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Boeing 787 to get Chinese components
By Wang Yu (China Daily)
Updated: 2005-06-03 23:43
Boeing yesterday signed US$600 million worth of contracts with Chinese
companies for the production of commercial airplane components.
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| An
imaginery image of the Boeing-787
jetliner. | Deals included the first-ever
confirmed agreement to produce parts for the brand new Boeing 787 Dreamliner.
Meeting in Beijing the aviation giant finalized contracts for the 787
composite rudder, the 737 forward entry door and the 737 automatic over-wing
exit door with the Chengdu Aircraft Industrial (Group) Co Ltd, a China Aviation
Industry Corporation I (AVIC I)-affiliated company.
Also sealed was the deal for the 787 wing-to-body fairing panels between
Boeing and Hafei Aviation Industry Co, Ltd, a firm under AVIC II.
"AVIC I is keen to further its long-standing partnership with Boeing. As well
as strengthening our own aircraft building capability with the ARJ 21
feederliner project, we also hope to grow into a global supplier for the
international aircraft manufacturing industry," Liu Gaozhuo, president of AVIC
I, said.
The AVIC I boss added that becoming the sole partner on component supply with
Boeing on the revolutionary 787 project was an endorsement of the Chinese plane
makers' technology and manufacturing capability.
"Since large amount of new composite materials are used in the 787
dreamliner, it imposes higher demand on us as a component supplier. It is surely
a recognition of our technological capability,'' Liu said.
Already more than 3,500 Boeing airplanes -- one third of Boeing's world fleet
-- have major parts and assemblies built in China.
Boeing Commercial Airplanes Vice-President and General Manager of Airplane
Production Carolyn Corvi said that yesterday's agreements showed China's growing
role in Boeing's strategy of global manufacturing and production outsourcing on
the 787, 777, 747 and 737 aeroplane programs.
"China's aviation industry is providing outstanding technological
capabilities and resources that help us meet quality, cost and delivery
imperatives in our programs -- particularly on the new 787 project,'' she said.
Agreeing with Corvi, David Wang, president of Boeing China, said it was
natural for aircraft manufacturing to become a global industry, instead of been
limited within a single territory.
Because China boasts manufacturing facilities and a cheap, educated
workforce, it makes sense for both Boeing and Airbus to shift some production
into the country, Liao Quanwang, deputy director of China Aviation Development
Research Centre, said.
Airbus, Boeing's main-rival, has pledged to offer a 5 per cent risk-sharing
partnership with China on its newly unveiled A350 project.
Both AVIC I and AVIC II expressed they were busy negotiating with Airbus on
the A350 programme. Deals may be concluded by the end of this year, Xu Zhanbin,
vice-president of AVIC II, said.
Also yesterday, the Shenyang Aircraft Corporation, an AVIC I-affiliated
company, signed a memorandum of agreement with Boeing to build the 787 leading
edge assembly for its vertical fin.
BHA Aero Composite Parts Co Ltd signed memorandums of understanding to supply
interior panels for the 777 control cabin, as well as wing-to-body fairing
panels and the tail cone for the Next-Generation 737. BHA is an equity-share
joint venture between Boeing, Hexcel Corp and AVIC I.
Boeing also announced yesterday the decision to substantially increase 737
component production at Shanghai Aviation Industrial Corp, Xi'an Aircraft
Company and Shenyang Aircraft Corporation for the manufacture of 737 parts,
including the vertical fin and horizontal stabilizer.
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