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China Eastern Airlines Corp., one of the country's leading carriers, was to purchase eight 737-300 aircraft from Boeing Co. next year to help it operate on routes to Southeast Asian countries, the Hong Kong-based Wen Wei Po reported Monday.

The Chinese carrier would also apply to the Civil Aviation Administration for rights to operate new international services between Yunnan Province, one of the country's top tourism destinations, and an unspecified Indian city, the paper said without giving further details.

Earlier State media reports said the airline had signed an agreement with the U.S. aircraft maker for the delivery of 20 new fuel-efficient Boeing 7E7 jetliners before 2008.

Boeing has been competing with archrival Airbus SAS for the fast-growing Chinese market, which is expected to have a demand for more than 1,200 new aircraft by 2020.

Last month, Chinese regional carrier Hainan Airlines confirmed its order for three Boeing 737-800s worth more than US$200 million.

Air China, the country's top carrier, has also said in its initial public offering prospectus earlier this month it plans to buy four Boeing 737-700 aircraft.

China is expected to overtake Japan as the world's second-largest aviation market in less than 20 years, prompting homegrown airlines to expand their fleets.