Latest News:  


Jetstar aims to expand to mainland

By He Wei (China Daily)

09:01, March 12, 2013

China Eastern Airlines Co Ltd, one of the nation's major three carriers, may expand its joint-venture budget operation Jetstar Hong Kong to the Chinese mainland within three years.

Jetstar, a 50/50 joint venture between China Eastern and Qantas Group, Australia's national carrier, is expected to play a key part in China Eastern's finances over the coming years, said Ma Xulun, the president of the company.

"We are eyeing the mainland market within three years, around the point at which we expect Jetstar Hong Kong to become profitable," Ma, an NPC deputy from Shanghai, told China Daily on the sidelines of the annual session of the 12th National People's Congress.

China Eastern launched the partnership with Qantas in March last year, with both sides agreeing to invest up to $198 million over three years.

An application to launch the budget carrier was approved by the Ministry of Commerce in January, according to Ma, and the fleet is ready for takeoff later this year once it obtains an operating license from Hong Kong's airlines regulatory body.

Ma said he and his Australian partners have been mulling the expansion since the start of the negotiations.

They agree the Hong Kong-based operation will test the water for further exploration into the mainland's lucrative, but largely untapped, budget airline market.

Ma said he is also hopeful that the new venture will help improve the Chinese carriers' high debt to equity ratio, which hit 78 percent by the end of 2012.

"If all goes well, the business will help lower that figure to around 70 percent by the end of 2015," Ma said.

Budget air travel is yet to gain a foothold in China.

【1】 【2】

We recommend:

Japanese brands search for rebound

Inflation rebounds to 10-month high in Feb.

Halt urged to rising luxury goods prices

China well on way to being largest oil importer

Energy trade surplus for US

China seeks economic transformation

Email|Print|Comments(Editor:HuangBeibei、Liang Jun)

Leave your comment0 comments

  1. Name


Selections for you

  1. Warships in 'Peace-13' joint military exercise

  2. Surveillance ships, helicopter patroling

  3. Unforgettable moments you cannot miss in March

  4. Flamboyant villagers honor sea goddess

  5. China's weekly story (2013.2.28-3.8)

  6. Applicants in flight attendants recruitment

  7. San Mao: The Echo Effect

  8. Sarah Brightman aims for the universe

  9. Japanese brands search for rebound

  10. Natural gas sparks emission hopes

Most Popular


  1. Active yet prudent urbanization needed for China
  2. China's dating TV show inspires copycat in Chicago
  3. Int'l influence of Chinese films improving
  4. Peking Opera education should start early
  5. Fake 3D triggers resentment
  6. Technology transforms art sharing
  7. Books for youngsters' the fastest-growing genre
  8. Life of the never-touch-a-pan generation
  9. Chinese films ought to tell Chinese stories
  10. Lei Feng spirit never out of date

What’s happening in China

Flight attendants recruitment attracts beautiful young applicants

  1. Floating pigs may be killed by epidemic
  2. Man wanted for keeping woman as sex slave
  3. 5,000 women give birth in Beijing by IVF
  4. Pig virus detected in Shanghai river water
  5. 5.2-magnitude quake hits Xinjiang