EADS and Indonesian Aerospace (IAe) plan to sign a memorandum of understanding this week, leading to new work for IAe from EADS subsidiaries.

Industry sources say the agreement will almost immediately result in work from EADS Casa and Eurocopter. Other EADS units including Airbus and Sogerma are also considering new tie-ups with IAe.

The EADS Casa contract will shift production of the C-212-400 from Spain to Indonesia. The Eurocopter contract will appoint IAe a retrofit centre for all Eurocopters sold in Indonesia.

IAe already manufactures the CN-235 turboprop, co-developed with Casa, and licence-produces the C-212-200, Eurocopter BO105 and NAS332.

Source: Flight International