Chinese manufacturer talks to Western suppliers as it starts work on cargo aircraft

China's Xian Aircraft (XAC) has begun development of a new four-engined large cargo aircraft intended for civil and military operations.

Industry sources say XAC has assigned a team of engineers to the expected 15- to 20-year project and secured funding from the Chinese government. However, the programme is still in the very early stages and the aircraft has not yet been defined or named. It is expected to be larger than a Lockheed Martin C-130, but smaller than a Boeing C-17, and be powered by four turbofans.

Sources say XAC and parent China Aviation Industries I (AVIC I) aim to develop the aircraft indigenously, but have begun preliminary talks with Western manufacturers to supply engines and other equipment, such as power generation systems.

XAC's intention to sell the aircraft to the Chinese air force and foreign militaries may preclude US manufacturers from submitting bids. But sources say Smiths Aerospace has secured UK government approval to discuss the project with the Chinese.

Until now, XAC has developed only smaller turboprop aircraft such as the Y-7 dual civil/military transport and its more modern offshoot, the 60-seat MA60. But the manufacturer is keen to expand into larger aircraft and tap into China's fast-growing air cargo market and its requirement for a new-generation large military transport.

AVIC I also has ambitions to develop large passenger aircraft that could compete with Airbus and Boeing narrowbodies. AVIC I last year launched a feasibility study of a potential 150-seater that builds on its 85-seat ARJ21 regional jet, which is scheduled for delivery from 2008.

Sources say AVIC I held meetings in May with potential Western suppliers to discuss possible co-operation on the 150-seater, but the suppliers doubt the government will agree to fund development.

BRENDAN SOBIE/SINGAPORE AND ANDREW DOYLE/LONDON

Source: Flight International