The Civil Aviation Administration of China (CAAC) is showing no sign of granting Jetstar Hong Kong access to mainland China, casting doubt over the potential scale of the low-cost subsidiary of China Eastern Airlines and Qantas Airways that is due to begin operations this year. Without mainland rights, Jetstar Hong Kong would be limited to addressing Asian markets where budget-airline competition is abundant. One of the strengths of the carrier’s business plan was its potential to offer budget fares to mainland Chinese travelers.

In another sign that the Civil Aviation Administration of China (CAAC) is becoming more relaxed about allowing privately owned airlines to begin service, freight carrier Loong Air has gained permission to expand into the passenger business after less than a year of cargo operations.

Air China will begin installing equipment for on-board wi-fi service on its Boeing 777s from early 2014 under a program being rolled out by maintenance company Ameco Beijing. The second Airbus A330 that Ameco fitted with wi-fi returned to flight on July 3. Singaporean avionics company Flight Focus is supplying the equipment. The system “enables internet access, mail, wi-fi chat as well as the cabin-wide [high-definition] video streaming in wide-body aircraft for more than 300 passengers,” says Ameco.