Corporate jets for China's rich

The idea of owning a private jet seems to have caught the attention of China's growing number of rich people.

An undisclosed Chinese customer has placed a firm order this year for three Airbus corporate jetliners, marking the first sale of such aircraft in China, Xinhua news agency reported.

The report comes three days after rival Boeing signed a mega deal with Chinese airlines to sell seventy 737 aircraft worth $4 billion.

Deliveries of all three Airbus ACJs worth some $163 million will start in 2006, a press release from the European aircraft giant said.

Two of the Airbus ACJs will then be equipped in the US with "Prestige" cabin-layouts in 2006 while outfitting the third aircraft is yet to be decided.

The ACJ family is derived from Airbus A319 whose catalogue prices range from $54.4 million to $66.5 million.

Whether for business or pleasure, manufacturers think private or business aviation will take off in a big way.

"Over the next few years, we anticipate steady growth in the demand of business jets as more companies need fast transportation for their business," an official from Airbus China was quoted as saying by China Daily.

The number of Chinese who can afford their own aircraft is growing, executive president of China General Aviation Net, an aviation business website that offers consultation services on aircraft procurement said.

Industry insiders forecast China's business jet market will hit over $9 billion within a decade with the number of business or private jets expected to rise from 20 to more than 600.