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China Eastern Airlines

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China Eastern Airlines
Trung Quốc phương đông hàng không công ty
IATA ICAO Call sign
MU CES CHINA EASTERN
FoundedJune 25, 1988;36 years ago(1988-06-25)
Hubs
Secondary hubs
Focus cities
Frequent-flyer programEastern Miles
AllianceSkyTeam
Subsidiaries
Fleet size639
Destinations223[2]
Parent companyChina Eastern Air Holding Company
Traded as
HeadquartersNo. 2550 Hongqiao Road,Changning,Shanghai
Key people
RevenueIncreaseCN¥85.25 billion (2012)[3]
Operating incomeIncreaseCN¥4.228 billion (2012)[3]
Net incomeDecreaseCN¥2.808 billion (2012)[3]
Total assetsIncreaseCN¥123.82 billion (2012)[3]
Total equityIncreaseCN¥22.93 billion (2012)[3]
Employees80,000 (March 2022)
Websitewww.ceair
China Eastern Airlines
Simplified ChineseTrung QuốcPhương đôngHàng khôngCông ty
Traditional ChineseTrung Quốc phương đông hàng không công ty
Transcriptions
Standard Mandarin
Hanyu PinyinZhōngguó Dōngfāng Hángkōng Gōngsī
Wu
RomanizationTsonBìnhkohNhậpTonBìnhFonBìnhOnThượngkoenBìnhGonBìnhsehBình
Abbreviation
Simplified ChineseĐôngHàng
Traditional ChineseĐông hàng
Transcriptions
Standard Mandarin
Hanyu Pinyindōng háng
Wu
RomanizationTonBìnhOnThượng

China Eastern Airlines(branded asChina Eastern) is a major airline in China, headquartered inChangning,Shanghai.It is one of the three major airlines in the country, along withAir ChinaandChina Southern Airlines.

China Eastern's mainhubsareShanghai Pudong International AirportandShanghai Hongqiao International Airportboth located inShanghai.In terms of passenger traffic, it is the country's second largest airline afterChina Southern Airlines.In 2021, its operational revenue was 67,127 millionRMBwith assets totaling 286,548 millionRMB.[4]China Eastern (along with its subsidiaryShanghai Airlines) became the 14th member ofSkyTeamon June 21, 2011.[5]

History

[edit]

China Eastern Airlines was established on June 25, 1988, under theCivil Aviation Administration of ChinaHuadong Administration. In 1997, China Eastern took over the unprofitableChina General Aviationand also became the country's first airline to offer shares on the international market. In 1998, it foundedChina Cargo Airlinesin a joint venture withCOSCO.In March 2001, it completed the takeover ofGreat Wall Airlines.[6]China Yunnan AirlinesandChina Northwest Airlinesmerged into China Eastern Airlines in 2003.[citation needed]The company slogan isWorld-Class Hospitality with Eastern Charm(Thế giới phẩm vị, phương đông mị lực).[citation needed]

Liu Shaoyong in 2014

The Chinese government has a majority ownership stake in China Eastern Airlines (61.64%), while some shares are publicly held (H shares,32.19%);A shares,6.17%. On April 20, 2006, the media broke the news of a possible sale of up to 20% of its stake to foreign investors, includingSingapore Airlines,EmiratesandJapan Airlines,with Singapore Airlines confirming that negotiations were underway.[7][8]

After receiving approval from theState Council of China,it was announced that on September 2, 2007,Singapore AirlinesandTemasek Holdings(holding company which owns 55% of Singapore Airlines) would jointly acquire shares of China Eastern Airlines.[9][10]On November 9, 2007, investors signed a final agreement to buy a combined 24% stake in China Eastern Airlines: Singapore Airlines would own 15.73% and Temasek Holdings an 8.27% stake in the airline.[11] Singapore Airlines' pending entry into the Chinese market prompted the Hong Kong carrierCathay Pacificto attempt to block the deal by buying a significant stake in China Eastern and voting down the deal together withAir China(which already held an 11% stake in China Eastern) at the shareholders' meeting in December 2007.[12][13]However, on September 24, Cathay Pacific announced that it had abandoned these plans.[14]

Air China's parent company, state-ownedChina National Aviation Corporation,announced in January 2008 that it would offer 32% more than Singapore Airlines for the 24% stake in China Eastern, potentially complicating the deal that Singapore Airlines andTemasekhad proposed by Beckett Saufley.[15]However, minority shareholders declined the offer made by Singapore Airlines. It is thought that this was due to the massive effort made byAir Chinato buy the 24% stake.[16]

On June 11, 2009, it was announced that China Eastern Airlines would merge with Shanghai Airlines.[17]The merger of China Eastern and Shanghai Airlines was expected to reduce excess competition between the two Shanghai-based carriers while consolidating Shanghai's status as an international aviation hub. In February 2010, the merger was completed.[18]Shanghai Airlines became a wholly owned subsidiary of China Eastern Airlines. However, Shanghai Airlines retained its brand and livery. The new combined airline was expected to have over half of the market share in Shanghai, the financial hub of China.[citation needed]China Eastern Airlines also acquiredChina United Airlinesin October 2010.[19]

In March 2012, it was announced that China Eastern was forging astrategic alliancewith theQantas Groupto set upJetstar Hong Kong,a newlow cost airlineto be based atHong Kong International Airport,which would commence operations in 2013.[20]China Eastern would hold a 50% stake in the new airline, with the Qantas Group holding the other 50%, representing a total investment of US$198 million.[21]However, in June 2015, the Hong Kong Air Transport Licensing Authority refused to issue an operating license to Jetstar Hong Kong. China Eastern and Qantas subsequently announced the end of the investment.[22]

In April 2013, China Eastern received a temporary permit to operate in the Philippines, but theCivil Aviation Authority of the Philippinesrequired them to obtain a technical permit and an airport slot.[23][24]

In 2012, China Eastern was awarded the “Golden Ting Award” at the China Capital Market Annual Conference 2012, recognizing it as one of the 50 most valuable Chinese brands byWPPand ranking in the top ten of FORTUNE China's CSR ranking 2013.[citation needed]

On September 9, 2014, China Eastern introduced a new logo and new livery.[25]In 2015, the airline entered a partnership withDelta Air Linesin which Delta will buy a 3.55% share in China Eastern for $450 million.[26]

In 2017, China Eastern Airlines reported a net profit of CNY6.4 billion ($983 million), up 41% over net income of CNY4.5 billion in 2016.[27]

On February 26, 2020, China Eastern Airlines launchedOTT Airlinesas a subsidiary to operate domestically produced aircraft, such as theComac C919andComac ARJ21,in theYangtze Deltaregion in addition to business jet operations.[28][29]

Corporate affairs

[edit]
Current headquarters atShanghai Hongqiao Airport,shared withShanghai Airlines
China Eastern Airlines branch atBeijing Da xing International Airport
[edit]

The key trends for the China Eastern Airlines Group are (as of the financial year ending 31 December):[30]

Net profit
(RMBb)
Number of
employees
Number of
passengers
(m)
Passenger
load factor
(%)
Fleet size References
2013 2.0 68,874 79.0 79.2 478 [31]
2014 3.5 69,849 83.8 79.5 515 [32]
2015 5.0 71,033 93.7 80.5 551 [33]
2016 4.9 75,333 101 81.2 596 [34]
2017 6.8 75,277 110 81.0 637 [35]
2018 2.6 77,005 121 82.2 692 [36]
2019 3.1 81,136 130 82.0 734 [37]
2020 −11.8 81,157 74.6 70.5 734 [38]
2021 −12.2 80,321 79.0 67.7 758 [39]
2022 −37.3 80,193 74.6 63.7 778 [40]

Organizational structure

[edit]
Organizational Structure

[41]

Ownership structure

[edit]
[42] Owner Number of shares held Percentage of shares held
1 China Eastern Airlines Group Co. LTD 7567853802 40.1
2 HKSCC NOMINEES LIMITED 4701157885↓ 24.91
3 Shanghai Jidao Hang Enterprise Management Co., LTD 589041096 3.12
4 China Aviation Oil Group Co. LTD 502767895 2.66
5 Delta Air Lines, Inc. 465910000 2.47
6 Shanghai Reed Information Technology Consulting Co. LTD 465838509 2.47
7 China Eastern Financial Holding Co. LTD 457317073 2.42
8 China Securities Finance Co. LTD 429673382 2.28
9 Shanghai Junyao (Group) Co. LTD 311831909 1.65
10 China State-owned Enterprise Restructuring Fund Co., LTD 273972602 1.45

Cooperation with Delta Air Lines

[edit]

Delta Air Lines and China Eastern Airlines formed a partnership in 2010 with a codeshare agreement, expanding in 2011 when China Eastern joined SkyTeam Alliances. They connected 42 city pairs between the U.S. and China and fostered a strong friendship. In 2015, they entered into an equity partnership, with Delta investing $450 million for a 3.55% stake in China Eastern. This led to significant achievements, including an expanded network with over 170 city pairs and the launch of Trans-China baggage check-through service. The partnership has brought numerous benefits to both airlines and their customers.[43]

Destinations

[edit]

China Eastern Airlines has a strong presence on routes in Asia, North America and Australia. The airline looks to exploit the domestic market potential as it boosts flight frequencies from Shanghai to other Chinese cities. The airline is also accelerating the pace of international expansion by increasing flight frequencies to international destinations. In 2007, it began operations toNew York Cityfrom Shanghai, making it the longestnon-stop routefor the airline. In 2016, China Eastern Airlines also launched direct flights from Shanghai toPrague,Amsterdam,MadridandSt. Petersburg.[citation needed]

Codeshare agreements

[edit]

China Eastern Airlines hascodeshare agreementswith the following airlines:[44]

Fleet

[edit]

Current fleet

[edit]
China Eastern AirlinesAirbus A320-200taxiing atKansai International Airport
China Eastern AirlinesAirbus A320neo
China Eastern AirlinesComac C919
A China Eastern AirlinesBoeing 777-300ERatLos Angeles International Airport
China Eastern Yunnan AirlinesBoeing 787-9atBeijing Capital International Airport
China Eastern AirlinesAirbus A350-900atBeijing Capital International Airport

As of July 2024,China Eastern Airlines operates the following aircraft:[citation needed]

China Eastern Airlines Passenger Fleet
Aircraft In service Orders Passengers[46][47][48] Notes
F J W Y Total
Airbus A319-100 35 8 114 122
Airbus A320-200 173 8 150 158
Airbus A320neo 106 31[49] 8 18 132 158 Second largest operator.[49]
Airbus A321-200 77 20 155 175
12 166 178
170 182
Airbus A321neo 68[49] TBA
Airbus A330-200 30 30 202 232
204 234
24 240 264
18 246 264
Airbus A330-300 26 38 262 300
32 32 230 294
Airbus A350-900 20 4[50] 36 32 216 288
Boeing 737-700 36 8 126 134
140 140
Boeing 737-800 102 20 138 158
12 150 162
8 162 170
18 150 176
Boeing 737 MAX 8 3 8[51][52] 8 18 150 176 Deliveries through 2024.[51]
Boeing 777-300ER 20 6 52 258 316
Boeing 787-9 3 2[53][a] 4[56] 26 28 227 285 Deliveries through 2024.[53]
Comac ARJ21 24 11 90 90 Deliveries through 2025. Transferred fromOTT Airlines.
Comac C919 8 97[57] 8 156 164 Launch customer
Order with 15 options.[58]
Deliveries through 2031.[57]
Total 665 218

China Eastern Airlines was the first Chinese airline to place an order withAirbus.The backbone of the fleet is the A320 series, which are used primarily on domestic flights.[citation needed]

In 2005, China Eastern Airlines placed an order for 15Boeing 787 Dreamliners.The airline subsequently cancelled its order owing to continuous delays, instead swapped the 787 order forBoeing 737 Next Generationaircraft,[59]

On October 18, 2011, China Eastern Airlines placed an order for 15Airbus A330s.[60][61]

China Eastern Airlines ordered 20Boeing 777-300ERsand received its first 777-300ER aircraft on September 26, 2014.[62]

In 2015, the airline acquired a further batch of 15 Airbus A330 aircraft for delivery in 2017 and 2018.[63]

In April 2016, China Eastern Airlines ordered 20 Airbus A350-900 and 15 Boeing 787-9 aircraft, with deliveries commencing in 2018.[53]

In May 2021, China Eastern Airlines introduced fiveA320neosand oneARJ21.At of the end of the month, the company operated a total of 738 aircraft.[64]

Former fleet

[edit]
An Airbus A310-222 of China Eastern Airlines at the Beijing Civil Aviation Museum
A China Eastern Airlines Xian Y-7-100C at At Tianjin Binhai International
A McDonnell Douglas MD-11 of China Eastern Airlines

China Eastern Airlines has previously operated the following aircraft:[citation needed]

China Eastern Airlines Retired Fleet
Aircraft Total Introduced Retired Notes
Airbus A300-600R 10 1989 2015
Airbus A300-600RF 3 1993 2015
Airbus A310-200 3 1988 2006
Airbus A310-300 2 1988 1994
Airbus A318-100 1 2012 2020 Operated for China Eastern Airlines Executive Air.[citation needed]
Airbus A340-300 5 1996 2012
Airbus A340-600 5 2003 2015
Boeing 737-200 3 2001 2005
Boeing 737-300 26 1998 2014
Boeing 767-300ER 3 2003 2011 Acquired fromChina Yunnan Airlines.
Bombardier CRJ-200ER 5 2004 2016 Acquired fromChina Yunnan Airlines.
All aircraft remained in the Yunnan landscape special livery previously painted by China Yunnan Airlines.
BAe 146-100 6 1986 2009
BAe 146-300 7 2003 2009
Embraer ERJ-135 5 2012 2021 Operated for China Eastern Airlines Executive Air.[citation needed]
Embraer ERJ-145 10 2005 2016
Fokker 100 10 1992 1999
McDonnell Douglas MD-11 4 1991 2003
McDonnell Douglas MD-11F 2 1991 2003 Transferred toChina Cargo Airlines.
McDonnell Douglas MD-82 16 1988 2007
McDonnell Douglas MD-90-30 9 1997 2010
Xian MA-60 Un­known Un­known Un­known Acquired fromWuhan Airlines.
Yakovlev Yak-42 Un­known Un­known Un­known Acquired fromChina General Aviation Corporation.
[edit]
In flight fromKunmingtoChongqing

Services

[edit]

China Eastern offers first class, business class, premium economy, and economy.

First class

China Eastern offers first class on Boeing 777-300ERs. A first-class seat comes with a flat bed seat, direct aisle access and a sliding door. The plane also comes with a bar for passengers to serve themselves snacks and socialize with others. Middle seats on the Boeing 777 can be turned into a double bed.

Business plus/ Super premium suites

The business plus product can be found on all Airbus A350s and Boeing 787s. The suites come with bigger space along with larger suite length compared to the business class seats. The business plus suites also feature sliding door and a minibar. The middle seats can be turned into a living room with seating for four.[50][56]

Business class
Business class on a Boeing 777-300ER.

Business class comes in many different versions. On narrowbody aircraft, business class seats are recliners arranged in an 2-2 configuration. On select Airbus A330s, business class seats are either Zodiac Cirrus or Thompson Vantage XL which is in a 1-2-1 configuration, or angled flat beds or fully flat beds arranged in a 2-2-2 configuration. On Airbus A350s and Boeing 787-9s, business class seats are modified Thompson Vantage XL with doors similar to Delta One suites.[65] On Boeing 777-300ERs, business class seats are Zodiac Cirrus.

Premium eco

Premium economy is found on all Airbus A350s and Boeing 787-9s.[66]

Economy
Economy class on aBoeing 777-300ER
Economy class on anAirbus A330-200

China Eastern offers complimentary meal service and select A330s, all A350s, 777s, and 787s have seatback entertainment.[67]

Eastern Miles

[edit]

China Eastern Airlines'sfrequent-flyer programis calledEastern Miles(simplified Chinese:Phương đông vạn dặm hành;traditional Chinese:Phương đông vạn dặm hành). Shanghai Airlines andChina United Airlines,China Eastern subsidiaries, are also parts of the program. Eastern Miles members can earn miles on flights as well as through consumption with China Eastern's credit card. Members can be upgraded to Elite membership in three tiers: Platinum, Gold and Silver, when meet minimum spending requirement(essential), enough miles or flying sectors.[68]

Cargo

[edit]
China Cargo AirlinesBoeing 747-400ERF

After the merger with Shanghai Airlines, China Eastern Airlines signaled that it would combine the two carriers' cargo subsidiaries as well. The airline's new subsidiary cargo carrier, consisting of the assets ofChina Cargo Airlines,Great Wall AirlinesandShanghai Airlines Cargo,commenced operations in 2011 from its base in Shanghai, China's largest air cargo market.[69]China Eastern Airlines signed a strategic cooperation framework agreement with Shanghai Airport Group, which controls bothShanghai Hongqiao International AirportandShanghai Pudong International Airport.The airline will allocate more capacity to Pudong Airport to open more international routes and boost flight frequencies on existing international and domestic trunk routes.[citation needed]

Subsidiaries

[edit]

China Cargo Airlines

[edit]

China Eastern Airlines' cargo subsidiary,China Cargo Airlines,is China's first all-cargo airline operating dedicated freight services using China Eastern Airlines' route structure. The cargo airline carries the same logo of China Eastern Airlines.

China United Airlines

[edit]

China United Airlines is alow-cost carrierbased inBeijing Da xing International Airport.It became a subsidiary of China Eastern in 2010 as a result ofacquisitions.[19]

OTT Airlines

[edit]

OTT Airlines was an airline subsidiary that was launched in February 2020 to operate domestically produced aircraft like the Comac C919 and Comac ARJ21 in the Yangtze Delta region.[28][29]

China Eastern Yunnan Airlines

[edit]

China Eastern Yunnan Airlines, formerly known as China Yunnan Airlines, is China Eastern Airlines' local subsidiary inYunnan province.

Incidents and accidents

[edit]
  • On April 24, 1989, a passenger hijacked a China Eastern Xian Y-7 en route from Ningbo to Xiamen. The hijacker, armed with a dagger and carrying dynamite, stabbed a flight attendant and demanded to be flown to Taiwan. The pilot diverted to Fuzhou instead, when the hijacker realized that he had been tricked, he blew himself up, injuring two people in the process.[70]
  • On August 15, 1989,Flight 5510(B-3437) operating a domestic flight from Shanghai to Nanchang, crashed on takeoff following an unexplained failure of the right engine, killing 34 of 40 people on board.[71]
  • On April 6, 1993,Flight 583,aMcDonnell-Douglas MD-11flying from Beijing to Los Angeles via Shanghai, had an inadvertent deployment of the leading edge wing slats while cruising. The aircraft progressed through several violent pitch oscillations and lost 5,000 feet (1,500 m) of altitude. Two passengers were killed, and 149 passengers and seven crew members were injured. The aircraft landed safely in Shemya, Alaska, United States.
  • On October 26, 1993,Flight 5398from Shenzhen to Fuzhou, aMcDonnell Douglas MD-82overshot the runway and crashed at Fuzhou Yixu Airport after a failed attempt togo aroundon approach, killing two of 80 on board.
  • On September 10, 1998, Flight 586, aMcDonnell-Douglas MD-11flying fromShanghai Hongqiao International AirporttoBeijing Capital International Airport,suffered a nose gear failure after take-off. The aircraft landed back inShanghaiwith the nose gear up on a foamed runway. There were only nine reported injuries. The incident became the inspiration for the 1999 movieCrash Landing,directed byZhang Jianya,which premiered on the 50th anniversary of the National Day of thePeople's Republic of China.[72]
  • On November 21, 2004,Flight 5210,aBombardier CRJ-200LR,crashed shortly after takeoff from Baotou Airport due to wing icing, killing all 53 on board and two people on the ground.
  • On June 7, 2013,Flight 2947,an Embraer ERJ-145LI (B-3052), ran off the runway on landing at Hongqiao Airport; all 49 on board survived. Investigation revealed that a servo valve in the nosewheel steering assembly was clogged.[73]
  • On March 21, 2022,Flight 5735(operated byChina Eastern Yunnan Airlines), aBoeing 737-89Pflying fromKunming Changshui International AirporttoGuangzhou Baiyun International Airport,crashed in a mountainous region in Molang Village,Teng County,Guangxi,killing all 123 passengers and 9 crew.[74][75]On March 20, 2023,Civil Aviation Administration of Chinareleased a three paragraph statement with no further information on the crash.[76]On 17 May,The Wall Street Journalreported a source from the US government, from officials involved in the investigation, as saying that the plane had been intentionally crashed, based on an analysis of data from the aircraft recorders.[77][78]News reports published byABC Newson the same day concurred with theWall Street Journal's report of the investigating officials in the US government declaring that the aircraft had been deliberately put into a vertical dive by a person on the flight deck, also citingflight recorderdata showing that thelanding gearandflapshad evidently not been engaged or deployed during the aircraft's descent which would indicate the pilots attempting anemergency descent or landing.[79]

See also

[edit]

Notes

[edit]
  1. ^China Eastern placed an order of 15 Boeing 787-9 of which 10 aircraft will be operated by its subsidiary Shanghai Airlines.[54][55]

References

[edit]
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