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The C919, a narrow-body jet which can seat 168 passengers, has been under production at a facility in commercial hub Shanghai for over a year.

Shanghai:  China’s first big passenger plane rolled off the assembly line on Monday as the Asian giant seeks to develop its own aviation sector and challenge foreign industry giants for prestige and market share.

 The C919, a narrow-body jet which can seat 168 passengers, has been under production at a facility in commercial hub Shanghai for over a year, as workers assembled components under the guidance of Commercial Aircraft Corp. of China (COMAC).

 For China, the plane represents years of efforts in a state-mandated drive to reduce dependence on European consortium Airbus and Boeing of the United States, and even compete against them.

"The roll out of the first C919 aircraft marks a significant milestone in the development of China’s first indigenous aircraft," COMAC chairman Jin Zhuanglong told an audience of government and industry officials.

 A small truck towed the 39-metre long plane -- painted white with a green tail -- out of a cavernous building decorated with an enormous Chinese flag into the sunlight as project workers marched alongside, an AFP journalist saw.

 But the aircraft, which has a range of up to 5,555 kilometres (3,444 miles), will not make its first test flight this year as originally scheduled, Jin said, with the maiden voyage planned for 2016.

 The China Daily newspaper has reported it could even be put back to 2017.

 Although the C919 is made in China, foreign firms are playing key roles by supplying systems as well as the engines, which are made by CFM International, a joint venture between GE of the US and France’s Safran.

 Spending on the C919 has not been revealed. Last month, the Export-Import Bank of China said it would provide state-owned COMAC with $7.9 billion in financing for its aircraft projects.

 The company already has orders for 517 of its C919 planes, according to a COMAC statement, almost all of them from domestic buyers. Among foreign customers, Thailand’s City Airways has ordered 10, according to an announcement last month.

 COMAC has already developed a smaller regional jet, the ARJ, in a project which is years behind schedule.

 The 78-90 seat ARJ is still undergoing test flights and lacks the crucial certification by the US Federal Aviation Administration, enabling it to fly in US skies.

 The Chinese company also plans a wide body plane, the C929, in cooperation with Russia’s United Aircraft Corp., and speculation is mounting China will create a new aero-engine entity to try to produce the powerful jets needed for large civil aircraft.