Expansion on the Horizon

Q: What strategies helped Qet Tech Aerospace become one of the most important MROs in the country?

A: Satisfied customers are the company’s priority. If customers leave satisfied they are more likely to return and recommend our MRO services. If they do not come back, then the service we provided did not meet their expectations or our prices were not competitive. Pushing to offer quality service with competitive prices and keeping customers satisfied with our offering embodies our growth strategy.

Our workforce has grown threefold from when we originally started. At its two sites in Queretaro and Obregon, 230 people work for Qet Tech Aerospace. The company does not have financial liabilities nor union problems and our financial structure is solid. The combination of these characteristics has allowed us to maintain a healthy growth rate.

Q: What is the main focus of Qet Tech’s business?

A: Commercial aviation tops the list. Lately, we have been focusing on small regional airlines. Mexico lacks infrastructure for small airplanes. Traditionally, the local aviation industry has been dominated by the MROs of big commercial airlines at the expense of smaller carriers. In Qet Tech, we noticed this was a niche market we could fill so we began working with TAR. Learning to understand their needs helped us grow together over the past years.

Big airlines are increasing their market presence by covering routes to neglected small cities with medium-sized planes. Qet Tech can cover the necessities of this type of aircraft but in the long-term, our goal is to provide services for bigger airplanes such as Boeing or Airbus. In the city of Obregon, our hangar measures 5,500m2, which can fit five or six planes at the same time. We have been developing all the service stations that are needed to provide full maintenance operations to any type of aircraft. The company also is investing in overnight stations for airplanes.

Q: Which services does the Mexican aviation market most require at the moment?

A: Several operators take their airplanes to MROs in the US. We need to convince them that Mexican companies have the capabilities to provide excellent services. Qet Tech not only wants to convince Mexican operators to keep their aircraft in the country but also to attract US aircraft.

We already have the required DGAC certifications and the company is filing for all the stipulated FAA certifications to service US airplanes. If we obtain these certifications then we can capture a bigger market share. Starting with national airlines, we will convince them by providing quality services, delivering on time and offering competitive costs.

Q: Why did Qet Tech select Sonora for its base of operations?

A: The state of Sonora believed in our project from the beginning and the cluster offered us advantages that no other aerospace cluster offered. Ciudad Obregon was particularly promising. The city is close to the US border and has an adequate climate for airplane maintenance. Furthermore, if we need a spare part it is easier to get it directly from Arizona. Parts enter Mexico via Nogales within the same day of order and exporting goods is equally punctual.

However, we want Qet Tech to expand to other parts of the country. Tijuana and Guadalajara are particularly attractive for us. Guadalajara is about to become the biggest hub for one of our clients so we need to position a service station in Jalisco. A similar possibility is on the horizon in Tijuana, where one of our clients’ biggest hubs is located. Volaris has important hubs in both cities, which means that demand for our services is certain even beyond Sonora and Queretaro.

Q: What are the company’s plans and expectations for growth?

A: Eight years ago when Qet Tech started, our main challenge was complying with all governmental requirements to offer a legal MRO service. When we secured major contracts, we started offering small services such as nondestructive tests, borescopes and services for DGAC audits.

We gradually began increasing our capacities until we achieved our current status. Today, Obregon is our main repair center and our Queretaro base allows us to support 12 service stations throughout the country. To grow beyond this, we are focusing on the regional market until we can also provide services for Boeing and Airbus aircrafts. We also will open a hangar in Queretaro to cater to clients in the Bajio region. Our future plans include branching into the aircraft recycling industry.

Q: What projections for the coming years do you perceive in the local industry?

A: Mexico offers important growth opportunities and the current exchange rate of the Mexican peso to the US dollar has not impacted our volume operations, in fact it has benefited us. Qet Tech is growing hand in hand with its clients. We have 50 percent projected growth with TAR airplanes and expect to grow 30 percent in our cargo business. In maintenance services for enterprises such as Volaris we are expecting to grow more than 100 percent.