China starts air ticket price reform

Airline Industry Information, March 12, 2001

AIRLINE INDUSTRY INFORMATION-(C)1997-2001 M2 COMMUNICATIONS LTD

Airline industry observers have indicated that air ticket price reform has commenced in China, with Chinese airlines being allowed to offer different prices on seven major air routes in the country.

A spokesperson for China's General Administration of Civil Aviation indicated on 9 March that different prices, based on loading schedules, could now be offered by Chinese carriers between Changhai and Guangzhou, Shanghai and Shenzen, Shanghai and Chongqing, Beijing and Gangzhou, Beijing and Shenzen, Guangzhou and Kunming, and Shenzen and Chengdu.

Local aviation observers have apparently been more cautious about the significance of the moves, stating that it could just be a trial before prices are fully liberalised, Xinhua News Agency reported.

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