China’s airlines raise alarm as travellers ditch planes for bullet trains
More passengers on busy Beijing-Shanghai route are choosing high-speed rail, which offers flexibility, comfort and stable internet access
More passengers shuttling between China’s two biggest cities are choosing to hop on a bullet train rather than a flight, as airlines struggle to match the convenience offered by the country’s ultra-modern high-speed rail network.
The shift to rail has become so pronounced on the busy Beijing-Shanghai route that China’s air travel industry has warned its market is being “eroded”, with airlines scrambling to lure back customers with cheaper tickets and free limousine services.
Passengers made more than 52 million trips by train between Beijing and Shanghai last year, while only about 8.6 million people took a flight between the two cities, according to civil aviation platform Hangban Guanjia.
Business travellers especially are increasingly viewing high-speed rail as a superior option, experts said, with China Railway’s fastest service now able to travel the 1,300-kilometer route in just over four hours.
Passengers also prize the flexibility and convenience offered by rail travel, as China Railway’s modern cabins offer stable internet access, charging points and large seats, they added.
Robust demand has turned the Beijing-Shanghai High-speed Railway into a cash cow for the state-owned rail operator, despite the line suffering a string of teething problems during its first years of operation.
The service generated 42 billion yuan (US$5.8 billion) in 2024, up 3.62 per cent year on year, with net profits surging more than 10 per cent to 12.8 billion yuan.
More than 100 high-speed trains now run between Beijing and Shanghai in both directions at speeds of up to 350km/h (217 mph), most of them comprising 16 to 17 carriages including first- and business-class cabins.
The profitability and high usage rate on the Beijing-Shanghai line offers a stark contrast to some other Chinese railways. Many lines in the country’s sparsely populated central and western provinces run at heavy losses.
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Airlines offer about 55 flights between China’s two largest cities each way per day, most of them operated by widebody aircraft.
Business travellers make up a particularly large proportion of rail passengers, Tong Lijun, deputy chief of Shanghai Hongqiao Railway Station, told domestic media outlet Jiefang Daily.
“They favour many conveniences rail transport can offer but air travel cannot, such as good punctuality, city centre-to-city centre connectivity, reliable services even during unstable weather, and the flexibility to change departure times,” Tong said.
“Many tend to avoid air travel since having to go offline on a flight can be a deal-breaker, as they need to make full use of the journey to stay connected and do some work,” he added.
China Railway has deployed state-of-the-art trains along the Beijing-Shanghai trunk route, with business cabins featuring fully-reclining seats and adjustable laptop tables equipped with multiple charging points.
Chinese airlines, meanwhile, are often hamstrung by poor service reliability, as bad weather and unpredictable air traffic control lead to frequent delays.
The China Air Transport Association warned in an April report that the passenger base for air travel was being “eroded” by competition from the rail sector, as high-end customers ditch flying.
“With its continuous increase in speed, high-speed rail has a strong appeal in terms of total door-to-door commuting time and regularity,” it said.
Airlines have been stepping up efforts to win back customers in recent months with improved services and special deals.
China Eastern Airlines and Air China debuted bespoke services for frequent fliers in May, allowing them to switch between flights from either carrier and enjoy city-to-airport limousine pickup services.
A price war is also under way in the air travel sector: fares on some routes are now sometimes cheaper than rail tickets.
Travel between Beijing and Shanghai – which had a combined economic output of more than 10 trillion yuan last year – is set to continue growing over the coming years, making the battle for passengers even more crucial.
China Railway has faced calls to ratchet up the service frequency between the two megacities even further, matching the level of Japan’s famous Shinkansen bullet trains.
The Tokaido Shinkansen between Tokyo and Osaka operates nearly 150 departures daily in each direction, with trains running every few minutes during rush hours.