Major stake in Tianjin plant

EUROPEAN aircraft manufacturer Airbus SAS will hold a majority 51 percent stake in the new Tianjin assembly facility, according to Zhang Hongbiao, general manager of the China Aviation Industry Corp II.

The remaining 49 percent will be held by Tianjin Zhongtian Aviation Industry Investment Co, Zhang told Xinhua news agency. Investors in the new Chinese company include Hafei Aviation Industry Co and Jiangxi Hongdu Aviation Industry Co, both of which are affiliated to AVIC II, Tianjin Bonded Zone Investment Co, and China Aviation Industry Corp I, the other leading Chinese aircraft maker.

The Chinese company's registered capital of 300 million yuan (US$38.46 million) includes 180 million yuan from Tianjin Bonded Zone Investment, 60 million yuan from AVIC I, 30 million yuan from Hafei and a further 30 million yuan from Hongdu. The joint-venture aircraft assembly plant will begin operating in early 2009. By 2011 it will be producing four A320 planes a month.