Article: Merging China's major airlines would be premature: CAAC

Merging China's major airlines would be premature: CAAC

BEIJING, Oct. 30 (Xinhua) -- China's General Administration of Civil Aviation (CAAC) said consolidation of the three major airlines - Air China, China Eastern and China Southern - would be a premature move.

Yang Yuanyuan, head of the CAAC, said China's aviation industryneeded competition.

He said: "If China were to have only one airline, with one fixed ticket price, it won't be good news for Chinese consumers."

He said the CAAC wouldn't interfere if the three airlines were to merge, but he "personally wouldn't agree with it".

China's State-owned Assets Supervision and Administration Commission (SASAC) said it would streamline ...

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