Future of cross-border partnerships to be probed
ABU DHABI, March 2, 2016
The role of cross-border partnerships in the global aviation, aerospace, defence and space sectors will come under the spotlight in Abu Dhabi this month when international leaders from all four industries meet at the Global Aerospace Summit to explore and identify future development strategies.
C-suite executives from the sectors said with national development agendas gaining momentum, cross-border partnerships are now vital to sustaining business, said a statement.
The partnership patterns and projects will be examined in two key sessions - one sponsored by Dassault Aviation, which will examine how innovative offset programmes can support local economic development while achieving business goals, and a second, sponsored by the Cytec Solvay Group, which will help define how to create successful partnerships with GCC players.
Globally competitive dynamics are now driving partnership deals across the entire aviation, aerospace, defence and space segments, according to experts.
Iata’s recent economic briefing said for airlines, partnerships that begin as simple code-share agreements are now leading to closer cooperation and integration of international services through joint ventures.
The association said JVs allow airlines to gain access to otherwise unattainable valuable assets such as slots at congested airports. Other benefits include mutual traffic feed and branding, joint purchasing and common frequent flyer programmes, stimulating additional business, sharing training facilities and joining forces on maintenance.
Etihad Airways, the national airline of the UAE, has formed an extensive network of codeshares and equity sharing partnerships to leverage global expansion.
James Hogan, Etihad's president and chief executive officer, said: "We believe that our strategy of organic expansion, codeshare partnerships, minority investments in other airlines and deep commercial agreements, have set the benchmark and form the basis of a long and sustainable future for the airline and its partners.”
The UAE and India will be key to partnership progression and that much can be taken from collaborative agreements already operating in the West, according to Boeing.
The MRO and after-market segment is also likely to see more international partnership agreements to remain competitive, according to Abu Dhabi’s management consultancy ADA Millennium, which has forecast an era hallmarked by joint ventures, mergers and investment to address increasing demand, particularly from the Middle East.
AAR, a leader in aviation aftermarket services, was chosen by Advanced Military Maintenance Repair and Overhaul Center (Ammroc), an Abu Dhabi-based Joint Venture between Mubadala Development Company, Sikorsky and Lockheed Martin, to support in the design, outfitting and integration of key areas of Ammroc’s state-of-the-art facility in Al Ain, UAE.
The new facility will be one of the world’s largest dedicated military MRO centres and an anchor tenant at the Nibras Al Ain Aerospace Park (Nibras), the free-zone being jointly developed by Mubadala and Abu Dhabi Airports Company to support the establishment of a sustainable aerospace hub in Abu Dhabi.
Hosted by Mubadala Development Company, the summit, the third in the series, is part of the inaugural Abu Dhabi Aviation and Aerospace Week and will be held on March 7 and 8 at the Abu Dhabi National Exhibition Centre. - TradeArabia News Service
