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China: Positive or Negative
Posted: Mon Aug 16, 2010 7:08 pm
by flyingclay
I notice a lot of negative comments about Cessna making the SkyCatcher in China. Is it good or bad? If Cessna is able to get the SkyCatcher at a better price, to the US consumer, it has the potential to get more aircraft in operation, because cost is a major deterent to many that would like to be involved. The more Skycatchers that are sold and involved in the US, the better for USA companies selling them. The more US pilot instructors needed. The more gas sold for the planes. The more hangars rented in the US airports. The more US mechanics working on the planes over time........etc...........You get the point. What is your thought.
PS (Im a firm believer that cordual debate and disagreement makes a think and makes a smarter and wiser)
Posted: Mon Aug 16, 2010 8:02 pm
by frfly172
GA is starting to open up in china maybe cessna has an alternative plan to capture the china market if lsa drops off in the US.Liberty was almost awarded a contract for 600 libertys for bthe china market.
China / Skycatcher
Posted: Tue Aug 17, 2010 12:00 am
by Roger
My guess is the same as frfly172. China is a very, very large potential market. They just became the second largest economy in the world- outpacing Japan. All one hear's on the radio around here are the Chinese being trained by the "plane full"
It was a very smart move - if they sell a few in the US so be it - but they'll be way ahead of everyone else over there and the Chinese can say "hey they're made here - not in America"!!!!
Roger
www.ctflyer.com
Posted: Tue Aug 17, 2010 8:50 am
by ArionAv8or
frfly172 wrote:GA is starting to open up in china maybe cessna has an alternative plan to capture the china market if lsa drops off in the US.Liberty was almost awarded a contract for 600 libertys for bthe china market.
+1, When GA begins to soar in China Cessna will be in position to make a huge impact on the market.
Posted: Tue Aug 17, 2010 8:53 am
by rsteele
Add to all the above, China now has the largest number of middle class people in the world. Don't really know how middle class is define defined in this context.
I think the real issue is that the concept of intellectual property is virtually non existent in China. Cessna is basically training the Chinese in how to build small aircraft so that they can then steal Cessna's designs and compete with them. It's a deal with the devil.
Posted: Tue Aug 17, 2010 11:18 am
by spooky981
This is good for General Aviation. Any influx of new pilots is. I think eventually we'll see a considerable price drop on new planes as a result.
But we really have little to gain since China isn't very open to international companies. They won't be flying Cessnas or Pipers over there, they'll only be flying China-made planes. The skills to create them will likely have been stolen from US companies who manufacture there. The only real benefit for us as Americans would be the option of new China-made LSA's priced in the 50k-80k range. Then again, I don't know that I would trust my life to something made in China.
If the new pricing communicates into more pilots in the US, then there's a chance for aviation as a whole to improve. But I see this as bad for the plane manufacturers overall. If sales are tough now, wait until they have sell at 5% margins just to stay relevant.