China market-a 10-year reflection
China, for more than a decade, has been forecast by the Boeing Current Market Outlook to be the second largest market for new airplanes (after the United States). Its progress over the past decade attests to the region's tremendous potential.
The number of passengers carried by China's airlines in 2010 was 3.5 times the total in 2000. The in-service jet fleet more than tripled to 1,750 airplanes by 2010, up from 560 airplanes in 2000. In mainland China, the number of commercial aviation airports increased from 139 in 2000 to 175 in 2010. Volumes of passengers, freight, and airplane arrivals and departures at airports in 2010 increased dramatically (4.2, 3.6, and 3.1 times, respectively) over 2000 levels. The domestic network of mainland carriers expanded to 1,032 city pairs in 2010 (from 624 in 2000), while their international footprint more than doubled to 258 city pairs in 2010 (from 108 in 2000).
In 2010, for the first time ever, China's Big Three and Cathay Pacific were among the world's top 15 carriers, measured in revenue passenger-kilometers; none was on the list in 2000. In addition, Beijing Capital became the second busiest passenger airport. Hong Kong airport surpassed Memphis to become the top cargo airport by tonnage, with Shanghai Pudong airport coming in third.
Plans for full-spectrum expansion
Looking ahead, China has articulated policies and macro plans to encourage the international expansion of its airlines and address issues regarding air traffic management and infrastructure. By 2015, China will add 55 new airports, bringing the total available for commercial aviation use to at least 230. As the nation's high-speed rail network begins full operation, the trains will connect neighboring cities and transport passengers to airports for longer haul air travel. In addition, China is developing indigenous commercial airplanes.
The second largest market
In retrospect, China's air travel has been sustained by strong economic growth, increased trade, rising personal income, and progress in market liberalization. At the same time, the rapid increase in air travel, combined with unparalleled connectivity, has fostered economic and social interaction within China as well as between China and the rest of the world.
Over the next 20 years, China's gross domestic product is forecast to grow at an average annual rate of 7.0 percent, with the demand for air travel growing at an annual rate of 7.6 percent. As the world's second largest market, China's airlines by 2030 will need 5,000 new airplanes valued at $600 billion.
