A new plant at MTU Maintenance Zhuhai, a first-stage project of the second-phase expansion, came into operation two weeks ago, underscoring the German company's plans to become No1 in Asia.

Holger Sindemann, president and CEO of MTU Maintenance Zhuhai and also president of the German Chamber of Commerce in South China, talked about MTU's success and its future plans recently.

Being the largest maintenance provider for commercial engines in China, MTU Maintenance Zhuhai is a joint venture with China Southern Airlines, each holding 50 percent shares. The joint venture will last 30 years and both parties are satisfied with the rapid growth of the business during the past nine years, Holger said.

The company is reportedly the Chinese market leader for V2500 and CFM56 engine maintenance.

Covering nearly 4,000sqm, the plant is mainly used for storage by category and distribution to be more cost-efficient. Good warehouse management is more likely to avoid human errors and therefore increase customer confidence, according to Holger.

The plant has also set aside 500sqm for 24-hour AOG service for General Electric (GE), whose first-batch CFM56, CF34-10A and GEnx engines will be stored there for round-the-clock maintenance. It is said to be GE's only AOG house in China.

The plant also contains 600sqm facilities for employee training, which contributes immensely to MTU’s rapid growth.

The second-stage project of the second-phase expansion, which will provide 5,780sqm more for the major maintenance facility, is to be completed by 2012. It will increase MTU Zhuhai's capacity to 300 shop visits.

The facility repaired 154 aero engines with revenue reaching 2.42 billion yuan ($354 million) last year. In the first half of this year, 78 aero engines have been accepted.

More than 50 percent of the aero engines repaired since its founding have come from China Southern Airlines. Moreover, MTU Zhuhai specializes in the maintenance, repair and overhaul of V2500-A5 (IAE) and CFM56-3, -5B, -7B (CFMI) propulsion systems, Holger explained.

The company also attaches importance to environmental protection and energy conservation. It complies with all national or international environmental standards in wastewater treatment, waste gas purification ventilation system, noise control and hazardous waster treatment and is certified to ISO 14001, Holger noted.

With growth rate of 33 percent, MTU Zhuhai has become the largest aero engine maintenance base in China. The company has grown its share in the Chinese domestic market for V2500 engine MRO to 90 percent and CFM56 engine MRO to 35 percent. It maintained, repaired and overhauled 165 aero engines with sales revenue topping 2.42 billion yuan ($354 million) last year, Holger revealed.

MTU Maintenance Zhuhai signed an agreement with All Nippon Airways (ANA) last year, placing China's civil aviation aero engine maintenance for the first time in the Japanese market. It passed the authentication of the Japan JCAB on July 14,ready to accept the shop visit by ANA.

The company was honoured with the Asia-Pacific Independent MRO Operation of the Year Award 2004, and was re-designated as a Guangdong Hi-Tech Enterprise in 2009.

The success of the company lies in its location in the Free Trade Zone, preferential policies and flexible customs clearance procedures, and most notably, support of local governments at all levels, Holger said.

MTU Zhuhai's next goal is to make it the No1 aero engine maintenance base in Asia, Holger said.

-Zhuhai Daily