China’s Air Export Growth 2008: ‐1.5%

AMSTERDAM, March 11 2009 (WorldACD) - China's air exports experienced a very weak year; although the average growth in the first ten months of the year equaled 2.0%, November and December significantly lowered that average with growth of -11.8% and -23.3% respectively. Whereas air exports for the full year increased 14.5% in 2006 and 6.3% in 2007, 2008 saw a decline of 1.5%.

High tech air exports declined significantly, especially in 2008’s last two months; cell phone air exports decreased with 25% in November and 45% in December. The largest decreases in Chinese high tech air exports were to the U.S. and the Netherlands. In absolute terms, Chinese air exports of capital equipment & machinery – in particular to Japan and Hong Kong – showed the largest decline in 2008.

China’s catchment areas all showed negative growth for 2008, with the TianJin and Zhejiang provinces showing the largest volume declines.

Whilst air exports declined with 1.5% in 2008, total capacity – measured in ATKs on passenger and freighter aircraft – out of China increased by 8.3% in 2008. It wasn’t until December for capacity to be reduced: freighter capacity out of China decreased by 4% in that month. However, this capacity reduction was not in line with the air trade decline 23.3% in December, so more pressure has been put on carrier’s load factors.