China's civil aviation regulator has granted an operational license to Beijing Airlines, a business jet joint venture by Air China and the Beijing government, to tap business in the booming high-end travel market.
The carrier, with a registered capital of 1 billion yuan (US$152 million), will cater to high-end clients such as political officials, business leaders and celebrities. It will also engage in the business jet service, aircraft management, aircraft charter and ground handling services.
Air China holds 80 percent of the airline and the Beijing government takes the balance, said Kong Dong, chairman of Beijing-based Air China.
Beijing Airlines will enhance Air China's presence in the high-end market but faces competition from HNA Group, which formed Capital Airlines last year with the Beijing Tourism Group.
