China is one of the leading economies in terms of aviation services, as it is the largest country in the world, accounting for more than 1.3 billion citizens. Foreign businessmen who are interested in the aviation industry in China should be familiar with the local legislation, which stipulates the rights and obligations of businesses involved in this sector. Our team of Chinese lawyers can offer legal advice to foreign investors who want to know more on the provisions of the Aviation Law applicable here.
Table of Contents
Chinese Civil Aviation Law
Entrepreneurs who want to establish a business in the field of aviation should know that the Civil Aviation Law applicable here stipulates that the Chinese state offers support to the local industry, as stated in the Article 4 or the Law; the state is also involved in developing civil aviation science.
According to the Chinese legislation, civil aviation refers to any type of aircrafts which do not operate in the following fields:
• military flight missions;
• customs services;
• police services.
The legislation requires registering the nationality of the aircraft; as such, if the aircraft has been registered with the Chinese authorities functioning under the State Council of China, the aircraft will receive a Chinese nationality registration certificate, issued by a civil aviation authority; our team of lawyers in China can provide you with more details on the aircraft registration process.
Aviation companies in China
Foreign investors interested in the aviation procedures applicable in China should know that a civil aircraft must also be registered for its Chinese nationality in the situation in which the aviation company is registered in China under the provisions of the local commercial legislation.
A company owning an aircraft should register at the Chinese authorities the following rights of the airship:
• the ownership of the aircraft;
• the right of acquisition;
• the right to own the aircraft though a lease contract;
• mortgage rights.
Civil aviation is regulated by the Civil Aviation Administration of China, a body which can establish a set of rules and regulations related to air traffic, traffic controls, establishing new airports and also regulate the aviation market (including the guidelines related to the prices applicable in the industry).
If you need further information on the aviation industry in China, please contact our team of Chinese lawyers for assistance.