Government set to decide future of nation's flagship aviation companies by year-end
Ukraine's government intends to decide by the end of 2004 on merging the nation's three flagship aviation companies - Antonov and the Kharkov State Aviation Manufacturing (KSAMC) and KiGAZ Aviant manufacturing plants.
The government has approved the plan, which calls for the state-owned entities to be merged rapidly. Aleksandr Neustroyev, minister for industrial policy, says: "Is Antonov a successful company? The answer is yes, since it has developed several modern aircraft designs in the past few years. Is KSAMC a success story? Yes, since it produced the new designs. But has the Ukrainian aviation industry achieved its goals? Certainly not, because we have not taken a niche in the global market for regional aircraft."
The plan has received enthusiastic support from KSAMC, while the Antonov and Aviant leaders have expressed doubts. Antonov general designer Piotr Balabuyev says that, before merging, efforts should be made to harmonise the finances of the three enterprises. He criticised the plan as being "similar to the collective farm movement in Stalin's time; irrelevant to the market-driven economy". Aviant general director Oleg Shevchenko also expressed worries over the need "to proceed so quickly" to a single entity, proposing instead a national corporation uniting not just the three flagships, but also the ZMKB Progress and Motor-Sich aero-engine companies, as well repair stations.
KSAMC general director Pavel Naumenko has been put forward to head the merger. He says the creation of a single entity will lead to a Western-style company uniting aircraft development, production, sales and after-sales support, shifting the Ukrainian aviation industry towards a system that is "convenient to the customer". But he adds: "We'd better do it as soon as possible, otherwise the Ukrainian industry, which produces about 10 aircraft a year, will completely lose its competitiveness."
CIS aviation authorities anticipate a reduction in the number of operational Antonov aircraft from 7,600 to less than 2,000 by 2010. In the last five years Ukrainian manufacturers have produced just 21 new Antonov aircraft, and Russian companies another 24, including 12 An-3 turboprop refurbishments of the An-2 piston-powered biplane.
The merger will focus on production and improvement of the An-148 and An-140 regional aircraft, and the An-74 and An-32 light tactical transports and their derivatives; production of the An-70 medium airlifter; and supporting An-124-100 Ruslan super-heavy freighters. Once the merger is complete efforts will be made to find international partners, particularly among Russian companies and those working with Antonov aircraft worldwide, including Iran's HESA and various Western suppliers.
VLADIMIR KARNOZOV / KIEV
Source: Flight International
