China will relax controls on prices for air travel, allowing the market to play a greater role in deciding costs.

Jointly released by the National Development and Reform Commission and the General Administration of Civil Aviation, the new regulation on airfare reform takes effect Tuesday.

For short air routes between neighboring provinces, municipalities and autonomous regions, prices will be allowed to fluctuate freely without regulations. For other routes, the new policy will permit a 25 percent increase or 45 percent decrease based on official ticket prices.

Government pricing authorities will not interfere as long as air tickets are sold within these limits. The regulation will not apply to some specific routes and certain tourist flights.

Source: CCTV News