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Reopening direct routes will be a major boost for bilateral trade, tourism and business travel
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Maxim Shemetov
Three Chinese airlines, including a cargo operator, have applied for “operational authorisation” from India’s aviation safety authority to restart direct flights between India and China, industry sources told businessline.
The move signals the first concrete step by Chinese carriers to re-enter the India market after a five-year suspension of services.
Speaking to businessline, industry sources said the “operational authorisation” is required by these airlines to apply for airport slots.
“Three Chinese airlines, including a cargo flight operator, have applied for ‘operational authorisation’ from India’s aviation regulator,” said sources.
“It is expected that the process [for granting operational authorisation will be over soon] and subsequently they [Chinese airlines] will apply for airport slots.”
Airport slots
Similarly, Indian carriers are preparing to launch direct flights to China. According to sources, airport slots will be allocated under a special arrangement between India and China, with services capped at 2019 levels.
Notably, this mechanism is being put in place to avoid delays stemming from a revised air services agreement. Last week, sources told businessline that India had sent a high-level team of officials to China to smoothen out the last remaining hurdles to direct flight connectivity.
Prior to the Covid-19 pandemic, airlines from both nations operated direct connections to several destinations, including Shanghai, Guangzhou, New Delhi, Mumbai, and Kolkata. However, services were suspended in early 2020 and never resumed even as flights to Hong Kong restarted.
Military clashes
The situation was further complicated by the military clashes in the Galwan Valley of Ladakh in mid-2020, leading to a prolonged freeze in direct operations. Nevertheless, the current developments assume significance as , Prime Minister Narendra Modi, during a bilateral meeting with Chinese President Xi Jinping in Tianjin, said recently: “An atmosphere of peace and stability has been established after disengagement at the border… The Kailash Mansarovar Yatra has resumed, and direct flights between the two countries are also being started.”
In addition, India’s embassy in Beijing has resumed issuing tourist visas to Chinese citizens after a gap of five years.
Furthermore, industry insiders said that reopening direct routes will be a major boost for bilateral trade, tourism and business travel.
“There is a latent potential for growth that can be easily tapped by airlines of both the countries during this tumultuous period of geopolitical instability,” said aviation industry veteran Mark Matin of Martin Consulting.
“The announcement by Prime Minister Modi on direct flights between two of the biggest economies of the world is a sign of an understanding for greater economic cooperation and expansion of people to people contact.”
Historically, services to China recorded strong load factors, often reaching up to 90 per cent. Besides, direct flights are expected to help plug revenue leakages to competing international carriers and retain earnings within the two countries.
Passenger traffic
According to estimates, current passenger traffic between India and China stands at about 1 million annually via one-stop connections.
Nonetheless, the introduction of direct flights could potentially raise that figure to nearly 3 million, driven by a healthy mix of tourists, students and business travellers.
“Direct flights between China and India would be positive for air passengers, tourism, trade, e-commerce, pharma and other segments. Many big Chinese airlines are eager to start operations to India,” Mike Zhou, Managing Director of aviation consulting firm Wernosa told businessline from Shanghai.
Published on September 1, 2025
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