to produce 75 aircraft this year, exceeding its initial target of 50. By 2029, Comac intends to reach an annual output of 200 C919 jets, positioning itself as a formidable competitor to Boeing and Airbus in the global commercial aviation market. The announcement was shared at a conference in Xian, with updates disseminated via the company’s supply chain WeChat account.
Hainan Airlines Begins Direct Service from China to Oslo
Hainan Airlines has launched a new direct international route between Beijing Capital International Airport and Oslo, Norway. This marks the first direct passenger flight between the two countries from Beijing since the pandemic. The Haikou-based airline will operate three round-trip flights per week on Tuesdays, Thursdays, and Saturdays. Hainan Airlines is also focusing on strengthening Beijing as a key aviation hub by expanding its route network and enhancing connectivity within the Beijing-Tianjin-Hebei region.
Acumen’s Take
On CALC’s A321neo Delivery
The delivery of the first A321neo from Airbus’ Mobile facility highlights CALC’s growing influence in the global leasing market. This milestone reinforces its strong partnership with Airbus and signifies the increasing importance of leasing firms in fleet modernisation efforts. The move also showcases how Chinese lessors are diversifying their sources for aircraft procurement while expanding their international footprint.
On Comac's Production Expansion
Comac’s ambitious production ramp-up reflects China’s long-term vision to reduce dependency on Boeing and Airbus. Increasing output of the C919 not only strengthens China’s aviation self-sufficiency but also signals potential challenges for Western manufacturers in the Chinese market. However, scaling up production while ensuring quality and regulatory compliance will be critical to sustaining long-term growth.
On Hainan Airlines’ New Route
The launch of Hainan Airlines’ Beijing-Oslo route underscores the growing importance of direct connectivity between China and Europe. This move is expected to facilitate business and tourism exchanges while supporting China’s broader aviation expansion strategy. As international travel demand rebounds, we anticipate more Chinese carriers reinstating or introducing new long-haul routes to strengthen their global presence.
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