Airbus and Singapore’s SIA Engineering Company (SIAEC) are to form a joint venture to provide airframe maintenance, cabin upgrades and modifications for Airbus A380, A350 and A330 widebody airliners, an agreement that represents SIAEC’s first maintenance collaboration with a major aircraft manufacturer. The parties announced the agreement yesterday at the Singapore Airshow.
Subject to regulatory approvals, SIAEC, a Singapore Airlines Group subsidiary, will hold a 65 percent equity stake in the joint venture; Airbus will hold the remaining 35 percent. The joint venture will lease two hangar bays from SIAEC, with plans to add another two hangar bays in the next six years.
Png Kim Chiang, SIAEC chief executive, said the joint venture will become the Airbus center of excellence in Asia for the A380 as well as for the newer A350XWB, which is appearing in the flight display here at the airshow. Singapore Airlines was the launch customer of the superjumbo A380 in 2007.
“We are pleased to enter into this innovative partnership with SIAEC,” said Fabrice Bregier, Airbus president and CEO. “The Asia Pacific region is a key market for Airbus widebody aircraft and will continue to drive demand for larger aircraft types such as the A380, A350 and A330 in the coming years.”
Lim Kok Kiang, Singapore Economic Development Board assistant managing director, said the joint venture’s investment will strengthen Singapore’s position as the region’s “leading aftermarket services hub.”