New PDF release: China and the Global Economy: National Champions, Industrial

By Peter Nolan (auth.)

ISBN-10: 0230599281

ISBN-13: 9780230599284

ISBN-10: 1349426067

ISBN-13: 9781349426065

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Additional info for China and the Global Economy: National Champions, Industrial Policy and the Big Business Revolution

Sample text

The cooperative venture was hailed as a prelude to even wider co-operation, with AVIC joining Airbus as a future partner in the A3XX, Airbus’s planned ‘super jumbo’ aircraft. Enterprises within AVIC were planned to take 51 per cent of the total work involved in the AE-100, including production of the wings, fuselage and final assembly. The agreement was hailed as ‘a significant step towards the development of an indigenous Chinese aircraft industry’. It was a major boost for the Chinese aviation industry, which felt that it was now firmly on the road to developing an indigenous modern aircraft industry.

However, this is an extremely competitive segment of the world aircraft market. Two important makers of 100-seater jets have either drastically reduced their production or left the business altogether. In the late 1970s British Aerospace gave up producing the BAC 1-11 which seated between 65–119 people. Around 230 of the aircraft were produced. In the 1980s, BAe started to produce the four-engined BAe-146 (renamed the Avro RJ), seating 75–110 passengers. It only made a profit for the first time in 1997/98.

Jointly designed and built jet aircraft In the early and mid-1990s, the Chinese civilian aircraft industry was confident of its strategy and prospects for becoming a major aircraft manufacturer. The successful programme to assemble MD-80 series planes had been completed, the next step, to produce a large number of MD-90s, with the major share of the manufacturing work being undertaken within China, was apparently well advanced. The next stage on the ‘flight plan’ was to co-design and build a substantial part of a small jet airliner, and thereafter to proceed to independently design and build a large airliner, albeit initially using imports of key components, such as engines and part, at least, of the avionics.

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China and the Global Economy: National Champions, Industrial Policy and the Big Business Revolution by Peter Nolan (auth.)

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