The design of the body structure and the undercarriage system has been settled and the manufacture of components will begin before the end of this year, said Liu Gaozhuo, general manager of the No.1 Group of China Airline Industry.

First launched in October 2000, the project was listed in the Tenth Five-Year Plan (2001-2005) in 2001. Since then, research and preparation for the new turbofan aircraft carried on smoothly.

To speed design and manufacture of the plane, the former Xi'an Aircraft Design Research Institute and the Shanghai Plane Design Research Institute were merged to create a new design institute, the No.1 Aircraft Research Institute under the No.1 Group of China Airline Industry.

According to design, the new plane will come in two models, seating 78 to 85 passengers and flying 2,225 kilometers and 3,700 kilometers respectively.

All the power equipment, undercarriage and body material will be ordered through bidding on the world market.

Though the feeder flight market is in its infancy in China, it has a strong prospects and will become a new growth point in the aviation industry, said Liu.

(Xinhua News Agency July 7, 2003)