Chinese Planemaker COMAC Eyes Saudi Arabia for International Expansion

COMAC is eyeing Saudi Arabia as a launchpad for its international ambitions, as it ramps up efforts to sell overseas.
COMAC is eyeing Saudi Arabia as a launchpad for its international ambitions, as it ramps up efforts to sell overseas.

Chinese planemaker COMAC is eyeing Saudi Arabia as a launch pad for its international ambitions. The state-owned company is stepping up efforts to sell overseas and break into a passenger jet market dominated by Western manufacturers.

Chairman Dongfeng He visited Saudi Arabia for the first time this week. In February, amid warming ties between the two major economies, he welcomed a Saudi delegation to the company’s Shanghai facilities.

Enhancing Global Connectivity:

He told an aviation conference in Riyadh on Tuesday that “COMAC envisions enhancing global connectivity and diversity by contributing to Saudi Arabia’s aviation transportation development.”

Challenges in International Markets:

Aviation industry sources, however, caution that COMAC is a long way from making inroads internationally, especially without benchmark certifications from the United States or European Union or more efficient planes.

COMAC’s planes fly almost exclusively within China and with one Indonesian airline. Founded in 2008, the company is looking for international customers.

It recently showcased its planes around Southeast Asia and is pursuing certification with Europe’s aviation regulator for its C919 narrow-body jet.

Potential Collaboration with Saudia:

During His visit, Saudia Group, owner of Saudia Airline and budget carrier Flyadeal, said it invited COMAC to set up an assembly line in Jeddah, confirming a report in The National Newspaper, which is based in the United Arab Emirates.

The report said Saudia is also talking to COMAC to better understand the C919 jet, but no decisions have been made.

Vision 2030 and Aviation Expansion:

Saudi Arabia is throwing billions of dollars at its Vision 2030 plan to diversify its economy away from fossil fuels and develop a vibrant private sector.

The plan includes a massive expansion in aviation, with new airlines and jet orders. It also plans for a huge international airport as it takes on its regional rival and current Gulf travel hub, the UAE.

COMAC Operational Planes:

COMAC’s He said its two operational planes, the C919 and ARJ21 regional jet, could serve Saudi’s growing domestic and regional flight market.

“COMAC plans to enhance connectivity within a 2,000-km radius, spanning the Arabian Peninsula, the Middle East, Turkey, North Africa, and beyond,” He said. This distance is equivalent to 1,200 miles.

COMAC also wants to launch a long-haul wide-body plane, the C929, which, he said, could serve Saudi Arabia’s plans for an international hub. But the program has suffered delays, and the craft has not yet taken to the sky.

Ongoing Diplomatic Engagements:

The Saudi finance minister was in China this week, and a delegation, including the kingdom’s investment minister, will also travel this week.

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Tony Boyce is a seasoned journalist and editor at Sharks Magazine, where his expertise in business and startups journalism shines through his compelling storytelling and in-depth analysis. With 12 years of experience navigating the intricate world of entrepreneurship and business news, Tony has become a trusted voice for readers seeking insights into the latest trends, strategies, and success stories.

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