Cessna and AVIC join forces in China

Cessna Aircraft and Aviation Industry Corporation of China (AVIC) will be signing two strategic agreements to develop general and business aviation in China.

The first agreement between AVIC and Cessna is an agreement between the companies that is intended to lead to the formation of joint ventures that will pursue various activities relating to the development of general aviation businesses in China, including the establishment of an aircraft service network in China.

The second is a specific cooperation agreement between Cessna Aircraft Company, AVIC Aviation Techniques Co (AAT) and the Chengdu government to enter into negotiations to establish a joint venture to produce mid-size Cessna business jet models, as well as a potential new product for the business jet market.

Scott Ernest, Cessna president and chief executive officer says: “We are extremely pleased to be entering into these strategic agreements. China’s market potential is tremendous and therefore represents an exciting opportunity for Cessna. China recognizes general aviation offers the foundation to support its national air transportation needs for the future. These agreements will help take the industry to the next level.”

In the next year, Cessna and AVIC are planning to launch a number of joint venture companies which will focus on implementing the first phase of the strategic agreements.