South African aeronautical engineering company Aerosud is finalising joint plans with Boeing to develop a new cabin parts manufacturing plant near Pretoria by December. US giant Boeing will invest an undisclosed amount and provide training, while Aerosud is paying for construction of the facility near the Waterkloof air force base.

Aerosud managing director Paul Potgieter says it will become the sole supplier of interior composites and thermoplastic frames across Boeing's range. Talks are at an advanced stage and long-term contracts are to be signed by September.

Aerosud is a privately-owned group of companies formed in 1990 by leading designers on the indigenous Denel Rooivalk attack helicopter programmes with other engineers responsible for upgrades on two Dassault Mirage fighters. Its biggest project has been the development with Russian industry of the Mirage F1s powered by a Russian engine.

The Boeing deal comes after the recent signing of a 15-year strategic partnership deal between the US company and the South African department of trade and industry. The offset is linked to South African Airways' (SAA) R4.3 billion ($515 million) acquisition of 21 737-800s in March 2000. Offset will equal 30% of the deal.

Boeing's vice president international sales, Doug Groseclose, was in South Africa last week defending the 737-800 order, which has been criticised locally in the wake of alleged corporate governance irregularities under the 18-month tenure of ex-SAA boss Coleman Andrews. He resigned amid the controversy in April.

Groseclose says: "There was no special deal between Boeing and Coleman Andrews. Our aircraft was chosen on merit and not because of our relationship with Andrews." He says Boeing won the bid over Airbus because "the737-800 offered longer range, extra payload, and came at a more competitive price than the A320."

SAA acquired five 737-800s from Boeing and leased 16 from GATX/Flightlease, 14 of which have been delivered.

Source: Flight International