EADS Casa has agreed to shift its C-212-400 assembly line to Indonesian Aerospace (IAe) as part of a new co-operative agreement between the manufacturers. IAe’s new president director Nuril Fuad says EADS last month agreed to give the company a production licence for the C-212-400 and that a contract will be finalised within the next few months, enabling the company to begin production of the type by year-end. Nuril says the bilateral agreement gives IAe responsibility for sales in Asia, while EADS Casa will continue to oversee sales to the rest of the world.

EADS says an agreement has not yet been signed, but could be completed and announced later this month. Some manufacturing capability for the C-212-400 will be retained in Spain, it says.

IAe assembled earlier versions of the C-212 under a licence production agreement with Casa, although this has languished in recent years. The companies also both produce the larger CN-235 transport and compete with each other for sales in Asia. Nuril says IAe has proposed that EADS Casa cease selling the CN-235 in Asia as part of the new agreement, but the European manufacturer says this will only be discussed later as part of a possible second step to the revived partnership.

Source: Flight International