C919 manufacturer sets up shop in Singapore as China eyes Southeast Asia
text size

C919 manufacturer sets up shop in Singapore as China eyes Southeast Asia

China's first domestically manufactured passenger aircraft Comac C919 flies over Victoria Harbour during its inaugural voyage outside the mainland, in Hong Kong, China, on Dec 16, 2023. (Photo: Reuters)
China's first domestically manufactured passenger aircraft Comac C919 flies over Victoria Harbour during its inaugural voyage outside the mainland, in Hong Kong, China, on Dec 16, 2023. (Photo: Reuters)

China's leading aircraft manufacturer opened an Asia-Pacific office in Singapore this week, marking a significant step towards challenging Boeing and Airbus in the international aviation market.

It is hoped the Commercial Aircraft Corporation of China (Comac) office would become a launch pad for China's home-grown C919 narrowbody airliner and its ARJ21 regional jet in Southeast Asia.

Also on Tuesday, an ARJ21 belonging to Indonesian airline TransNusa completed its maiden 2,700 kilometre flight between Manado in Indonesia and the southern Chinese city of Guangzhou, which marked the longest commercial route for China's home-grown regional aircraft.

TransNusa is the first overseas airline to operate the ARJ21, with three in service on routes between Indonesian islands, as well as Kuala Lumpur in Malaysia.

Despite opening an office in Singapore on Monday as a strategic showroom, analysts said the state-owned aircraft manufacturer still needed to extend the reach of maintenance and tech support services beyond China.

"Aircraft manufacturers of global stature all need to knit a worldwide network of offices to better support customers and pitch for orders," said Mayur Patel, the Asia head for Singapore-based global industry data provider OAG Aviation.

"For the C919 maker, this is significant as a step closer to such stature."

Comac said that the new office in Singapore would enable closer and more comprehensive services for clients in the region, including international airlines, maintenance partners and suppliers.

The office would also promote technical exchanges and guarantee supply chains in the region, it added.

Comac had picked the city state to showcase the C919 and ARJ21 to an international audience for the first time during February's Singapore Airshow.

"The Singapore office can be a node and platform to engage with prospective buyers in the fast growing region of Asia-Pacific, in particular Southeast Asia … you set up shop in a place where you are most certain to win more business," Patel added.

The C919, China's equivalent to Boeing and Airbus' bestselling and most lucrative single-aisle models, has already secured orders from GallopAir, a new carrier in Brunei that is set to commence service by the end of the year.

Laos also indicated interest in the jets during a visit by Premier Li Qiang earlier this month.

In a joint communique, China praised Laos' intention to cooperate on Chinese commercial aircraft and welcomed its aviation enterprises to introduce the aircraft, although neither the C919 or ARJ21 were named.

There have also been reports suggesting Comac is set to open an office in Hong Kong.

"Assuming that Comac can sell the C919 overseas, it is yet to have a full corresponding engineering team to perform aftermarket services, even in regions as close as Southeast Asia," said Li Hanming, the founder of a US-based aviation consultancy.

"Comac has to expand its presence to become a contender that can be taken seriously, when Boeing and Airbus have a network of sales and maintenance facilities around the world and spare parts support at virtually all major airports."

Do you like the content of this article?
COMMENT (1)