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Helicopter deliveries soar as government support drives fleet growth

By Wang Ying in Shanghai | China Daily | Updated: 2019-06-18 09:43
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A Bell helicopter is displayed at an international business aviation exhibition in Beijing. [Photo provided to China Daily]

China received the most deliveries of helicopters in Asia in 2018, overtaking Japan to become the largest in terms of helicopter fleet size in the region, according to an Asian Sky Group report.

China witnessed the largest net fleet addition in helicopters (turbine) of 89 among all markets in Asia in 2018, a 14 percent growth year-on-year, the report said.

Among the deliveries, Bell Helicopter contributed 24, with more due for delivery in the coming years, said Jacinto Monge, managing director of Bell North Asia.

According to Monge, there are more than 160 Bell helicopters operating in China, and the rotorcraft manufacturer is about to see its fleet double in size in China in the next four years.

"Our expectation is that we are most likely to double the Bell fleet by 2022 (in China), and we are pretty sure we will see growth in the following five years (after 2022) also," said Monge.

"When you look at the evolution of the Chinese helicopter market over the years, perhaps starting from a low base, we have seen strong double-digit growth over the years, and we think it is possible for the trend to continue," he said.

China saw 73 new deliveries along with 29 pre-owned additions and 13 deductions last year. The Chinese mainland received an abundance of government support for general aviation, presenting the main driver for fleet growth in China, according to the Asian Sky Group report.

With a relatively young helicopter fleet, which has an average age of 8.3 years, and a positive helicopter fleet growth rate, China is one of the most promising helicopter markets in the Asia-Pacific region, the report said.

Monge said that there is growth in all segments, with the strong growth in air ambulance being a clear example of this. He said there are huge growth opportunities in air medical services, emergency response, search and rescue, and firefighting, as those are critical things for Chinese people.

Shashank Shekhar, who is sales director of business and general aviation and aftermarket with Honeywell Aerospace in the Asia-Pacific region, agreed with the growth trend.

"The medical evacuation market in China is growing rapidly, so people are setting up small bases all over the country, also tying up with hospitals, so it's creating a good spread of medical relief ecosystem all over China. That's been really significant," said Shekhar.

In the past three years, AW139 has seen its percentage for medical evacuation grow rapidly from 20 percent to 50 percent of its fleet in China, he added.

Monge said Bell's customers carry out a broad range of missions including air ambulance, power line inspections, crop control, life maintenance operation and rescue.

"Helicopters are not just fancy tools for taking business people from A to B, or entertaining people with a lot of money. Actually, 95 percent of what we do on the Chinese mainland is mission oriented rather than corporate use. It really provides services to society," said Monge.

But industry insiders said the helicopter market in China still has to develop its infrastructure given the fact that the past few years of double-digit growth is from a low base.

In the area of Fort Worth, Texas, where Bell Helicopter's headquarters is located, there are more Bell helicopters than in the whole of China, according to Monge.

"The opportunity here is huge because of the size and economic wealth of China. Society needs services. That's what makes us think the helicopter market still has great potential here," said Monge.

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