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C-Series - China

Bombardier's longstanding relationship with China began more than 50 years ago and continues to strengthen today through investments in manufacturing, technology and people. A wide range of rail transportation and aerospace products are currently in service in the Chinese market.

Bombardier's aerospace activities have expanded significantly in recent years with steady growth in our customer base and deliveries coupled with an increased focus on development and manufacturing opportunities in China. Our commercial airline customers include Shandong Airlines, Shanghai Airlines, China United Airlines, China Eastern Yunnan Airlines, China Express; and 47 regional aircraft currently in service in China. China is among a number of countries identified as emerging markets for business aviation. Globalization, increased travel requirements by business people and a general positive trend towards the acceptance of business aircraft use are among the contributors to increased activity in the region. Bombardier, a market leader in China, delivered its first Global 5000 jet for operation in mainland China in July 2009. In addition, Bombardier recently delivered its first Learjet 60 XR and Challenger 850 jets to customers based in mainland China in March 2010. These milestone deliveries mark another important step in Bombardier's growing presence in China. All three business aircraft families account for one third of the business jet fleet in China with over 100 aircraft. Some components of Bombardier aircraft have been manufactured in China by subcontractors for more than 25 years. In addition, Bombardier Aerospace has, in recent years, signed several cooperation agreements with Chinese manufacturers for its Q400 and CSeries aircraft. In 2006, Bombardier Aerospace signed a major cooperation agreement with Shenyang Aircraft Corporation (SAC) as a supplier of main components for the Q400 aircraft. The packages supplied by SAC represent approximately 12%, by weight, of the Q400 aircraft.

In 2007, China Aviation Industry Corporation and Bombardier Aerospace announced a Memorandum of Understanding for a long-term strategic cooperation in the five-abreast, 90- to 149-seat commercial aircraft market. Through this agreement, Bombardier confirmed technical assistance in the development of the ARJ21 program. In addition, Bombardier would strive to develop synergies between the ARJ21 and Bombardier CSeries aircraft programs.

Further to the Definitive Agreement (DA) signed on March 21, 2012 covering program commonalities between the C919 and CSeries aircraft and the Letter of Intent (LOI) signed on November 13, 2012 signaling the beginning of Phase II of their strategic collaboration, Bombardier and the Commercial Aircraft Corporation of China Ltd (COMAC) announced the signing of a DA covering four distinctive projects. The DA is to be executed as part of the second phase of the parties’ long-term collaboration on leveraging commonalities between the C919 and CSeries airliners.

The four initiatives COMAC and Bombardier will collaborate on are: 1) specific areas of theCSeries aircraft flight test activities pertaining to non-flying tasks, 2) implementing and maintaining the common items that were achieved as part of Phase I, 3) sales and marketing, and 4) certain areas of customer services related to training, technical publications and parts distribution. The second phase of COMAC and Bombardier's cooperation is expected to contribute further to enhancing the competitiveness of not only the C919 and CSeries aircraft programs, but also of both COMAC and Bombardier’s overall businesses, and will help with maximizing both parties’ cost savings and market shares, while allowing customers of the C919 and the CSeries commercial airliners to realize cost benefits from the operation of both aircraft families.





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Page last modified: 24-03-2018 18:39:31 ZULU