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    Economy

    China's aviation sector continues to fly high

    1
    2016-05-19 11:22CCTV Editor: Feng Shuang

    While the global aviation sector is showing signs of slower growth, the world's second largest economy here in China is experiencing an aviation boom. China is forecast to overtake the United States as the world's largest passenger market by 2029.

    Take-off or landing? The global air passenger market soared 7% in the first quarter - that's the strongest start to a year since 2012.

    But there are signs that growth may slow. The International Air Transport Association has warned of turbulence and that the stimulus that air traffic has received from low oil prices and fuel costs is starting to fade.

    But so far, the trade body expects the decline in airfares to support passenger growth over the coming months.

    The IATA is sticking to its 2016 profit outlook for the global airline industry of 36.3 billion US dollars. That's up from around 33 billion US dollars last year.

    That's a net profit margin of 5.1%. And around 3.8 billion passengers are expected to travel in 2016 worldwide.

    "I am traveling to Changsha today. The travel style of today, the domestic and international tourism are all contributing to this growth," said Li Hongjun, flight passenger.

    That's why China's largest privately owned carrier Hainan Airlines is broadening its global reach and adding more international routes.

    Despite headwinds, the 200-member association also forecasts that China will overtake the US as the world's largest passenger market by 2029, and that by 2034, China will account for 1.2 billion passengers worldwide.

    Easier visa procedures will also boost the growth.

    China's aviation boom has also been driving a frenzy in airport construction.

    This is the terminal 3 at Beijing Capital Airport – the second-busiest airport in the world in terms of passenger traffic after Atlanta. Soon there will be the new Beijing International Airport Terminal 1 - designed by the late star architect Zaha Hadid.

    The new facility will serve 125,000 passengers each day and become the world's largest. It is due for completion in 2019. 

      

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