Transcript C919 Airplane & China Civil Aviation Market

C919 Airplane & China Civil Aviation Market
TIAN Min
CFO
Commercial Aircraft Corporation of China, Ltd.
May 12th, 2010
 China civil aviation market develops
continuously and steadily
 C919, the plane that meets the need of China’s
aviation market
（Ⅰ） Introduction of China’s economy and aviation transportation development
China’s economy and aviation transportation development
for the next 2 decades are forecast as follows
(Hong Kong, Macao and Taiwan excluded)

according to the estimation of World Bank and other relevant authorities,
the annual average growth rate of China’s GDP is 6.6%
 annual average growth rate of RPK：8.2%
 annual average growth rate of RTK：10.2%
 newly delivered planes：3795
(the above data source: Aviation Industry Development Research Center )
(Ⅱ）Current situation and development trend of China’s economy
and aviation transportation development

The Quick Development in Air Transportation Industry: Over the past decade, with
the positive influence of sustained growth of Chinese economy, especially with the fast
development in import, export and tourism, together with the change in citizens’
consumption structure and growing pace of urbanization, the average annual growth rate
of total turnover of air transportation reached 15%. The share of air transportation in mass
transportation system increased from 1.6% in 1978 to 12.3% in 2009.
(data source: Aviation Industry Development Research Center )
The RTK of China keeps increasing.
RTK
航空运输总周转量
(亿吨公里）
500 Billion ton-
km
中国民航航空运输总周转量增长情况（1998-2009）
The growth of RTK of China civil aviation (1998-2009)
40%
450
35%
400
30%
350
25%
300
250
20%
200
15%
150
10%
100
5%
50
0
0%
1998
1999
2000
2001
2002
2003
2004
年份
2005
2006
2007
2008
2009
 The Fast Expansion in the Scale of Air Transportation:
There were 523 planes in Chinese Airliner fleet in 1998, while the number reached
1400 in 2009. The number of air line increased to 1532 in 2008 from 1122 in 1998.
By the end of 2008, there were 41 airline corporations having independent legal
entity status.
(data source: Aviation Industry Development Research Center )
The fleet scale expands continuously.
Fleet Development Chart (1998-2009)
No. of planes
中国机队发展变化图（1998-2009）
飞机架数
1600
1411
1400
1200
1000
1134
Number of seats in the fleet of China Aviation in 2009:
Single-aisle planes account for 80%
863
998
754
800
600
1259
2009年中国民航机队座位数分布：
单通道飞机占80%
523
527
566
602
510
1998
1999
2000
2001
2002
664
400
200
0
2003
2004
年份
2005
year
2006
2007
2008
2009
 The Accelerated Construction of Civil Aviation
Infrastructures:
By the end of 2008, there were 160 civil airports (HK, Macau and Taiwan
excluded). The number planned will reach 244 in 2020.
Infrastructures, such as civil aviation operation centre, meteorological
centre, multi-area control centre, and the terminal control centre, will be
put into construction.
 Austere Challenges Faced by Air Transportation Industry:
The cost increase in fuel forced airline companies to adopt plane types
with lower running costs；
In hub airports, the increase of flights is restricted by the air traffic flow
control.
The large scale construction in high speed railway will exert significant
impact on domestic short-distance flights.
Chinese civil aviation will face more fierce competition in the international
market. Low carbon economy and Europe emission legislation will exert
important influence on air transportation industry and aviation
manufacturer.
(the above data source: Aviation Industry Development Research Center )
(Ⅲ)The Driving Force of China Civil Aviation Market Development
1. The steady economic growth of China is the main driving force for
China Civil aviation development.
In 2009，China’s GDP reached 33.5353 trillion yuan,
increasing by 8.7% compared with that in 2008.
2. The economic globalization and external economic and cultural
communication provide the important source of passengers for aviation
transportation.
3. The urbanization rate keeps increasing. According to the statistics of
State Statistics Bureau, the urbanization rate of China increased from
30.9% in 1999 to 46.6% in 2009. It is estimated that the urbanization rate
will reach 55% to 60% after 20 years.
4. The fast development of traveling industry is the important factor for promoting
domestic civil aviation transportation development.
The World Tourism Organization forecasts that by 2020 China will become the top tourist
destination country and the fourth largest outbound tourist country.
5. The income level is continuously growing year after year, The residents'
consumption structure has been upgraded. More people choose airlines as their
way of traveling, which becomes the driving force for China aviation transportation
industry growth.
According to the statistics of Civil Aviation Administration of China, a person in China takes an
average of 0.17 flight in 2009, with considerable growth potential (North America being 2.3
times)
6. The airport construction accelerates.
By 2020, the total number of civil airports planned for China will reach 244; over 80% of the
county administration units can enjoy aviation services within 100 kilometers of ground
transportation or 1.5 hours of cars range.
(the above data source: Civil Aviation Administration of China, 2008)
(Ⅳ) China Aviation Market Forecast(2009-2028)
(data source: Aviation Industry Development Research Center )
中航工业中国民机客机需求量预测（2009-2028）
Civil planes demand forecast (2009-2028)
400座级, 90,
30/50座级,
2%
300座级,
408, 11%
298, 8%
200座级,
554, 15%
70/90座级,
466, 12%
到2028年底
中国共需要新
飞机3796架
110座级,
408, 11%
150座级,
1572, 41%
座级： seats
数据来源：ADR
 China civil aviation market develops
continuously and steadily
 C919 , the plane that meets the need of
China’s aviation market
（Ⅰ）C919 Program's Market Positioning
The domestic large commercial aircraft of C919 program
is now being developed by COMAC.
C919 program chooses domestic market as the entry point
and gives equal consideration to global market.
Providing serialized development mode with different seat
numbers and flying range (Including: basic, shortened,
lengthened and altiplano models and so on) to meet the various
demands of customers.
C919 airplane standard model flight range: 2,200NM (4075km),
lengthened model
: 3,000NM (5555km).
(Ⅱ)The Green airplane --C919 airplane
The C919 airplane is to supply single-aisle mid-short range commercial transport airplane
series to the civil aviation market after 10 to 20 years with safe, comfortable, energy-saving,
environment-friendly features and with competitiveness. The seating capacity of Basic model
all economy class is 168 seats, while mixed class is 156 seats.
Compared with same seat airplane, it decreases the emission level of carbon by 50% and
kerosene consumption by 12%-15%, DOC by 10%.
Cabin layout
Mixed class
156
168
Full economy class
New Generation Engine Leap-X
 New generation Leap-X engine, developed
by CFM company
 Up to 13% lower fuel consumption vs CFM56
 10 - 15 db lower noise vs ICAO Stage 4
 50% lower NOx emissions vs ICAO CAEP 6
World-class System Suppliers

APU (Honeywell/Harbin Dongan)

Environmental control system (Liebherr/Nanjing Jincheng)
 Power system (Hamilton Sundstrand/Air China 115 factory)

High lift in flight control system (Moog/Qingan)

Hydraulic pressure system (Parker/Nanjing Jincheng)
 Furl system (Parker/Nanjing Jincheng)
 Primary flight control actuator (Parker/Air China 618 Institute)
(Ⅲ)C919 airplane provides the opportunities
for the China’s civil aviation
 C919 airplane can meet the operating demand of China’s civil aviation
between big and middle city and short international routes.
 C919 airplane provides more aircraft type choice for route operation，and
replaces old age narrow-body aircraft.
 With low operation cost, C919 meets the operation demand of low cost
airline companies.
 The local customer-support will release the operation's worry for China’s
airline companies.
 C919 airplane provides more cabin comfort and bring better service for
passengers.
(Ⅳ)Research Plan and Project Progress of C919 Program
C919 airplanes are planed to have the First Flight at the end of 2014,
and come into service after obtaining TC in 2016.
The C919 program is now entering into the pre-development phase.
Breakthrough has been achieved in many fields, such as further
development of concept design, research and development of nose
engineering coordination mock-up, selection of domestic and
international suppliers, research and development of domestic-made
materials, tacking key technologies and establishment of maintenance
support.
Summary
 C919 airplane can meet the development need of
china civil aviation market,
 bringing profit to clients and satisfaction to passengers.
Thank You!
It is the nation and its people’s wish and will
that one day China’s large planes can soar into the sky .