The Week in Aerospace: Yucatan Hits the SkiesBy Alessa Flores | Fri, 01/10/2020 - 13:00
Despite lacking economic growth in 2019, the Mexican aerospace sector grew 10 percent leading to an average annual growth rate of 14.4 percent over the last 15 years, according to FEMIA. Mexico ranks 12th in the world in terms of aerospace production. However, the country still faces problems such as growing its workforce and incorporating SMEs into the value chain. Yucatan has now become the most recent participant in the aerospace scene, becoming a pole of investment for aerospace companies.
This and more in the Week in Aerospace!
- Aerospace companies invested almost MX$500 million (US$26.6 million) during 2019 in Yucatan. Starting off 2020, US company PCC Airfoils – which has investors such as Warren Buffett and customers including Safran and Samsung – announced an investment of MX$300 million (US$16 million) to expand its production capacity with a nickel-core base blade casting complex.
- Grupo Aeroméxico reports that a confidential compensation agreement was recently reached with The Boeing Company to mitigate costs arising from the temporary suspension of operations of Boeing 737 MAX units.
- The Attorney General's Office (FGR) has put on sale 27,108 air parts for different types of aircraft that are not used by the dependency and have an estimated value of MX$55.3 million (US$2.9 million). The public tender includes parts for Bell helicopters, Cessna and Sabreliner aircraft, King Airplanes and more.
- Bombardier reported that Latécoère would acquire its electrical wiring interconnection systems business in Querétaro for US$50 million. The firm reported that this sale will not affect the rest of its operations in the state, which will continue to produce major aircraft structures, such as the stern fuselage for the global commercial aircraft family, including the Global 7500, the most complex aircraft component.
- Northrop Grumman, Lockheed Martin and Raytheon stocks rose after Iran launched missile strikes on two military bases housing US troops in early Tuesday trading. Northrop Grumman and Lockheed Martin traded 1.2 percent higher on Tuesday morning, while L3Harris Technologies rose 1.4 percent and Raytheon about 0.9 percent.
- IT Minister KT of India Rama Rao said Telangana has enormous potential to invest in the aerospace and defense sectors. This is the first state to develop its own drone policy and an ecosystem for the drone / UAV industry. The government announced its support to the sector by participating in the Wings India 2020, an international event on civil aviation sector held in Hyderabad in March.