Air Asia China will be based in Zhengzhou, a major transport hub roughly midway between Beijing and Shanghai and around 250 miles inland.
The decision follows an agreement between Air Asia and the state-owned China Everbright Group, a finance company that is also a major shareholder in an aircraft leasing company. The Henan province government is also involved.
Air Asia was the first foreign low cost carrier into China, more than a decade ago, and its long-haul sister brand Air Asia X currently offers 15 destinations there. The deal in China follows similar partnerships in Vietnam, Indonesia and the Philippines plus more established ventures in Thailand and Japan.
