Air China (AIRC.LSE, 601111.SH, 0753.HK) plans to boost capital spending by 50% so it has sufficient capacity to meet growing demand for air travel as the global economy recovers, the Wall Street Journal reported. The company has earmarked US$2.2 billion for capital expenditure in 2010 with a view to increasing net capacity by 10-12%. Much of the money will go on new aircraft, with 33 new planes due this year, including the Airbus A320 and the Boeing B737. Kong Dong, chairman of Air China, said the company hoped to increase its market share in Shanghai to 20% by 2015, up from 10-12% at present. Last year the company cut capacity for international routes by 3% as the global economic crisis decimated demand. However, government stimulus policies encouraging domestic travel helped all three of China’s major state-owned airlines return to profit in 2009 following a disastrous 2008.