AVIC, GE joint venture bid to build Chinese-made large aircraft

Aviation Industry Corporation of China (AVIC) and U.S. General Electric Company (GE) reached a framework agreement to create an avionics joint venture where each would have 50 percent of the shares. They will bid for Chinese-made large aircraft project.

According to the framework agreement, the joint venture will be formally established early next year and the management group members will be from both sides. Zhang Xinguo, vice president of AVIC said, the new joint venture will participate in the bid for Open Avionics System Platform of the Chinese-made large aircraft C919. To get help from GE’s technical strength and experience, AVIC will participate in the international aviation industry chain competition. Zhang stressed that this was the first cooperation between China and U.S. in aerospace at such a key technical level.

Global President and CEO Lorraine Bolsinger of GE Aviation Systems Co., Ltd said that after more than a year’s negotiation, AVIC and GE had finally reached agreement. GE has been concerned about China's C919 aircraft project and the cooperation was not only a simple technical cooperation, but a preparation for the development of the next generation of integrated avionics systems. The joint venture will be based in China and will be released to U.S. and international markets.

It’s said that the preliminary design of the C919 has already been completed. It is expected to take its first flight in 2014 and will be put into service in 2016. At present, foreign aviation electronics giants including Airbus, Boeing etc. have aimed at the Chinese large aircraft market.

Aircraft avionics products are an important hub for aircraft. In the next 20 years, China will have a large market demand for 2,500 large aircraft and the output value of avionics systems and equipment will reach 180 billion yuan.

By People's Daily Online