Reform and opening up: Way to the sustainable and harmonious development of air transport in China

The global air transport has been undergoing wings of change in the past 30 years as a result of deregulation and liberalisation. During this period, the air transport in China has also been undergoing significant transformation and rapid growth following the reform and opening up policy of China since 1978, the same year when the USA enacted the Airline Deregulation Act. Although China has become the world's second largest air transport system since 2006, few studies have analyzed the growth pattern and policy evolution of this important market. This paper critically reviews the development of the air transport policy of China and examines the challenges in the 21st Century. Such an investigation leads to the following conclusions: (A) the reform of China's civil aviation has been based on the national policy in socialist market economy as well as the liberalisation of air transport; (B) the substantial growth in the last three decades has been driven by economic growth as well as the transformation of China's transport industry. (C) In order to sustain the rapid and continuous development in civil aviation, China should continue to implement scientific management and development, deepen the reform and opening up and continue liberalisation.