TMCnet News
Wenzhou Merchants Order 22 Private Jets Worth CNY130mn(SinoCast Transportation Watch Via Thomson Dialog NewsEdge)WENZHOU, January 03, SinoCast -- 22 Wenzhou Merchants, who have spread their businesses to all Chinese cities, order 22 private jets valued at CNY 133.2 million from seven aircraft manufacturers at home and abroad as China's second generation of magnates are quite young and rising. The group of 22 businessmen from Wenzhou, Zhejiang, Eastern China, joined a private aviation club a month ago. The Wenzhou Yueqing Aviation Association, the local-based flight association, held a market promotion conference on December 28, 2005 and seven main aircraft manufacturers from Mainland China, Hong Kong, US and Slovenia showcased 12 brands of airplanes to 40 local entrepreneurs. Xu Weijie, chairman of the Wenzhou Yueqing Aviation Association, told journalists that the promotion conference was intended to help local businessman get acquainted with the aircrafts' price-to-performance ratio, safety and various expenses after takeoff on repair and maintenance, takeoff and landing services, loading and jet fuels. The 22 planes cover ten brands with the most expensive one costing CNY 60 million and the cheapest costing CNY 400,000. The most expensive one is Dassault business jet provided by Avion Pacific Ltd. and the cheapest one is A2C aeroboat provided by the No.605 Institute of China Aviation Industries. Buyers of these planes are senior managers from local companies, such as CHINT, the largest Low-voltage electrical products manufacturer in China, and Delixi Group Co., Ltd., electric power transmission and distribution appliances manufacturer. Wenzhou merchants favor aircrafts priced between CNY 1 million and CNY 5 million. The US jet maker Cessna is the winner at the conference and its products including Cessna 172R and Robinson R22 with an average price of CNY 3 million are ordered by eight businessmen there. A club member from the Wenzhou Yueqing Aviation Association said the planes would be used mostly for business travels in a bid to upgrade the company's image. And they will also fly the plane in their spare time as a way of relaxation. Yang Xiaonong, CEO of China General Aviation Net, a Changsha-based aviation business website in Central China's Hunan Province., said that Wenzhou had become a city in China with the largest number of private planes. China General Aviation Net offers consultation services on aircraft procurement. Luxury cars, fancy yachts and private aircrafts are no longer the epitome of rich people's desires. One Chinese magnate has ordered three Airbus corporate jetliners (ACJs) worth at least CNY 1.3 billion this November. Deliveries of the ACJs will start in 2006, a press release from the European aircraft giant said but did not disclose the name of the customer or whether he is linked to any business. The ACJ Family is derived from Airbus A319 with catalogue price ranging from USD 54.4 million to USD 66.5 million. An Airbus China official said in an interview that more and more Chinese merchants would buy private aircrafts due to fast transportation for their business. In addition, WantWant Group, a key food and drinks producer headquartered in Shanghai, ordered a private Gulfstream 200 Jet this November, which will be delivered in the third quarter of 2006. Industry analysts estimated that China would demand for at least 600 to 1,000 business aircrafts and annual turnover would reach CNY 60 billion. (USD 1 = CNY 8.0702) |