Beijing's new airport of 12.9 billion U.S. dollars will become the world's largest aviation hub

【Global Science and Technology Report】 According to Bloomberg News on June 21, Beijing will build a large new airport. The completion of the airport may pose challenges to China Aviation. The three major Chinese airlines all occupy a dominant position in their respective regions: Air China is in Beijing, China Eastern is in Shanghai, and China Southern Airlines is in Guangzhou. However, in the south of Beijing, a large airport that is about to break the balance has been rising. It has become the world's largest aviation hub, making the three major aviation giants confrontational.

The new airport was delivered in 2019 and designated by the government as the center of the SkyTeam membership. This is a global aviation group that includes Eastern Airlines and China Southern. Both Chinese airlines will be allowed to occupy 40% of the airport's passengers and get the desired European and American routes.

The influence of China's aviation competitors is not limited to domestic, China Airlines and Lufthansa and Uranus Airlines are closely related. China Eastern Airlines mainly flies to Japan and South Korea, while China Southern Airlines focuses on Australia and Southeast Asia.

Liu Xuesong, general manager of the Capital Airport Group, stated that Beijing is trying to build a double aviation hub. The new airport is located in Daxing District, with a total investment of 12.9 billion U.S. dollars (88.1 billion yuan). The plan was proposed in 2014. The average annual passenger throughput is about 100 million person-times. Liu Xuesong predicts that by 2025, Beijing’s twin airports will carry 170 million passenger trips, including 25 million international flights.

At present, there are already two hub cities in the world, such as London, New York, Tokyo and Paris. Several airports can complement each other, for example, one airport is responsible for intercontinental routes, and the other focuses on domestic or regional routes.

The new airport is closer to the city and the transportation is convenient. It can be reached in 25 minutes. Air China's situation is similar to that of British Airways. British Airways is more likely to obtain profits from London Heathrow Airport, and Air China is more likely to win its share of major airlines.

The coalition of Beijing Airport is separated from the third largest group, Oneworld. The group’s member, American Airlines Group Co., Ltd. announced in March that it would purchase China Southern Airlines’ 2.7% stake for 200 million U.S. dollars (1.36 billion yuan), and will deploy part of the flights at the Beijing New Airport as part of the deal.

The Chinese government is trying to carry out airspace reforms in order to create more space for airport construction. It is believed that in the future, the Beijing New Airport will be completed on time and meet our expectations, turning Beijing into a world-class, dual-hub city. (Internship Compilation: Sun Ruyi reviewer: Li Zongze)

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