Airlines See New Restrictions

Effective at the end of this year, airlines that are not based in Beijing, Shanghai and Guangzhou will be barred from flying on routes linking two of the three cities, the Civil Aviation Administration of China has announced.

The industry watchdog said the move, already approved by the State Council, is aimed at reorganizing domestic air traffic in line with a program to combine Chinese carriers into three major airline groups. Analysts believed it will help regulate the country's airline-ticketing market by limiting unfair competition. It also will help the government push forward its long-term plan to build Beijing, Shanghai and Guangzhou into three national aviation hubs, they said.

( eastday.com February 27, 2002)

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