FACC is looking to penetrate the Chinese MRO market with its newly launched strategic cooperation with Taikoo (Shandong) Aircraft Engineering Company (STAECO). Under the partnership, STAECO will take over the distribution of FACC’s Aftermarket Services portfolio in China within commercial aviation, refurbishment of business jets and component repairs.
According to Robert Machtlinger, CEO of FACC, the partnership will help it successfully market its MRO services in the country. “STAECO will provide outstanding know-how as an important and competent local partner,” he says, adding that the MRO “will support us in delivering our services quickly and economically in order to offer our customers high quality with short lead times.”
STAECO—which is a joint venture of Shandong Aviation Group Company, HAECO, HAECO Xiamen and Beijing Huakai Investment Company—has locations in Beijing, Jinan and Shanghai, China. While FACC already has a significant presence and infrastructure in Europe and North America, it says the cooperation with STAECO will strengthen its existing presence in Asia, which comprises an engineering center in Shanghai and a production plant in Zhenjiang through its partnership with Fesher Aviation Components.
“We believe that the cooperation with STAECO is a win-win situation for both companies,” says Christian Mundigler, vice president of Aftermarket Services, FACC. “With the sharp rise in air traffic in China as well as the growing share of composite materials used in aircraft construction in general, the demand for qualified MRO services in the composite sector is also increasing.”
According to Aviation Week’s Fleet and MRO Forecast, China’s fleet share will rise 32% over the next decade. The country’s MRO demand is expected to increase from $6.9 billion in 2019 to $11.4 billion by 2028.
Mundigler says the partnership will give FACC “the opportunity to grow together as a qualified MRO partner with the comprehensive range of maintenance and repair services offered by FACC and STAECO.” Its Aftermarket Services business segment currently offers airlines, MROs, spare part suppliers and service providers a range of services such as repairs, maintenance modernization and procurement of spare parts for components and systems.