Over the five years through 2018, revenue of the Airline industry in China has been growing at an annual rate of 2.5% to total $80.6 billion. In the aftermath of the global financial crisis, the airline industry rebounded with strong growth in passenger volumes. Total passenger volume was estimated at 606.0 million in 2018, 10.2% up from 2017.The industry is subject to fierce competition, which leads to low industry profit margins. Challenges over the past five years included an unstable global economy and high jet fuel prices, which led to plummeting industry profit in 2011, 2012 and 2013. In addition, the Beijing-Shanghai High-Speed Railway began operations in 2011, intensifying domestic transportation competition...purchase to read more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23

Industry Report - Industry Key Buyers Chapter

The industry's four largest enterprises, China Southern Airlines, Air China, China Eastern Airlines, and Hainan Airlines, are expected to jointly account for 81.5% of industry revenue in 2018. In 2010, Eastern Airlines acquired Shanghai Airlines, and Air China became the controlling shareholder of Shenzhen Airlines, leading to higher industry concentration levels. In the international airlines segment, the industry concentration level is even higher. As airlines merge to gain market share, the industry concentration level is expected to increase.In each major market segment, the industry concentration level is almost the same, due to similar market accessibility requirements for airline agents, travel agents, direct retail agents and online agents. The...purchase to read more.

Additional Insights for the Airlines Industry

IBISWorld identifies 250 Key Success Factors for a business.The most important for the Airlines Industry are

  • Economies of scale
  • Economies of scope
  • Having a good reputation
  • IBISWorld analysts also discuss how external factors such as World price of crude oil and Tourism - Inbound in the Airlines industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Airlines Industry?

    The Airline industry in China operates aircraft for the transportation of passengers. This industry includes international and domestic passenger air transportation services.

    Industry Products
  • Domestic mainline air transportation
  • International air transportation
  • Domestic regional air transportation
  • Industry Activities
  • International passenger air transportation
  • Domestic mainline passenger air transportation
  • Domestic regional passenger air transportation
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • World price of crude oil
  • Tourism - Inbound
  • Competition from Substitutes - Rail Transport
  • Competition from Substitutes - Road Passenger Transport
  • Exchange Rates - Renminbi per $US

  • Current Performance
  • Chart: Revenue Growth

  • Industry Outlook
  • Table: Airlines Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Airlines Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Travel Agencies
  • Households
  • Online Shopping

  • Key Selling Industries
  • Aircraft Manufacturing
  • Airports
  • Oil & Petroleum Refining

  • Products & Services
  • Domestic mainline air transportation
  • International air transportation
  • Domestic regional air transportation
  • Chart: Airlines Industry Products and Services Segmentation

  • Demand Determinants
  • Business activity
  • Tourism
  • Age of air travelers
  • Personal disposable income

  • Major Markets
  • Airline agents
  • Online agents
  • Travel agencies
  • Direct retail
  • Chart: Major Market Segmentation for the Airlines Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Aircraft and traffic servicing
  • Wages
  • Rent
  • Depreciation
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Airlines

  • Basis of Competition
  • Price competition
  • Service-based competition
  • Product strategy
  • Frequent passenger award programs
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Airlines Industry

  • Industry Globalization
    China Southern Airlines Company Limited, China National Aviation Holding Company, China Eastern Air Group, Hainan Airlines Co., Ltd.,
  • Table: China Southern Airlines Company Limited - financial performance
  • Table: China National Aviation Holding Company - financial performance
  • Table: China Eastern Air Group - financial performance
  • Table: Hainan Airlines Co., Ltd. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Airlines Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Airlines Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Total Assets (2009-2023)
  • Passenger Volume (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Available Seat Kilometers (Ask)
  • The number of seats made available for sale multiplied by the distance flown.
  • Passenger Load Factor
  • Passenger-kilometers expressed as a percentage of available seat kilometers (ASK).
  • Passenger Yield
  • Revenue per passenger-kilometer. Calculated as revenue from passenger operations divided by passenger-kilometers.
  • Passenger-Kilometers
  • Unit of measurement representing the transport of one passenger by a defined mode of transport over one kilometer.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Airlines market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Airlines:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Airlines market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Airlines, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.