ST Engineering S63 , which is poised to ride on the recovery of its commercial aerospace business, has set up a joint venture with China’s SF Airlines in Hubei.]
The joint venture has a registered capital of RMB100 million, and ST Engineering will hold a 60% stake.
According to ST Engineering the JV will operate a greenfield airframe maintenance, report and overhaul facility at the Ezhou Huahu Airport.
The first hangar facility is estimated to be ready in 2025.
“China will be a strong growth driver for Asia’s commercial aerospace sector over the next decade,” says Jeffrey Lam, president of commercial aerospace at ST Engineering.
“A presence in Hubei, China, will enhance our MRO network in Asia to better meet and capture the rising regional demand, while our strategic collaboration with an airline partner will enable us to start up a greenfield operation quickly,” he adds.
