China Moves to Curbs Airline Competition as Losses Mount

China’s aviation regulator is tightening controls on domestic routes and flight expansion, seeking to curb cutthroat competition after excess capacity and falling fares deepened losses across the industry.

The Civil Aviation Administration of China said new rules will take effect with the 2026-27 winter-spring flight season, giving regulators more power to limit the number of airlines on crowded routes and restrict capacity increases where supply exceeds demand.