Hong Kong Express Airways to become budget airlineMay 2, 2013In seeking a slice of the pie of Asia’s booming low-cost flights market, Hong Kong Express Airways Ltd wants to turn itself into a budget airline by Q3 of this year. Company President Yang Jianhong said that the firm will reveal plan details in May. Yang added that Hong Kong Express sees the potential for growth in budget carrier services, because the Asian market has been relatively untapped compared to the European and North American markets.
RRJ Capital invests USD250m in warehouse developerJun 5, 2015
Asian private equity firm RRJ capital is leading a group of investors in pumping USD250m into Shanghai Yupei, a warehouse developer, the South China Morning Post reported. RRJ Capital is putting an additional USD250 million into the Shanghai-based company after joining with Temasek Holdings Pte Ltd-owned Seatown Holdings to make an initial USD250m investment in Yupei last year. RRJ made the investment as demand for logistics services continues to grow. Yupei's logistics facilities have been regrouped into a Cayman Island-registered vehicle named China Logistics Property (CNLP). CNLP is set to complete more than seven million square metres of leasable logistics space in China in the next three years.
Taiwan's THI mulls China expansionJun 5, 2015
Taiwanese freight forwarder and logistics operator THI Global Holdings is looking for partnership or M&A opportunities in China as part of its goal to further expand in the country. THI intends to boost its business-to-customer (B2C) operations in China this year by partnering with e-commerce or warehousing and shipping firms. THI chairman David Yen was quoted as saying that one or two deals with Chinese e-commerce, warehousing and shipping companies could be confirmed in Q3 this year. THI posted net profit of USD1.47 million in the first three months of this year.
GLP signs logistics leasing deal with 6 customers in ChinaJun 3, 2015
Global Logistics Properties (GLP), one of the world's leading providers of modern facilities, is leasing up to 146,000 square metres of facilities to six logistics providers in China. The Singapore-based company signed a deal with one new customer and five repeat customers, including Best Logistics, Deppon Logistics and Goodaymart. The three firms are among GLP's top 10 largest customers in China. Repeat customers continue to drive demand for GLP's modern logistics facilities, said GLP China President Kent Yang in an interview with the Singapore Press Holdings. GLP has a USD28bn property portfolio in China, Japan, Brazil and the US.
Second airport to rise in ChengduMay 15, 2015
Civil Aviation Administration of China (CAAC) Deputy Director Zhou Laizhen announced that Chengdu will build a second aiport starting this year to address the growing demand for air travel in the southwestern Chinese city. When the airport project is complete, Chengdu will join Beijing and Shanghai to become the third city to have two airports. The new airport will be located in Jianyang with an estimated cost of Rmb69.2bn (USD11.2bn), the official Xinhua news reported. The new Chengdu airport will feature three runways, a 600,000 square meter terminal and 157 aircraft stands. Passenger throughput in Chengdu is expected to reach 62 million in 2020, experts said.
More Chinese airlines flying to US this yearMay 5, 2015
This year, more Chinese airlines are flying to the United States than American carriers going to China, according to the Centre for Asia Pacific Aviation (CAPA). This year will be the first time ever that more Chinese airlines are heading to the United States than the other way around, TIME reported, quoting the CAPA statement. China airlines, led by four major carriers—Air China, China Eastern, China Southern and Hainan—are forecast to send 2,028 flights to the United States per week while US airlines are set to send 1,853 flights to China weekly. By 2034, the International Air Transport Association (IATA) estimates that one in five passengers around the world will be traveling to, from or within China.
Express delivery market posts massive growthMay 1, 2015
China's booming e-commerce market has also triggered the massive growth of the country's express delivery services, data released by the State Post Bureau (SPB) showed. The SPB reported that the number of packages transported by express delivery in China grew 820% last year, accounting for about 63.9% of the movement of total post in the country. Private couriers made up the majority of China's express delivery players, taking up 85.6% of the express delivery market. Private firms made Rmb154.1bn (USD25.2bn) in revenues in 2014.
Hainan launches Chongqing-Rome direct flightApr 28, 2015
Chinese tourists wanting to visit Rome can now access the European city through Chongqing following the launch of Hainan Airline's direct Rome-Chongqing direct flight. The only previous connection to Chongqing from Rome was a Finnair flight via Helsinki but Rome Airport authorities have been striving to increase connections with Asian countries, and especially China. The Rome-Chongqing direct flight will be carried out by Hainan Airlines twice a week on an Airbus A330 with 260 seats in business and economy. Rome airport authorities said they have seen a continuous rise in passenger volumes both to and from the Chinese mainland and Hong Kong.
Shandong Air to launch new Jinan-New Delhi routeMar 19, 2015
China’s Shandong Airline announced on 18 March that a new route between the city of Jinan in eastern China's Shandong Province and the Indian capital of New Delhi will be opened this year. Shandong Air's Boeing 737 will fly twice a week linking the two cities via Yunnan Province's capital city of Kunming, cutting travel time to eight hours. Industry observers said the new route will help boost tourism and economic cooperation between the two cities.
ICBC Leasing orders 30 China-made jets from ComacMar 10, 2015
China's largest aircraft leasing company, ICBC Leasing, has ordered 30 ARJ21-700, the country's first domestically produced regional jet, from Commercial Aircraft Corporation of China (Comac). The ARJ21, short for Advanced Regional Jet for the 21st Century, is a regional airliner designed and manufactured by Comac and the first domestically produced airplane. The ARJ21-700 was officially certified by the Civil Aviation Administration of China at the end of 2014. ICBC Leasing's order for 30 planes of such kind has brought the total order for the locally-produced regional jet to 308. The value of the order was not disclosed by both ICBC Leasing and Comac.
China to boost transport infrastructureFeb 23, 2015
The Chinese government will maintain the scale and intensity of major transportation infrastructure construction this year to sustain economic growth. According to the country's National Development and Reform Commission, additional railway lines, particularly in the central and western regions of China, will be put into operation this year. This move aims to stabilise economic growth and boost people’s livelihood. Last year, the NDRC approved Rmb34bn (USD5.56bn) for transportation infrastructure, which included roads, railways, waterways, and airports.
Hainan Air adds Chongqing-Rome routeFeb 9, 2015
Hainan Airline of China is set to launch direct flights from the city of Chongqing in southwestern China to the Italian capital of Rome starting 27 April, according to an announcement of the Consulate General of Italy in Chongqing. The new route will cut travel time between the two cities to about 13 hours. Flights are scheduled every Monday and Friday, with the plane leaving from Chongqing at 1:30AM and arriving in Rome at 7:50AM. The return flight will depart from Rome at 12:50PM and will arrive in Chongqing at 5:45AM the following day.
Chinese cities to lead logistics rental growthFeb 5, 2015
Demand for logistics space and modern warehousing will remain robust in most Asia Pacific markets this year, and three Chinese cities are expected to lead the rental growth. In its latest forecast, CBRE said the Chinese cities of Guangzhou, Shenzhen and Shanghai will join Osaka and Hong Kong in leading warehousing and logistics space rental growth as demand from retailers, e-commerce firms and third-party logistics companies soar. Shanghai's rental growth will be boosted by strong demand from e-commerce and high-end manufacturing as well as the development of the Pilot Free Trade Zone. In Asia Pacific, the overall rental growth for logistics will be around 2.9% this year, CBRE said.
Sichuan Airlines gets approval to fly to Nepal in MarchFeb 5, 2015
China's Ministry of Culture, Tourism and Civil Aviation has given its approval for Sichuan Airlines to start its operation in Nepal. With the approval, the Chinese airlines company is set to conduct daily flights to Nepal from mid-March through the Chengdu-Lhasa-Kathmandu route using Airbus 319. Sichuan Airlines will begin selling tickets as soon as it gets the corresponding approval from the Civil Aviation Authority of Nepal for slot management. Nepal's regulators said the Chinese airlines will get the slot by third week of February.
Xiamen Airlines and Lucky Airlines to cut domestic fuel surchargesFeb 3, 2015
China-based Xiamen Airlines and Lucky Airlines are set to discard fuel surcharges for local flights from 5 February because of the decline in fuel prices. Other airline firms are set to follow their lead, said top Chinese travel agency Ctrip on 2 February. Airline companies have cut surcharges for five consecutive months due to the fall in oil prices. The price of aviation fuel has dipped to Rmb3,782 (USD605) per tonne, below the Rmb4,140 limit for surcharges.
Volkswagen set to recall 80,000 Audi unitsJan 26, 2015
Automaker Volkswagen AG of Germany is scheduled to recall 80,000 units from its Audi luxury division because of fuel-injection system defects, with about 35,000 of the affected cars coming from mainland China. The automobiles were manufactured from April 2011 to April 2012. China FAW-Volkswagen Automotive Co will start its recall operations on 20 March. China is Audi’s largest market, but latest official figures reveal that China's economic growth was at its lowest in 24 years last year, which affected luxury sales.
Honda and Nissan to recall cars in ChinaJan 26, 2015
Japan-based carmakers Honda and Nissan have revealed that they would recall cars sold in mainland China. Honda (China) began its recall of 28 Acura RLXs on 23 January to repair defective front lights. The units were made from 9 May 2013 to 23 July 2014. Nissan Group of China said it will recall 48 automobile units starting on 27 January in order to fix a problem in the front wheel hub of the Infiniti QX60 model, according to China’s General Administration of Quality Supervision, Inspection and Quarantine.
Aston Martin recalls 602 cars in China due to seat heater problemsJan 9, 2015
Aston Martin has begun the process of recalling 602 vehicles on the Chinese mainland after discovering problems with the seat heater, China's quality supervisor said. The recall involves V8 Vantage, V8 Vantage S, DB9, Virage and DBS vehicles manufactured from October 2006 to October 2014. According to the General Administration of Quality Supervision, Inspection and Quarantine, owners of the recalled vehicles can have their cars repaired for free. The recall was made after it was discovered that the electronic module for the front seat heaters may fail in some vehicles due to lack of monitoring and power-off protection functions.
BMW to pay USD820m to its China dealersJan 6, 2015German automaker BMW will pay a lump sum of about USD820m to its dealers in mainland China. This after BMW's dealers in the country threatened to cease putting in orders due to low sales and increasing inventories. According to the China Automobile Dealers Association, some 70% of BMW's Chinese dealers suffered from losses in 2014. China's dealership structure lets car companies decide on sales quotas for their dealers, making dealers compelled to buy vehicles from the factories despite knowledge that the units do not really sell. CADA added that most dealer inventories are running 1.8 times more than they are really selling, more than 1.5 times, which is considered the alert line.
China opens Alaskan air routeDec 29, 2014
Mainland China launched its first direct air route to the city of Anchorage, Alaska’s biggest city, on 28 December with the takeoff of a Boeing 767 from the city of Changsha in central China's Hunan Province. The plane left Changsha at 5:35 PM and was expected to land in Anchorage in nine and one-half hours, said General Manager Liu Zhiren of Hunan Airport Management Group Co Ltd. The plane will then proceed to Los Angeles, California after a two-hour stopover, Liu added. US-based airliner Dynamic Airways will handle the new route in chartered flights until March 2015 when regular twice-a-week flights will begin.
HK-backed Nicaragua canal project beginsDec 24, 2014
The USD50bn Nicaragua Canal project, seen to be as big as the Panama Canal upon completion in five years' time, is being constructed in the southern region of the country under the auspices of the Nicaragua Canal Development Investment Co Ltd of Hong Kong. The project is believed to be vital for the upgrade of the Central American nation, possibly doubling its revenues, lowering poverty from 14% to 7%, and also providing formal jobs to a fourth of those working in the underground economy. HKND Group Chairman Wang Jing said that the canal project will also benefit other nations in the future who will use the waterway to transport their products.
Hainan Airlines seeks to add nine international routes in 2015Dec 18, 2014
Hainan Airlines Co of China plans to add a maximum of nine international destinations in 2015, the Wall Street Journal reported citing sources familiar with the matter. The Haikou-based firm seeks to open seven long-haul routes from Beijing and one each from Nanjing and Hangzhou. Hainan Air is the fourth-biggest and largest privately-owned airline in the country. International travel from China increased 19% in September this year, according to a report by aviation consultancy company OAG.
50% of China's consumers prefer local tech productsDec 12, 2014
UK-based research firm Mintel Group said at least half of mainland China's consumers think locally-manufactured technology brands are as good as those made overseas. The Mintel report adds that 3,000 people, aged 20 to 49, in ten cities were the subject of an online survey. Around 58% said that the quality of domestic brands is at par with foreign brands. Also, 61% said that they are satisfied with locally-produced tech goods.
China's November non-manufacturing PMI slightly upDec 3, 2014
The services sector of mainland China slightly recovered in November, with the purchasing managers' index for the non-manufacturing industry going up 53.9. It was at 53.8 a month earlier, according to a report that the China Federation of Logistics and Purchasing and the National Bureau of Statistics released together on 3 December. A 50-plus reading shows expansion and a below-50 reading indicates contraction.
DHL to invest USD141m in ChinaNov 21, 2014
US-based DHL Supply Chain, the biggest contract logistics-service provider in the world, will put in another EUR113m (USD141m) in mainland China to boost its business there after experiencing double-digit growth in that country. This brings to EUR218 DHL's total investment in China including last year's investment. DHL Supply Chain Asia Pacific CEO Oscar de Bok said that in six years' time, DHL will have six more logistics hubs in Guangzhou, Hangzhou, Shenyang, Shenzhen, Wuhan, and the Shanghai Free-Trade Zone.