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China to relax 'one route, one airline' policy for Chinese airlines

05/18/2018| 9:17:08 AM| 中文

China is set to relax its “one route, one airline” policy for Chinese airlines on international routes, allowing for greater competition between state-owned and private carriers.

The Civil Aviation Administration of China (CAAC) plans to ease its “one route, one airline” policy on long-haul routes from October, saying the move will help the country to “adapt to the new stage of development” of its aviation industry.

“The change in the international air transport market requires an orderly expansion of market access and further introduction of competition,” the CAAC said. It also added that to increase the level of coordinated development between the Beijing Daxing and Beijing Capital, “competition needs to be adjusted”.

The CAAC implemented the “one route, one airline” policy in 2009 for long-haul routes to prevent airlines from competing too aggressively against each other. However, a draft of the proposed new regulations will be issued in August and the measures brought into effect in October.

The measures will divide international routes into two categories, depending on the air traffic rights with the destination country. One category will not limit the number of designated carriers, route schedules, and operating schedules; the other will have some restrictions based on supply and demand.

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TAGS: CAAC
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