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Boeing Biz Jets Soar into China

Boeing Business Jets (BBJ), the business carrier division of the global commercial aircraft maker Boeing Co, will tap into the potentially vibrant Chinese market by making a maiden business trial flight from Beijing to Lhasa today.

"As China's aviation market picks up after the catastrophic severe acute respiratory syndrome (SARS) and the country's economy drives further, we see tremendous market demand and potential for both international and regional business flights," Lee Monson, president of BBJ, told China Daily.

"Tailoring our efforts to the market's requirements, we have begun our business here in China by offering our flagship products. Now, I believe we will make a sound start by transporting Hong Kong business leaders from Beijing to Lhasa," Monson added.

BBJ will use one of its 737s to fly a Hong Kong business delegation from Beijing to Lhasa in the Tibet Autonomous Region on a business trip today. The major goal of the flight by Hong Kong commercial representatives was to make an on-the-spot investigation of Tibet's investment environment.

"The plane used today is a result of modifications to the 737-700. It can fly longer distances, with no stops and without refueling," said David Wang, president of Boeing China. He noted that the aircraft's wings are from a 737-800 and the cargo cabin was modified into fuel tank.

When asked about the market prospects for business jets in China, Wang admitted that, for the time being, the 40-seat 737 may be a little bit too large for the local market. That is because the Chinese business jet market is not yet highly developed and some customers do not take larger business jets out of fears of being thought of as show-offs in terms of their positions of power or wealth.

"But eventually, it will be a trend for our jets to be accepted as the market demand grows further. Business or government leaders will soon find it time-efficient and comfortable. They can even convene a meeting in the plane since it is larger and can fly longer distances," Wang said.

BBJ is busy talking with relevant government departments and carriers for possible sales of the jet. "Right now, we are talking with Air China's VIP operation division in hope of selling our jets," said Manfred Schindler, BBJ's vice-president of international sales.

As the SARS outbreak earlier this year forced regular airlines to cancel flights, high-flying executives began to turn to China's fledgling business jet operators for business trips.

The tiny business jet operations of Hainan Airlines Co and Shanghai Airlines Co Ltd both reported soaring demand, with customers willing to pay top dollar for personal services to avoid commercial flights.

However, most of their business jets are smaller airplanes, such as the eight-seater Hawker 800XP.

(China Daily September 24, 2003)

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