September 2005 
Volume 04, Issue 5 
Industry Wrap

Airbus to boost parts sourcing in China, inks r&d pact in Russia

Airbus said it wants to construct more airplane parts in China to help spur sales in that nation, which is one of the fastest-growing commercial jetliner markets.

By increasing the sourcing of parts—especially for the A380, its new superjumbo jet—Airbus hopes to better integrate the mainland market into its supply chain, an AFX Asia news service report said.

While Airbus planes are unlikely to be assembled in their entirety in China anytime soon, the building of major components likely would help Airbus capture a larger slice of the world's third-largest aviation market, the AFX Asia report said.

Airbus projected China will need 200 superjumbos like the A380 over the next two decades. An Airbus spokesperson in China told AFX Asia it made economic sense for the company to source more on the mainland.

Separately, Airbus confirmed last month that it has signed a preliminary agreement with the Russian firm Irkut.

The agreement calls for Irkut to participate in the development of Airbus's planned A350 airliner, according to a Dow Jones news service report. The pact also states that both parties will explore opportunities in research and technology that could further enhance Russia's contribution to future Airbus aircraft programs.


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