China's HNA, COMAC sign deal for 200 C919, 100 ARJ21 jets

China's HNA, COMAC sign deal for 200 C919, 100 ARJ21 jets

- in Business & finance

SHANGHAI (Reuters) – Chinese language conglomerate HNA Group [HNAIRC.UL] has agreed to buy 200 C919 and 100 ARJ-21 planes from the Business Plane Corp of China Ltd (COMAC), the businesses mentioned on Saturday.

FILE PHOTO: The second prototype of China’s home-built C919 passenger jet takes off for a check flight in Shanghai, China December 17, 2017. REUTERS/Stringer

HNA and COMAC mentioned in an announcement that they’d signed a strategic cooperation underneath which HNA had agreed to introduce and function the jets in China and in abroad markets corresponding to Africa over an unspecified time frame.

It didn’t disclose monetary phrases or say whether or not these have been agency orders or choices.

FILE PHOTO: An ARJ21-700, China’s first domestically produced regional jet, arrives at Shanghai Hongqiao Airport after making its first flight from Chengdu to Shanghai, China June 28, 2016. REUTERS/Aly Track

The Chinese language conglomerate, which has been promoting belongings to lift money, holds stakes in over ten airways, together with Hainan Airways (600221.SS), Capital Airways and Africa World Airways in Ghana. It signed a deal for 15 C919 planes in 2010.

HNA mentioned it had signed the deal to assist the event of China’s aviation trade in addition to Beijing-led “Made in China 2025” and Belt and Highway initiatives, it mentioned.

The C919 plane is a logo of China’s ambition to muscle into a world jet market estimated to be price $2 trillion over the following 20 years, in addition to of Beijing’s broader “Made in China 2025” plan to spur home-made merchandise, from medicines to robots.

The state planemaker despatched the C919 narrowbody airplane on its maiden flight final 12 months and obtained approval to start mass manufacturing of the ARJ-21 regional jet final July.

In February, COMAC mentioned its whole order e book for the C919 jet was 815 plane, whereas orders for the ARJ21 stood at 453.

Reporting by Brenda Goh; Modifying by Andrew Bolton

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