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China to Further Open Civil Aviation Sector

China's entry into the World Trade Organization (WTO) will not have a strong impact on its civil aviation industry, sources with the General Administration of Civil Aviation of China (CAAC) said.

Wu Zhouhong, an official with the International Co-operation Department under CAAC, was quoted by Tuesday's China Daily as saying that formal document detailing what China has committed itself to after joining the WTO is expected to be unveiled early next month.

The aircraft Maintenance, Repair and Overhaul (MRO) is the service sector that will be opened widest to foreign companies, according to the newspaper.

Foreign companies are allowed to establish companies in China --either in the form of join venture or independent companies -- to operate MRO business for Chinese or international air carriers.

But this does not represent a watershed move as foreign companies have already helped establish MRO companies in partnership with Chinese airlines.

Other fields like ticket sales and seat reservation services have also taken root in China in past years, Wu said. Customers inmajor Chinese cities can easily buy air tickets from foreign airlines through agents.

Wu said CAAC is expected to allow foreign airlines to open moredirect ticket agents in China in the months and years after the nation joins the world trade club.

Wu also said CAAC welcomes international air carriers to compete in China's aviation market.

(Xinhua News Agency November 20, 2001)

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