DEER Jet Co, Ltd, a unit of Hainan Airlines Group, is in talks with several Chinese companies with proposals to operate their business jets.

Deer Jet Chairman Du Xiaoping, who runs the biggest business jet fleet in China, declined to disclose the companies' names or the industries they belong to. "Increased business activities among Chinese companies have prompted them to consider buying their own planes or leasing aircraft to facilitate their business trips, and we expect this market to grow quickly within a few years," Du said.

The company became profitable in the past two years after its registration in the 1990s, officials said. Deer Jet was recently awarded a contract to provide operations services for a business jet bought by Want Want Holdings Ltd, a Taiwan-based leisure food producer.

The plane will be used for staff business trips and for VIP guests. The company also hopes to use the aircraft for direct flights across the Taiwan Straight if it gets the green light from Taiwan authorities. The plane is a luxury Gulfstream G200, bought from the US-based manufacturer for US$25 million. Operation and maintenance costs are expected to run US$3 million a year.

The country's booming economy and improved transport system are advancing growth in the sector, which includes aircraft purchased or leased by companies and flights arranged through business charter operators. In Shanghai, local corporate flights are increasing 15 percent annually.

There are now only 12 business jets registered in China. Deer Jet operates seven; Air China, the country's flag carrier, runs two; Shanghai Airlines manages one; and Broad Air Conditioning of central Hunan Province operates two.

Source:佚名