by BLOOMBERG

WASHINGTON • The US and China agreed to recognise the other’s aircraft safety approvals, which may boost the Asian nation’s burgeoning aviation industry and make it easier for companies like Boeing Co to sell products there.

The US-China Bilateral Aviation Safety Agreement was announced last Friday, before President Donald Trump is set to travel to China. Trump will travel to China on Nov 8-10 on a trade mission with representatives from about 40 companies including Boeing.

Each nation will move toward automatic approvals of aircraft designs, manufacturing and equipment, the Federal Aviation Administration (FAA) said in a press release. It’s similar to agreements between the US and

Canada, and the US and Europe, which have mature aircraft manufacturing industries. Under the agreement, the FAA and the Civil Aviation Administration of China will recognise the other’s regulatory systems for aircraft and parts.

The significance of the agreement is more symbolic than concrete as the two nations have been increasingly cooperative on aviation issues for years, yet it’s an significant way for US companies to maintain a toehold in one the world’s largest aircraft markets, said Richard Aboulafia, an industry analyst with the Teal Group Corp. “It shows that the US takes China’s aviation industry seriously and that it regards their civil aviation officials as reliable partners.” — Bloomberg