Jet Aviation to set up Chinese joint venture with Deer Air

Source: Flightglobal.com
This story is sourced from Flightglobal.com

Jet Aviation has become the first global business aviation services provider to establish a base in China following the signing of a joint venture agreement with Chinese air transportation company Deer Air to establish a fixed-base operation and line maintenance facility at Beijing's Capital International Airport.

Construction of a 3,300m2 (35,500ft2) "state-of-the-art" FBO building has already begun and should be operational before the Olympic Games starts in August, offering handling and limited line maintenance. Aircraft hangarage totalling 6,000m2 is expected to be built by early 2009.

Switzerland-headquartered Jet Aviation says corporate and private aircraft movements at Beijing Capital are soaring with annual growth rates of close to 30% expected through 2008. "Our initial plan in this joint venture with Jet Aviation is focused on the operation of a FBO and line maintenance facility in Beijing, but we will also consider further expansion within the People's Republic of China as market growth dictates," says Wang Jian, vice-chairman the HNA Group, owner of Deer Air and its business aviation subsidiary Deer Jet.

Jet Aviation chief executive Peter Edwards says Deer Air is "one of the most recognised and experienced business aviation companies in China where the business jet fleet is increasing 17% annually. With Singapore and Hong Kong already on our map in the Asia Pacific Rim, not to mention the Beijing Olympics just around the corner, our customers wanted us to also provide services in mainland China." Joining the venture will also be Reach Investment of Hong Kong.