Aircraft

State-run China Aviation Supplies Import & Export Group (CASC) is preparing to order up to 30 indigenously produced ARJ21 regional jets. The deal is expected to be announced on 9 September, says a senior CASC official, and will mark the first order for the twinjet in almost three years.

CASC is expected place a firm order with ACAC for 20 ARJ21s for delivery in 2010-11, with options on 10 more. "These aircraft will mostly be for Chinese carriers," says the official, adding that CASC might provide financing.

In China, airlines wishing to order aircraft from overseas often have to go through CASC, which signs bulk orders on their behalf. CASC also assists Chinese aircraft manufacturers with exports. However the ARJ21 will need to secure US Federal Aviation Administration certification before becoming eligible for export.

In September 2003 ACAC held a ceremony in Beijing to announce the ARJ21's launch orders - 10 from Shandong Airlines, five from Shanghai Airlines and 20 from Shenzhen Financial Leasing. Then in July 2004 Xiamen Airlines signed a memorandum of understanding for six ARJ21s, but it has yet to sign a firm contract.

The ARJ21 was originally due to enter service in early 2007, but there have been delays because of design changes. Service entry of the General Electric CF34-powered aircraft is now set for late 2009.