MTU Aero Engines set to expand its presence in China
27-Nov-2009 MTU Aero Engines is stepping up its activities in China and will be cooperating with Chinese engine manufacturer AVIC Commercial Aircraft Engine Co. Ltd. (ACAE). In a first step, ACAE and MTU will conduct a joint study to explore options of building a domestic aircraft engine industry in China. The study aims to evaluate what structure a local engine company should adopt to be viable and what technologies will be needed for emerging engines to be successful in the Chinese market.
"This way, we will be contributing our engine business expertise and know-how, which we've accumulated over many decades, at a very early stage," said Egon Behle, MTU CEO, on the occasion of the signing of a Memorandum of Understanding in Beijing. "Our objective is to further solidify and enhance our position in the Chinese engine industry." The services to be provided by MTU will be coordinated by an office that Germany's leading engine manufacturer has recently opened in Shanghai. With MTU Maintenance Zhuhai, a joint venture of MTU and China Southern Airlines, the German engine builder has already established a presence in China; meanwhile, the Chinese company has grown into the country's largest maintenance, repair and overhaul (MRO) shop for commercial engines.
As Chairman of the Board of ACAE, Zuoming Lin signed the MoU and said: "MTU is one of the world famous engine companies, with excellent employees and advanced technologies. There will be a 'win-win' future, if the two parties conduct a good cooperation".
Headquartered in Shanghai, ACAE was set up in 2009. Plans are that the company will develop and manufacture engines for future aircraft built by newly established Chinese airframer COMAC. ACAE is a subsidiary of AVIC bearing the responsibility for commercial aircraft engines and related products, including R&D, manufacture, final assembly, testing, sales, MRO, service, technological development and consulting.