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Mubadala To Manufacture Parts For Boeing

Mubadala To Manufacture Parts For Boeing

This is the first time Boeing has signed a direct outsourcing deal for parts production in the Arab region.


Abu Dhabi fund Mubadala’s Aerospace division unveiled a contract to build carbon-composite structures for Boeing, boosting UAE efforts to become a key manufacturer for the aerospace industry.

The ten-year deal calls for the Abu Dhabi-based company to produce ribs, or strengthening components, for the tail section of the 777 mini-jumbo and the vertical part of the tail for the 787 Dreamliner, Boeing’s latest lightweight passenger jet.

No financial details of the deal were provided.

The move reflects a goal by Mubadala Aerospace, a unit of state fund Mubadala, to become one of the world’s top five suppliers to the aerospace industry, executive director Homaid al-Shemmari told Reuters.

Its Strata subsidiary started delivering wing parts for the A330-340 to Airbus 18 months ago from a factory at Al Ain.

The latest deal marks the first time Boeing says it has signed a direct outsourcing deal for composites production in the Arab world.

Strata will begin delivering the carbon-composite tail parts to Boeing in 2013, according to the deal finalized at an Abu Dhabi aerospace conference.

A newly signed strategic agreement also puts Strata in a position to be a future supplier of the vertical fin or stabilizer for the 787 Dreamliner, the companies said.

Mubadala Aerospace owns a majority stake in SR Technics (SRT), the Swiss repair and overhaul firm. It also owns local repair company Abu Dhabi Aircraft Technologies (ADAT).

It holds a controlling stake in Italian business aircraft manufacturer Piaggio Aero along with India’s Tata Group and has partnerships with General Electric and Finmeccanica.

In Abu Dhabi its subsidiaries also include military repair company Ammroc, which it owns together with minority partners Lockheed Martin and Sikorsky.

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