China Southern Airlines has confirmed in a stock market filing that it will invest 10 billion yuan ($1.5 billion) in the new city, Xiongan, by setting up a subsidiary called China Southern Airline Xiongan, which will provide flight services and sales of aviation materials. The new company will be allocated 2.5 billion yuan in cash and 7.5 billion yuan in tangible assets.
President Xi Jinping Xiongan designated the city to become a high-tech city housing with leading-edge companies and world-class transportation.
A high-speed train will connect Beijing and Xiongan by the end of 2020.
