A Chinese Competitor to Boeing and Airbus

It does seem likely that Comac’s C919 will eventually receive FAA Certification. There is no doubt that this will take some time. Currently, the Chinese are having difficulty with the certification of their regional jet, the ARJ21-700 as well. The ARJ entered service this past June and has not received any FAA certifications; However, “The ARJ-21 was never intended to be certificated by the FAA.” (“China’s Comac aims for first C919 flight”, 2016) They plan to offer a derivative version of the aircraft to be certified by the FAA. Comac is not doing themselves any favors regrading certifying the aircraft in the United States. Within the past few years, Comac has accumulated C919 work that has little to no FAA involvement. The issue that arises, is whether the FAA will recognize this work that has been done. As this continues, “The FAA's confidence can only decline as the volume of unrecognized work rises.” (Perrett, 2013) Even with these apparent setbacks, there is still a good chance of FAA certification. In an email, the FAA was reported to have said that, “The FAA enjoys a good working relationship with CAAC and we continue to work together to develop a path to work towards certification of the derivative model of the ARJ-21 and, possibly, the C919.” (Govindasamy and Miller, 2015) Even though there are difficulties with the manufacturing process, the FAA, “Could certify an airplane after it enters service if it can be shown to comply with all relevant airworthiness and manufacturing standards.” (Govindasamy and Miller, 2015) Many of Comac’s customers are requesting FAA certification for their aircraft, even though they will be flying domestically in China. It is in Comac’s best interest to insure the FAA blessing. With the right means, I do believe the C919 will find its way to certification.

If the C919 receives certification in the United States, I can see some issues presented through language and culture barriers. I do not believe this will present too large of an issue though. If Comac is interested in selling their product to carriers around the world, I would think that they would have all manuals, and other such items made available for their foreign buyers. Initially, the companies may have to send their pilots to China to become typed for the aircraft, although, along with everything else, I am sure that everything needed for a type rating will shortly be made available in the United States. If we look at this in terms of public perception, I do not think there will be any issues presented at all. When the general public goes to the airport, they are not checking to see where the aircraft they are boarding was manufactured. It is not that common of knowledge, to someone outside the field of aviation, that Airbus is a European company, headquartered in France. The same applies for Embraer, a Brazilian based company.

The Commercial Aircraft Corporation of China, (Comac) is a state owned, and government subsidized aircraft manufacturer. The relationship with Chinese airlines appears to be good. All the orders for Comac’s aircraft are by Chinese air carriers. The relationship with the customer pool is relatively irrelevant as of now. All of, “China’s “major airlines are state-owned, which gives the ruling party a captive pool of potential customers that can be ordered to buy Chinese-made aircraft.” (Mutzabaugh, 2016) As previously stated, Comac has a regional jet, the ARJ 21-700, that they manufacturer as well. This aircraft is farther along than the C919, as it has already had its maiden flight. An article by USA Today states that the, “Regional jet is part of China’s effort to become a major player in the commercial aircraft market.” (Mutzabaugh, 2016)

If the C919 does receive FAA certification, I think that it would still be difficult for it to become a competitor to Boeing or Airbus products. Both Boeing and Airbus are long established companies, and to be a company just emerging into the manufacturing business, they will have to spend some time with government subsidized Chinese companies as their main base of customers, before they will be able to branch out and compete with the rest of the world. Whether in response to the progress of the C919 or not, both Boeing and Airbus, “Launched new versions of the A320 and 737 with engines the same as or similar to the CFM Leap 1 on Comac's aircraft.” (Perrett, 2013) This is making it increasingly difficult for Comac to become a legitimate competitor to the two kings of the industry. The best shot Comac would have for selling their aircraft to foreign companies, would be to offer it at a significantly lower price than the alternative aircraft. Everything in aviation is finding where money can be saved, and Comac has potential to offer a solution. We will have to watch and see what happens throughout the next few years.

References

China’s comac aims for first C919 Flight. (2016, February 24). China’s comac aims for first C919 flight by early 2017: sources. Retrieved from https://tiananmenstremendousachievements.wordpress.com/tag/c919/

Govindasamy, S., Miller, M. (2015, October 21). Exclusive: china-made regional jet set for delivery, but no U.S. certification. Retrieved from http://www.reuters.com/article/us-china-aircraft-arj21-exclusive-idUSKCN0SF2XN20151021

Mutzabaugh, B. (2016, June 30). Now flying: china's first modern passenger jet enters service. Retrieved from http://www.usatoday.com/story/travel/flights/todayinthesky/2016/06/30/now-flying-chinas-first-modern-passenger-jet-enters-service/86549178/

Perrett, B. (2013, December 16). C919 may be largely limited to chinese market. Retrieved from http://aviationweek.com/awin/c919-may-be-largely-limited-chinese-market