Lease venture predicts huge China market

China Aviation Supplies Import & Export Group Corporation, AerCap, and Calyon Airfinance, have announced a joint investment in a new aircraft operating lease venture
initially dedicated to the People’s Republic of China market.The venture comprises Dragon Aviation Leasing Company Limited, based in
Beijing, People’s Republic of China, and AerDragon Aviation Partners, based
in Shannon, Ireland. The companies have been created to respond to the
growing demand for aircraft in the world, especially in China and other
Asian countries, and will initially focus their activities on narrowbody
  According to estimates by airframe manufacturers, the Chinese domestic
aviation market may require up to 2600 additional aircraft over the next 20
years. Mr Li Hai, Chairman of the CASGC commented: “We are very pleased
about the joint commitment of three of the major players in aviation
finance to this growing market. Our focus on this market is expected to
bring additional benefits to the venture’s future customers and provides
the opportunity for rapid growth and profitability for all stakeholders
through the development of the Chinese aircraft leasing market.” The new
venture expects to build a portfolio of $1billion worth of aircraft in the
next few years.
  Each partner will contribute its own expertise in developing the
venture, CASGC through its key position in the Chinese aviation market,
AerCap through the management of the aircraft, and Calyon as one of the key
institutions in the aviation financing market.