BEIJING – The Chinese government is thinking of setting up an independent aero-engine organization by breaking off the propulsion subsidiary of Avic, industry officials say. A further proposal is to merge Avic Commercial Aircraft Engine Co. (ACAE), a unit charged with developing a modern commercial turbofan for the Comac C919 airliner, back into that subsidiary, they say. But no decision has been made. Avic’s leadership wants to keep its engine business, knowing that if it is ...

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