U.S., CHINA SIGN AIR AGREEMENT

   The United States and China have signed a bilateral aviation agreement
that expands the number of weekly flights allowed between the two countries
from 27 to 35, but does not allow any new carriers into the market for two
years.
   Weekly flight frequencies will be increased to 35 immediately, to 44
next year and to 54 in 2001.
   One additional airline from each country will be designated for service
in April 2001. That designation could go to a passenger airline or an
all-cargo airline, the U.S. Transportation Department said.
   United Parcel Service, Evergreen International Airlines and Polar Air
Cargo have expressed interest in receiving route rights to China. Federal
Express is the only U.S. cargo carrier flying to China. United and
Northwest have passenger services.