Hainan Airlines (HU, Haikou) has been granted regulatory approval by the Civil Aviation Administration of China (CAAC) to establish Urumqi Air (UQ, Urumqi). According to WCARN, the start-up is backed by CNY3billion (USD490million) in start-up capital of which 70% was put forward by Hainan with the rest sourced from 30% shareholder, Urumqi Urban Construction Investment. Once operational, Urumqi plans to serve the Xinjiang Uygur Autonomous Region, situated in the northwest of China, before going international with flights to the Middle East and Europe.