Taiwan's Aerospace Industrial Development Corporation is the sort of company one would be unlikely to find in the West, with a finger in virtually every aspect of aircraft development and construction, from avionics to engines and complete airframes.
The company has its roots firmly in Taiwan's stand-off against China, and aircraft such as its F-CK-1 indigenous defence fighter (IDF) today form a key part of the island's defence bulwark.
Nonetheless, the company has also made significant inroads into the commercial aviation sector.
In 2010 AIDC, which is owned by Taiwan's Ministry of Economic Affairs, generated revenue of more than $600 million, roughly half of which came from military programmes and half from commercial programmes.
The company employs 5,000 staff in three production locations - Shar-Lu (aircraft assembly), Taichung (corporate headquarters and research & development), and Kang Shan (aero engines).
Owing to China's sensitivity about weapons sales to Taiwan, AIDC is somewhat of a pariah in major international defence programmes. Unlike comparable companies such as Korea Aerospace Industries and India's Hindustan Aeronautics, AIDC produces relatively little for the international defence aerospace market.
Its commercial business, however, is another story, with AIDC sub-assemblies appearing on a number of prominent aircraft.
AIDC's commercial customers include Airbus, Boeing, Dassault and Sikorsky. The company produces trailing-edge panels for the A320, the 16A barrel for the business jet variant of the A321, and the A380's horizontal stabiliser tip.
For Boeing, AIDC manufactures pressurised doors for the 737 and 747, and the main landing gear door for the 737.
For Sikorsky, it produces the cabin-crew door for the S-76C helicopter and the cockpit for the S-92.
"For the next two years, military projects are likely to contribute slightly more than 50% of our revenues, but after this we expect commercial to grow more," Gary Lo, vice-president of commercial business development, said.
"This is because we are currently working on the mid-life upgrade for 71 IDFs," he added.
AIDC announced the mid-life upgrade of 71 IDFs in late June, when it delivered the first six upgraded aircraft to the Republic of China Air Force (ROCAF).
The contract is worth New Taiwan dollars (NT$) 17 billion ($588 million). It will be completed in two to three years and the air force is in the process of deciding whether it will upgrade its remaining 50 of the type.
CH Lee, vice-president of military business development, is confident the ROCAF will also upgrade the second batch of 50 aircraft, as this will simplify the future logistics burden of supporting the type.
The upgrade sees the aircraft receive improved avionics, including the addition of a full-colour heads-up display and full-colour multi-function displays.
The aircraft's digital flight computer will be improved and a colour display processor added. The aircraft's GD-53 Golden Dragon pulse doppler radar, an indigenous version of the General Electric AN/APG-67 radar, receives upgrades to help it better deal with electronic countermeasures.
The upgrade also doubles the number of Tien Chien-II Sky Sword air-to-air missiles the aircraft can carry to four.
"In addition to the mid-life upgrade, we are proposing further upgrades to the IDF," Lee said.
"We've submitted a proposal to the air force to add an active jammer and data link. Everything depends on the air force's decision, as this would effectively be a second upgrade," he added.
The company also continues to push a variant of the IDF to replace Taiwan's fleet of 83 jet trainers, which now comprises the AIDC AT-3 in the advanced jet trainer role, and twin-seat Northrop F-5s in the lead-in trainer role.
Lee estimates the two-seat trainer variant of the IDF could have its first flight within five years of AIDC's receipt of the budget for the project.
Taiwan's alternative to the IDF-based trainer is the Alenia Aermacchi M-346. Lee says Italy has granted Alenia approval to export a version of the aircraft that lacks hard points for weapons.
If Taiwan were to purchase the M-346, AIDC would probably produce the aircraft under licence.
Lee adds there is no timeframe for the ROCAF to obtain a new trainer, although he expects a requirement to be fleshed out within the next three to five years.
AIDC is also keeping a close eye on Taiwan's efforts to acquire 66 Lockheed Martin F-16C/D aircraft from the USA. Secretary of State Hilary Clinton has said she will make a recommendation about the sale on 1 October.
Many defence sources say Taiwan is unlikely to receive new aircraft. Instead, they feel that Washington will approve an upgrade of Taiwan's 152 F-16A/Bs.
Lee says it is likely that any F-16A/B upgrade would be performed by AIDC in Taiwan.
Source: Flight International
