Selling pre-owned aircraft into China

Alasdair Whyte
By Alasdair Whyte January 13, 2011 11:52

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Whilst new sales attract most attention the number of pre-owned sales into China is increasing. There are, however, restrictions on which business jets can be imported.

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Whilst new sales attract most attention the number of pre-owned sales into the country is increasing.

The Chinese aviation regulator (the CAAC) restricts imports to aircraft that meet the following categories:

  • The aircraft has to be less than 10 years old at entry;
  • It can have had no more than three previous owners;

Because of an agreement with the US, in practice, it also needs to have been registered on the US FAA register throughout this time (N-registered). Brokers say it is not worth trying to import aircraft on other registers.

Negotiating with Chinese buyers can also be difficult for brokers. “We are seeing increased demand from China, but their methods of completing a transaction are different,” says one US broker. “We need to decide if we will conform to them or forces them to conform to us; you can guess who will win!”

ExecuJet – which has a full time office in the country – sold a number of aircraft into China in 2010.

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Alasdair Whyte
By Alasdair Whyte January 13, 2011 11:52

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