Boeing to piece together composite factory

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Boeing plans to double the size of its composite material production factory in Tianjin by early next year as demand grows and the global aviation market recovers, an executive with the US manufacturer said on Wednesday.

"Our Tianjin factory's work place is full with 600 employees now. We have to enlarge the place because the needs of commercial airlines is growing fast," said David Wang, president of Boeing China.

The factory, known as Boeing Tianjin Composites Co Ltd, now produces 4,000 parts per month. It provides composite secondary structures and interior parts for the B737, B747, B767, B777 and the B787 Dreamliner aircraft.

Boeing plans to double the number of employees at the factory in the next three to four years.

The factory started operations in 2002. Boeing increased its stake in the joint venture to 88 percent in 2008 by acquiring the 40 percent share held by advanced composite maker Hexcel Corp. China Aviation Industry Corp, the country's leading aviation manufacturer, holds the remaining shares.

"Composite airplanes are the future. We are also working in cooperation with the Chinese Academy of Sciences to widen our research in this field," Wang said.

Boeing's announcement comes at a time when the global aviation market is recovering from the worst industry slump since the SARS outbreak in 2003.

Boeing and its European arch rival Airbus won 237 orders worth $28 billion at the July Farnborough Air Show near London, more than three times the amount recorded in Paris a year ago. The two companies heralded the orders as an indication that the industry slump is over.

Both companies have since made announcements that they will be ramping up production output.

In June, Boeing announced a second production rate increase on the B737 program, advancing from 34 jets per month to 35 in early 2012. In May Boeing cited continued strong demand for the B737 as the reason to speed up production from 31.5 to 34 airplanes per month.

Airbus said at the end of July that it will increase the monthly production rate of its A320 to 38 per month by August 2011 and to 40 per month by the first quarter of 2012.

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