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Pakistan's unverified claims & move to buy J-35 5th-gen jets see Chinese maker's shares soar high
Shares of the company that makes China's J-35 fighter aircraft have soared, courtesy Pakistan. Reuters
Shares of Chinese defence firms surged Monday (June 9) after Pakistan announced plans to purchase a fleet of advanced Chinese-made fighter jets, a move that could mark China's first export of its fifth-generation stealth aircraft.
AVIC Shenyang Aircraft Company, the manufacturer of the J-35 stealth fighter jet, hit its 10 per cent daily trading limit in Shanghai, building on a three-day rally. Other defence stocks also jumped, with Aerospace Nanhu Electronic Information Technology Co. climbing as much as 15 per cent, Bloomberg reported.
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Interestingly, this is not the first time defence stocks in China have soared following India-Pakistan tensions.
Pakistan government's signalling
Pakistan's government said Friday (June 6) on social media that it intends to acquire 40 J-35 fighters, KJ-500 airborne early warning and control aircraft, and HQ-19 ballistic missile defence systems.
The J-35, which is claimed to feature advanced stealth capabilities, was developed by Shenyang Aircraft Corporation and was first unveiled publicly at the 2024 Zhuhai Airshow. If finalised, the deal would mark the first known foreign sale of the aircraft.
Tensions between Pakistan and India remain high following clashes in early May that involved air, drone and missile strikes, along with artillery and small arms fire. In a May 31 interview, India's Chief of Defence Staff Anil Chauhan confirmed India had lost fighter jets during the conflict, though he did not provide details.
Last month, Pakistan claimed that Chinese-made J-10C fighters helped shoot down six Indian jets, including French-built Rafales. India has denied the effectiveness of the weapons systems used by Pakistan, saying its forces successfully carried out retaliatory strikes deep inside Pakistani territory.
The reported deal also comes amid growing interest in Chinese military hardware in Southeast Asia. Indonesia is considering a Chinese offer of J-10 jets after traditionally relying on aircraft from the United States, Russia and other suppliers.
China's defence industry has continued to advance despite domestic corruption scandals. In December, Beijing launched its first next-generation amphibious assault ships, which analysts say are the largest of their kind. Last year, a video purportedly showing a test flight of a sixth-generation Chinese fighter jet went viral online, prompting another wave of gains in defence stocks.
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