Chongqing Airlines (OQ, Chongqing) could be transformed into a Low Cost Carrier by parent, China Southern Airlines (CZ, Guangzhou), following reports the airline has now converted its four A319-100s into all-economy configurations. WCARN says the revamped aircraft will be deployed on flights on high-altitude and tourist flights out of Chongqing to Lijiang, Lhasa and Jiuzhaigou. Chongqing Airlines plans to retain first and business-class cabins on its A320-200 services to Guangzhou and Beijing Capital for the foreseeable future, but is reportedly considering converting those aircraft into single-class layouts as well. As the domestic and regional market begins to intensify, so Chinese carriers increasingly see LCCs as a panacea to their problems. Local rival, China Eastern Airlines (MU, Shanghai Hongqiao), is in the process of converting China United Airlines (KN, Beijing Daxing International) into its first low-cost carrier subsidiary.