China's state-owned aircraft import and export agency, AVIC International, is moving into the pre-owned business jet market after signing a deal with a Hong Kong-based firm.
Under the deal between its subsidiary AVIC International Aero Development (AVIC ADE) and Asian Sky Group (ASG), a subsidiary of Seacor, the companies will source for pre-owned fixed wing and rotary business aircraft from around the world.
They will then market these aircraft in China, where there is growing demand for business aircraft. Under the agreement's terms, the companies also plan to source for used aircraft from owners in mainland China and sell them to the global market.
The deal will allow the companies to tap on each other's expertise and bring value to "customers waiting to acquire aircraft in China", says AVIC ADE's vice-president Fu Yumin.
"While AVIC ADE has a long-standing heritage of leadership in China, ASG has rapidly built a business that offers an extensive range of business aviation solutions to Chinese clients, from sales and acquisition to a broad range of consulting services," he adds.
AVIC ADE, formed 15 years ago to source for business and general aviation aircraft for the Chinese market, has an "extensive customer base" that includes the Chinese general aviation, law enforcement and government sectors, says ASG's managing director Jay Shaw.
"With AVIC ADE as a partner, ASG will be able to provide highest level of service including import and export and forex trading, which will allow us to continually meet and exceed the expectations of our clients. The partnership hopes to quickly become the leading brokerage company for pre-owned aircrafts in China," adds Shaw.
ASG was set up in Hong Kong to provide business aviation services to the Chinese and Asia-Pacific markets. It focuses on fixed wing and rotary aircraft, and other aviation services.