China's new air marshal force is scheduled to be up and flying by the end of this year, a senior official for the nation's top civil aviation authority announced.

The air marshal force, consisting of around 2,000 members selected from security personnel working at domestic airlines, will play an important role in security checks and anti-terrorism operations, said Yang Yuanyuan, director of the General Administration of Civil Aviation of China (CAAC).

As the special force grows, air marshals will be assigned to different airlines, Yang reported at a press conference.

The director also confirmed that his administration had agreed to the establishment of the nation's first budget airline by a domestic privately owned business, pointing out that China has welcomed investment of both domestic and foreign capital into the country's civil aviation industry. But the director stressed that safety and security standards will be elevated for low-cost airlines to ensure safe flights.

"Acquiring approval doesn't mean everything, since there is a long way to go before it launches its operations," Yang cautioned, adding that budget flights are on trial in China.

The low-cost airline, registered as Yinglian Aviation Co. Ltd., is reportedly funded by Guangzhou-based E & Net Communications Co. Ltd. in south China's Guangdong Province.

The private company will establish an independent regional airline in Chengdu, capital of Sichuan Province in southwest China, with a registered capital of 100 million yuan (US$12 million), according to Xinhua News Agency.

Two other privately owned companies are also expecting approvals to conduct such business, said Yang.

In stepping up its efforts to reform the nation's civil aviation industry, the commission has set up partnerships with foreign counterparts.

A cooperation agreement on such areas as air safety, air traffic control and airport management with the Federal Aviation Administration (FAA) of the United States was signed yesterday. Both parties will work together on airplane certification, pilot training, safety data management, financing and developing a flight standard, according to the agreement.

Marion Blakey, the FAA's administrator, said both the challenges and opportunities that China's civil aviation is facing parallel those of the US.

Blakey said that the FAA is ready to share with China its experience organizing security checks during Olympics held in the US as Beijing prepares to host the 2008 Games.

(China Daily February 27, 2004)