The Xi’an Aircraft MA600 turboprop has made its first flight ahead of entry into service, expected late next year. The Chinese manufacturer, part of the Avic 1 conglomerate, is planning a production capacity by 2010 of 10-15 units a year for the aircraft, presumably including its MA60 predecessor, eventually rising to a full rate of 30 a year, depending on demand. Sales of more than 300 are forecast, of which 120-150 should come from the domestic market.

China Eastern will be allowed to resume flights on two of the routes that it lost after its pilots engaged in protest action earlier this year, Chinese media report. The carrier lost rights to a range of services in the southern province of Yunnan as punishment after pilots turned their aircraft back to originating airports in March. It will again be allowed to fly between the provincial capital, Kunming, and two tourist towns, Xishuangbanna and Dali.

Mitsubishi Heavy Industries is urging Boeing to let it set up a final assembly line in Japan for the 737 replacement program, arguing that the line would help support local customers. The company does not want to take over all final assembly, says Kiyotaka Ichimaru, general manager of Mitsubishi’s civil aircraft division, clarifying other industry executives’ comments reported on AviationWeek.com Sept. 30. Instead, Mitsubishi would help carry the final-assembly burden of what would probably be a massive, high-rate production effort.