Northeast China's Shenyang city set up an aviation group company on July 1 to develop the city's aviation industry as a whole and build it into a pillar of the economy.

Shenyang Aviation Industry Group Co Ltd will attract investment in Shenyang's aviation industry, plan it, and lead its growth by integrating resources and seeking business cooperation.

Pan Liguo, mayor of Shenyang, said the city's building the aviation group is an important strategic measure to help it establish its advantage in manufacturing during the 13th Five-Year Plan (2016-2020).

The group company will boost the upgrade and improvement of aviation equipment in Shenyang, and change the city's industrial mode to establish new systems that can adapt to the development of the industry, Pan added.

Shenyang, as the cradle of the aviation industry of China, has a good foundation in manufacturing, R&D capacity, and a rich reserve of talent.

With the company in place Shenyang is able to increase cooperation with global industry leaders such as Boeing and Bombardier to expand cooperative projects in parts manufacturing, aviation industrial park construction, and general aviation development.

The company is expected to help improve Shenyang's core competitiveness in the aviation industry and create a new economic node for the city. It will be part of the city's efforts to transform its industrial structure and become an advanced innovative equipment manufacturing base.

The Shenyang Aviation Industry Group Co Ltd is a wholly State-owned company with a registered capital of 200 million yuan ($29.89 million).