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Aviation giant establishes defense branch in Beijing

(Xinhua)
Updated: 2009-03-26 23:11

BEIJING - China's largest aircraft maker, Aviation Industry Corporation of China (AVIC), opened a defense branch Thursday in Beijing in an effort to make the company a first-class, worldwide manufacturer of aerial defense products.

The branch will take over most of the military-related business done by AVIC such as building combat aircraft, including China's own third generation fighter J-10.

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In addition, the defense branch will primarily develop and make training aircraft, and unmanned aerial vehicles.

It will also conduct research and manufacture business jets as well as sell its products internationally, a statement released by AVIC on Thursday said.

The defense branch, an integration of relevant departments within the corporation, will be an independent accounting unit of AVIC with total assets of nearly 50 billion yuan (US$7.35 billion).

It has been authorized to manage AVIC's 10 assembly plants and research institutes which are scattered in several cities across China such as Shenyang, Chengdu, Changsha and Shanghai.

The company has approximately 60,000 employees and a rough annual sales revenue of 30 billion yuan (US$4.4 billion).

It has also exported more than 1,000 aircraft overseas and cooperated with foreign aviation makers to develop civilian planes.