Core Viewpoint - Despite the impact of the US-China trade war leading to supply chain risks for key components, China Commercial Aircraft Corporation (COMAC) aims to establish a significant presence in the global aviation manufacturing industry, as demonstrated at the 55th Paris Air Show [1]. Group 1: Product Development and Market Positioning - COMAC showcased its aircraft models including C909, C919, and C929 at the Paris Air Show, despite not bringing a real C-series aircraft as speculated [2]. - The C919 and C909 have commenced commercial operations in China and parts of Southeast Asia, with a total of 20 C919 and 165 C909 aircraft delivered to date [2][6]. - The C929, currently in the design phase, is expected to have a range of approximately 12,000 kilometers and a seating capacity of 280 [3]. Group 2: International Collaboration and Supply Chain Challenges - COMAC signed memorandums of understanding with Safran and Crane Company for the C929 project, focusing on key systems development [3]. - The trade war has led to a more cautious approach in international collaborations, with companies reluctant to disclose specific details of their partnerships [3][4]. - The US Department of Commerce has suspended certain export licenses to COMAC, restricting the sale of critical technologies [5]. Group 3: Competitive Landscape and Future Outlook - COMAC is developing a longer version of the C919 to compete with Airbus's A321 series, which has become increasingly popular among airlines [6][7]. - The C919's potential expansion in passenger capacity could enhance its competitiveness against established models like the A220 series from Airbus [8][9]. - According to COMAC's market forecast, approximately 43,863 new aircraft are expected to be delivered globally by 2043, valued at around $6.6 trillion, with Chinese airlines projected to receive 9,323 of these aircraft, worth about $1.4 trillion [10].

Core Viewpoint - The successful landing of the domestically developed C919 aircraft marks a new era for China's commercial aviation and signifies the rise of a comprehensive aviation manufacturing industry chain in the Yangtze River Delta, which is crucial for the country's economic transformation and upgrading [1][3]. Industry Overview - The aviation manufacturing industry is considered the "crown" of modern manufacturing, with large passenger aircraft development reflecting a nation's technological capabilities and industrial strength [3]. - Historically, the global aviation industry has been dominated by Boeing and Airbus, which together hold 93.1% of the market share as of 2024 [3]. - The emergence of the C919 is changing this landscape, with over 1,200 orders received since its commercial operation began in 2022, including international orders from airlines in Asia, Africa, and Latin America [3]. Regional Development - The Yangtze River Delta region is home to over one-third of China's large aircraft installation suppliers and more than 900 related enterprises, forming an industrial cluster with an output value exceeding 100 billion yuan [3]. - Suzhou, as a core city in this economic belt, has accumulated hundreds of aerospace supporting enterprises, with the related industry scale exceeding 30 billion yuan [1][3]. Company Profile: Lianjia Technology - Lianjia Technology is a key player in the C919 supply chain, involved in various critical components from aircraft interiors to avionics systems and flight control systems [7]. - The company has developed high-precision continuous forming processes that have improved production efficiency by 50% and enhanced product quality stability [7][8]. - Lianjia Technology has achieved an annual production volume of 500,000 pieces, covering over 10,000 product types, and has the capacity to manage 100,000 types of aviation components [8]. Historical Context and Growth - Founded in 2004 by Zhang Wujiao, Lianjia Technology has evolved from a small workshop to a significant player in the aviation precision component sector, reflecting the broader evolution of China's manufacturing industry [11][19]. - The company transitioned to the aviation sector in 2015, focusing entirely on aviation components after recognizing the strategic importance of the industry [14][19]. Technological Advancements - Lianjia Technology has made significant advancements in manufacturing processes, achieving a precision level of 0.005mm, which meets international standards [17]. - The company has developed a unique flexible management model that integrates various production and supply chain processes, ensuring high reliability and efficiency in small-batch, multi-variety production [8][29]. Future Outlook - The Chinese government has outlined a vision for a green aviation manufacturing system by 2035, which will guide companies like Lianjia Technology in their development strategies [21]. - Lianjia Technology plans to expand its operations internationally, reflecting its commitment to contributing to the national goal of becoming a strong manufacturing power [29].