As China’s state-owned aircraft maker looks to turbocharge production of its C919 passenger jet, local governments are locked in a fierce competition to secure a slice of the lucrative new industry.
The Commercial Aircraft Corporation of China (Comac) has long had its main base in Shanghai, but it is also in discussions with several other regions as it races to put the C919 into mass production.
The company has signed contracts with Chinese airlines to build more than 360 of its narrowbody planes, but it had only delivered 13 as of early December.
“Regions are competing for a slice of the growing pie, and that race is conducive to Beijing’s ambitions for Comac to ultimately take a bite out of the Boeing-Airbus duopoly,” said Fu Weigang, a senior analyst with the Shanghai Institute of Finance and Law think tank.
Shanghai has moved quickly to cement its position as Comac’s main production hub, rolling out a clutch of supportive policies including support for jet engine research and development as early as July.
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