Spare parts venture AirLiance Materials today signed a letter of intent with China Aviation Supplies Import and Export Group Corp (CASGC) and the China Aviation Industrial Base (CAIB) to work exclusively together on a material support program for the region.

The three parties will “evaluate and, if feasible, develop a joint programme with the objective of establishing expanded new and surplus commercial aviation material support capability for the CASGC Aviation Logistic Support Center in Xian, China”, says AirLiance in a statement.

The strategy calls for AirLiance to provide support and advice to CASGC, CAIB, Chinese airlines and other Chinese entities to develop the Xian project. For their part, CASGC and CAIB will evaluate investment requirements for the facility. CASGC will also provide manpower resources to be trained by AirLiance in the operation of the centre.

Following the service strategy developed by AirLiance, the centre will concentrate on the supply of aftermarket materials with “joint approved traceability, e-distribution of surplus material from Chinese airlines to the global aviation marketplace, and the lowering the overall materials costs for targeted Chinese airlines”, says AirLiance.

It will also offer material sales, exchanging and pooling, parts kitting, repair management, and consignment programs. AirLiance was created in 1998 as a joint venture between Air Canada, Lufthansa Technik and United Airlines. The Chicago O’Hare-based company provides surplus material to the world’s maintenance, repair and overhaul firms. In January 2004, Lufthansa Technik increased its shareholding in AirLiance to a majority stake.

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Source: Flight Daily News