China’s Aircraft Production and the Impact of US Export Policies
China is expected to maintain its production of domestically developed aircraft and expand access to international airspace, following the United States’ decision to lift restrictions on selling American jet engine parts and technology to Chinese buyers. This development has significant implications for China’s aviation industry, particularly for the Commercial Aircraft Corporation of China (Comac), which relies heavily on foreign components for its narrowbody C919 aircraft.
Analysts have highlighted that earlier export restrictions imposed by the Trump administration had a major impact on China’s aerospace sector. These restrictions not only slowed down production but also encouraged Beijing to accelerate its efforts in developing indigenous engines and other critical components. The recent resumption of sales, following a bilateral agreement on export controls, allows Comac to import parts from a GE-invested joint venture, marking a pivotal shift in the relationship between the two countries.
The deal enables Comac to fulfill hundreds of orders for its C919 aircraft at its current pace. Without access to these parts, the company would need to seek alternative foreign suppliers or expedite the development of a homegrown solution, according to Hugh Ritchie, CEO of Aviation Analysts International. He emphasized that without access to this technology, the U.S. could effectively control parts for Chinese aircraft, which is crucial for Comac’s operations.
In May, U.S. officials suspended certain jet engine sales and related technologies, as reported by American media. However, no major disruptions were observed at Comac’s Shanghai factory, as it remains in the early stages of C919 production. A joint venture between General Electric (GE) and France’s Safran Aircraft Engines supplies the LEAP-1C engine to Comac for its C919 aircraft.
Despite the easing of U.S. export rules, there are concerns about potential future challenges. Lynn Song, chief Greater China economist at ING, noted that the situation could be tested as early as next month. He pointed out that it remains unclear whether a looming U.S. deadline to reduce tariffs will affect bilateral negotiations. “I would imagine the lifting of restrictions will last as long as U.S.-China talks are moving in a productive direction,” he said.
The two governments initiated trade talks after U.S. President Donald Trump increased tariffs on China in early April, followed by tit-for-tat export controls on American jet engine technology and Chinese shipments of rare earths. Independent aviation analyst Li Hanming stressed that access to American-made engines is “definitely very important” for Comac, which relies on GE for both the C919 and its older regional jet, the C909. However, he added that developing a domestic backup—the CJ-1000 engine—is a long-term strategic goal not directly tied to changes in U.S. trade policy.
Comac aims to challenge industry giants Airbus and Boeing for a share of the global narrowbody jet market. The resumption of engine exports could also help prevent delays in securing permits for the C919 to operate internationally, according to Ritchie. He noted that foreign regulators would likely be reassured by the inclusion of U.S.-approved parts.
The Chinese state-owned manufacturer is currently seeking certification for its C919 aircraft from the European Union Aviation Safety Agency. Comac’s first C919 entered commercial service in 2023, with 18 jets currently in service. The company may face pressure to speed up home-grown innovation in case the U.S. reinstates export controls, Ritchie said.
The Aero Engine Corporation of China (AECC) has also confirmed that a home-grown engine, the CJ-1000, is undergoing trials. Comac began designing the C919 in 2009 using parts from multiple overseas suppliers. The aircraft, which can seat up to 192 passengers, is designed to rival the Airbus A320 and Boeing 737 aircraft families.
