China's leading aviation manufacturer has set up an aircraft production company in Xi'an, capital of Shaanxi Province. The Aviation Industry Corporation of China says the new company will design and manufacture large and medium-sized aircraft.

China's leading aviation manufacturer has set up an aircraft production company in Xi'an, capital of Shaanxi Province.

The new company, AVIC Aircraft Corporation Ltd, has a registered capital of 12 billion yuan with total assets of more than 33.5 billion yuan. The company is to provide parts for existing domestic jumbo jet projects. It will also take responsibility for designing and making large and medium-sized military and civil aircraft.