China approves Air China-CFM engine venture

Michael Gubisch (20Dec10, 10:56 GMT, 136 words)

China's Government has given approval to convert Snecma's engine overhaul shop in Chengdu to a 60:40 joint venture between Air China and CFM International.

The airline and the Franco-US engine consortium already agreed to form the Sichuan Services Aero Engines Maintenance Company in early 2007, but the negotiations and gaining the final approval from the Chinese Government took more than three years.

The facility presently overhauls 60 to 80 CFM56-3, -5B and -7B engines per year. However, CFM indicates that the site will also support CFM56-5C series engines in future, which Air China employs on its fleet of six Airbus A340-300 aircraft.

Air China operates 118 Boeing 737 aircraft, exclusively powered by CFM56s. On the Airbus side, it has 55 CFM56-equipped A320s in its current fleet, and 20 of the same on order.

Source: Air Transport Intelligence news

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