British aero engine giant set to operate new facility in Beijing

Rolls-Royce's first aero engine maintenance, repair and overhaul (MRO) joint venture in the Chinese mainland is on track to begin operations by the end of 2025, said a senior executive of the British aircraft engine manufacturer.

The new facility in the northeastern suburbs of Beijing marks the aero engine giant's significant expansion in one of the world's fastest-growing aviation markets, indicating the company's optimism about the Chinese market and its recognition of the country's supply chain.

The Beijing Aero Engine Services Ltd (BAESL), a joint venture with Air China, is set to initially service Trent 700 engines for Airbus A330 aircraft before expanding to Trent XWB and Trent 1000 engines for Airbus A350 and Boeing 787 aircraft respectively, said Troy Wang, executive vice president for Greater China at Rolls-Royce, in an exclusive interview with Xinhua.

"At its full capacity, which is expected to be achieved in the mid-2030s, BAESL will be able to support up to 250 shop visits per year," said Wang.

The facility, which will employ up to 800 people at full capacity, represents a strategic growth initiative in China, Rolls-Royce's third-largest single-country market globally by revenue.

Prior to BAESL, Rolls-Royce has been servicing Chinese customers through its global MRO network, including HAESL in Hong Kong, which was established in 1997.

The BAESL project is the latest in a series of investments by Rolls-Royce in China, including five joint ventures with Chinese partners.

According to a report released by the Aviation Industry Corporation of China, the aviation sector is projected to require over 8,200 new passenger aircraft by 2043 to meet growing demand, including more than 1,500 wide-body jets.

"China is not only a market, but also an important part of our supply chain," said Wang. He highlighted that Rolls-Royce has built a wide network of over 50 suppliers across the country, which manufacture key engine components and parts while "embedding digital and automation innovation capability."

BAESL is being built as a "world-leading digitally-enabled aero engine repair and overhaul shop" incorporating the latest digital technology. The joint venture is already partnering with leading digital solution providers in China to develop AI-enabled capabilities.

China's aviation sector has shown remarkable resilience and growth potential despite global economic uncertainties as its industrial ecosystem continues to demonstrate competitiveness in "cost, quality and lead time," according to Wang.

Last year, Rolls-Royce expanded its joint venture in China with Guangxi Yuchai Machinery Co., Ltd., a Chinese internal combustion engine manufacturer, to address the country's fast-growing market.