Shanghai Airlines is joining the crowd of Chinese carriers seeking capital injections from their state governing bodies, requesting up to 3 billion yuan (US$440 million) in new funding. The company’s prospective merger partner, China Eastern, has been given CNY7 billion (US$1.02 billion) by the government, with more possibly on the way, while China Southern is getting CNY3 billion. Hainan Airlines wants money from its provincial government shareholder as well as subsidies or concessions from municipalities.

China will move deeper into the Airbus production system with the go-ahead for an advanced composites venture to make A350 parts and another factory that will equip outer wings for the Tianjin A320 assembly line. The development and management arrangements for these and other Airbus facilities show how the European manufacturer is engaged in a wary dance with its Chinese partners—greatly building up its presence in the country while minimizing the transfer of know-how.

China Eastern Airlines will seek to defer or cancel half of the aircraft it has contracted to receive this year. Announcing a turnaround plan that largely matched earlier reports, the massively indebted and routinely unprofitable carrier says it will sell stakes in subsidiaries and aim to cut costs by 15%.