The strong domestic demand in China will support the aircraft-leasing business, while the global aviation industry is going down, Zou said.

"It is also reasonable move for Chinese leasing companies, which plan to expand their fleets through the acquisition," he said.

Boeing Co has forecast that China will need 5,260 new aircraft from 2012 to 2031, and the Aviation Industry Corp of China has also announced that China will have a need for 4,933 new aircraft in the next 20 years.

"For airlines, airplane manufactures and leasing companies, the China market is the world's fastest-growing," said Wang Yukui, Boeing China's vice president of communications.

Chinese companies are also eyeing the aircraft-leasing business, with more than 20 domestic companies working in the sector currently.

Bank of China established its aviation arm through an acquisition in 2006, and BOC Aviation is now the largest aircraft leasing company in Asia by fleet.

China was already ILFC's biggest single market with over 200 aircraft on order, Reuters reported.

ILFC saw a $39 million operating profit in the third quarter of 2012, against a $1.3 billion loss during the same period in 2011, according to ILFC's finance report.

Under the new owners, ILFC will retain operational independence, AIG said.

"The transaction allows ILFC to continue to serve its worldwide partners in the aviation industry with world-class service while accelerating its growth in important markets," said Weng Xianding, chairman of New China Trust.

 

wangwen@chinadaily.com.cn