Shanghai Municipality and Australia-based Hawker Pacific Pty Ltd have agreed to cooperate on a business aviation hub at Shanghai's Hongqiao International Airport, airport officials said yesterday.

The Shanghai Airport Authority, operator of the city's two airports, signed a memorandum yesterday with Hawker Pacific, a world leader in aviation equipment sales and product support.

The facility will be designed to accommodate 6,000 takeoffs and landings by business aircraft every year, airport officials said.

First-phase construction will be completed in 2008.

The hub will provide ground, repair and maintenance services for business aircraft, mostly small jets for private or corporate use. It will also offer hangar services.

How big the project would be or how much it would cost was not disclosed yesterday.

"Construction of the base is aimed at perfecting the functions of airports in Shanghai, which is building itself into an aviation hub," said Su Weiwei, an official with the Shanghai Airport Authority.

"Demand for these facilities is rising in Shanghai and nearby cities," she said.

Although China's business aviation sector lags far behind Western countries, the potential is enormous given the nation's vibrant economic growth.

(Shanghai Daily October 9, 2006)