Abstract
Subject China's aerospace industry. Significance The two flagship programmes of COMAC, China's civil aircraft manufacturer, have passed milestones. First, China's civil aviation authority certified the design of the company's regional jet as airworthy in late 2014. Second, a prototype C919 airliner -- an aspiring competitor for Boeing's 737 and the Airbus A320 -- is now fully assembled and ready to start tests later this year. Impacts The unknown lifecycle costs of the Chinese aircraft will make buyers wary, even if the upfront cost is competitive. The Chinese airlines who are 'persuaded' to buy these planes will lose out against better-equipped competitors. Concerns over intellectual property, mandatory joint ventures and technology transfer will make foreign suppliers wary of cooperation.
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