From full speed ahead to slamming on the brakes: The Civil Aviation Administration of China (CAAC) has formally tightened rules on setting up airlines, around five months after it suspended authorizations, unannounced. Citing safety concerns, the agency says it will severely restrict the number of new carriers it will authorize. It also is limiting investors’ ability to use regional or cargo aviation companies as backdoors for entry into the trunkline passenger business. Industry ...

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