United Eagle Airlines launched its maiden flight from Chengdu in Sichuan province to Shenzhen, with a ticket price comparable to that offered by its rivals.

Its launch coincided with Spring Airlines being forced to increase its widely publicized 199 yuan (HK$190.88) fares less than a week after taking to the skies, China Daily reported.

Spring raised the price of its cheapest fares from Shanghai to Yantai, Nanchang and Mianyang by 100 yuan, bowing to pressure from other competing airlines.

However, the new fare now includes a night's hotel accommodation.

Backed by heavy advertising, Spring's maiden flight from Shanghai to Yantai took off July 18 with the company massively undercutting the average ticket price of 800 yuan charged by other companies on the same route.

The discount fare quickly attracted protests that reportedly led to the General Administration of Civil Aviation of China putting pressure on Spring to raise prices. Regulations limit discounts to 45 percent of standard prices.

A host of no-frills airlines are being launched in the mainland aiming to tap the country's budget-travel dollar.

Its first private airline, Okay Airways, formerly Shenzhen Airlines, took off on its maiden flight in March.

The number of private carriers has increased following Beijing's decision to open the market for niche players in areas such as cargo and charter services.

Three other carriers - Aukai Airlines, Western Airlines and Eastern Express - are aiming to fly this year. AGENCE FRANCE-PRESSE