Taiwanese companies invest in Hainan Airlines’ cargo unit
Taiwanese China Airlines and compatriot ocean carriers Yang Ming Marine and Wan Hai Lines have acquired shares in Yangtze River Express Airlines, the cargo unit of mainland China’s Hainan Airlines. No financial details of the share transfers were disclosed.
China Airlines is the largest overseas investor in Yangtze River Express with a 25 percent stake, while Yang Ming now holds 12 percent. Wan Hai and China Container Express Lines both have a 6 percent stake. Hainan Airlines has retained a controlling 51 percent.
Yangtze River Express provides regional and domestic air cargo services originating from Shanghai, with six Boeing 737-300 freighters. It now operates regional services to Korea, the Philippines, Thailand, Bangladesh and Singapore, and has secured traffic rights to Los Angeles and Frankfurt.
“The investment reflects China Airlines strategy of establishing air cargo operations in the mainland China market. In the future, China Airlines expects to receive fruitful financial returns from this investment,” China Airlines said.