Boeing and VSMPO-Avisma agreed joint-venture extending and R&D cooperation

Largest Russian titanium producer, VSMPO-Avisma, Rostekhnologii subsidiary company, and American Boeing signed a memorandum to extend titanium procurement cooperation by Ural Boeing Manufacturing (UBM) joint venture expansion. Parties will also continue the R&D interaction regarding new technologies and alloys.

Currently the parties are processing 2 new alloys, which might be also used for Russian aero-space industry. Lately Boeing and AVISMA worked out 3 new technologies. Thus Ti5553 high-tensile alloy, created by VSMPO-Avisma, allows to considerably lower aircraft weight. It is employed by Boeing-787 Dreamliner and may also be used for Russian airplanes.

«The decisions made by VSMPO-Avisma reduce fuel consumption due to weight cutting,» says Rostekhnologii CEO, Sergey Chemezov, «This would enhance cost effectiveness and air carriage reliability, and environment performance improvement. Our developments will be applied to various international commercial aircrafts. Boeing cooperation expansion will help us to make better decisions for international aero-industry.»

«Rostekhnologii is Boeing’s reliable and valuable partner in Russia for many years. Together we achieve results that allow us to grow our businesses,» said Ray Conner, president and CEO of Boeing Commercial Airplanes. «Today’s agreements will allow Boeing and Rostekhnologii to further expand our partnership and our mutually beneficial cooperation.»

Boeing and AVISMA will expand the UBM joint venture. The expansion will provide JV with increased capacity for machining the 737 landing gear beams. Supporting Boeing’s 737, the most popular commercial jet in the aviation history, is a significant milestone and business opportunity for UBM. The 4 new advanced technology machines have been purchased and are scheduled for installation at UBM in 2013 to be ready to support the 737 production rate increases.

«Cooperation with the leading commercial aircraft manufacturer requires world-level specification, quality parameter and techno-economic instruction abidance,» marks Mikhail Voevodin, CEO of VSMPO-Avisma, «Due to R&D center and high manufacture technologies implementation we reduced the cost of titanium parts and made them affordable for commercial aircraft-building. Earlier titanium could be used only for military-purpose equipment.»

Currently VSMPO-Avisma meets up to 40% of the American company needs. Boeing contract performance in 2013-2018 will benefit1.5-2 billion dollars for VSMPO-Avisma.