Liebherr Aerospace is in talks about setting up a joint venture in China in 2007 to support its growing product base there, writes Helen Massy-Beresford.

The Swiss company, which has divisions in France and Germany, specialises in flight controls and air management systems and is a major supplier to Airbus. Liebherr is also taking part in China's indigenous regional jet programme, the ARJ21.

Liebherr says it has sent some employees to China to set up the facility, which is likely to be based in Wuhan. The company is also looking at the possibility of setting up a manufacturing facility in the USA, says Liebherr Aerospace Toulouse president André Benhamou, and is seeking to increase its dollar-based costs in other ways, notably by securing dollar-based contracts for about 40% of the products it buys from suppliers.

Benhamou says ensuring the company is close to aircraft wherever they are operating is more pressing than locating manufacturing facilities close to original equipment manufacturers. "We don't feel a great need to be close to the manufacturers - but we have a worldwide network of repair stations to be close to the aircraft for aftermarket support."




Source: Flight International