Airbus sets up subsidiary in India

European leading aircraft manufacturer Airbus has formed a new subsidiary to integrate all its activities in India, local media reported Wednesday. "Airbus has a 40-year-old relationship with Indian aviation. We now realize that clear governance is essential and there needs to be a one stop shop for our customers and suppliers," the chief executive of the new entity, Airbus India, Dwarakanath Srinivasan, told local news paper The Economic Times. India is the fifth market to have an independent Airbus entity after Airbus Americas based in Virginia, Airbus Middle East based in Dubai and the entities in China and Japan. Airbus decision for India came at a time when the country's aviation industry is passing through a bad phase, with most Indian passenger carriers being hit by soaring fuel rates, steep competition and the Indian government's "policy paralysis."