This week China's civil aviation industry arranged its first self-governing organization called CATA (China Aviation Transportation Association) in Beijing.

According to Li Jiaxiang, councilor of CATA's first council, CATA will launch a Price Work Team to manage the airfare prices in China, and then draft some regulations to prevent unfair competition and discounts in the airfare market.

CATA will focus on external affairs in the initial period, including coordinating relations with fuel and aviation material suppliers.

It is expected that the establishment of CATA will help control some poor pricing models within the aviation market. But this doesn't mean that low price airfares will be forbidden; it only means they must be approved by CAAC.