Media Release by JTC Corporation
[Singapore Airshow 2020] Aerospace Companies Investing Another S$500 million in Singapore – New Facilities and Expanded Operations Set To Unveil Over the Next 5 Years
Singapore, 11 February 2020 – Amidst global economic uncertainties, the long-term prospects for the aerospace sector remain bright. Since 2015, total output for our aerospace industry has enjoyed a compound annual growth rate of 10% and surpassed S$11 billion in 2018. Leading aerospace companies have committed S$500 million new investments in Singapore over the next 5 years. During the Singapore Airshow 2020, JTC signed a series of agreements with companies including GE Aviation, Overhaul Services – Singapore; SIA Engineering Company Limited (SIAEC); Singapore Aero Engine Services (SAESL); Ametek MRO; GE Aviation, Engine Services – Singapore; Pattonair; and RLC Group (Singapore), which will expand the aerospace ecosystem and supplier networks and strengthen Singapore’s position as a global aerospace hub.
2. GE Aviation, Overhaul Services – Singapore, a joint venture between GE Aviation and SIAEC, has confirmed its interest to take up a newly-levelled site at JTC’s Loyang estate to set up a state-of-the-art engine overhaul facility. The facility will adopt best practices from GE's innovative manufacturing concepts, combining advanced technologies and lean practices with digitisation and data analytics to enhance productivity.
3. Following SIA Engineering Company Limited’s (SIAEC) announcement on 13 December 2019 on its agreement with Safran Aircraft Engines to provide engine maintenance services, SIAEC has identified JTC’s Changi North estate as a potential site for its facility for CFM LEAP-1A and LEAP-1B engines. The facility will adopt the latest engine maintenance and Quick Turn (QT) processes, including advanced technology to support engine QT and modification embodiment services.
4. Singapore Aero Engine Services (SAESL), a joint venture between SIAEC and Rolls-Royce, is the world's largest Rolls-Royce Trent Aero Engine Maintenance, Repair and Overhaul (MRO) facility and Trent Centre of Excellence, serving more than 30 airlines across the world. With the signing, SAESL is exploring an expansion in JTC’s aerospace enclave in Loyang estate. SAESL CEO, Simon Middlebrough said, “With the continued strong global growth of Rolls-Royce Trent Engines and the introduction of the next-generation engines, SAESL intends to further expand its operations in Singapore. We are proud to explore this intent with JTC, EDB and our shareholders over the coming months.”
New entrants and expansions in Seletar Aerospace Park
5. New entrants are establishing their operations in Seletar Aerospace Park. Proponent, a leading independent aerospace distribution company will be opening its 20,000-square-foot regional distribution facility later this year. This will be an expansion of its footprint in Asia Pacific to bring its operations closer to customers in the region. "We realize this market continues to grow, and we need to accommodate that growth," said Erik Krol, Vice President, Asia Development. "This new facility supports our long term commitment to the region, and Seletar Aerospace Park is providing us an excellent location to suit our growth plans."
6. PPG, a trusted global leader in paints, coatings and specialty materials for more than 135 years, is making great strides toward the completion of its new 38,750square-foot Application Support Centre (ASC) at Seletar Aerospace Park. The project is the company’s largest investment to date in Southeast Asia, at approximately $15 million. Scheduled for completion in mid-2020, the ASC will accommodate increased demand for aerospace sealants, coatings, transparencies, chemical management services and the packaging of third-party products. “This investment acknowledges the aerospace industry’s strong growth in Singapore and Southeast Asia,” said Ranju Arya, PPG general manager, aerospace products, Asia Pacific. “Having this state-ofthe-art facility in Seletar Aerospace Park will help increase collaboration and allow PPG to deliver efficient, value-added products and services to our customers locally.”
7. Ametek MRO has commenced additional capability investments and is discussing future facility requirements with JTC. Recently merged Pattonair and Wesco Aircraft, a leading global aerospace and defence supply chain provider, is also looking to secure new premises at Seletar Aerospace Park. Following recent business growth in the region and a forecasted increase in staff required to support their growing customer base; they intend to move operations in January 2021 from their existing operations to a 40,000 square feet facility at the new JTC aeroSpace Three in Seletar Aerospace Park. Seletar Aerospace Park is at the heart of the aviation sector and this will create new efficiencies in their supply chain process, enabling them to deliver the right parts at the right time. Wayne Hollinshead, President said, “We are pleased to be investing further in our Asia operations, which has gone from strength to strength. This move will reinforce our relationship with Rolls-Royce and provide additional opportunities to support new customers and MRO’s in the region and their supply chain complexities.”
8. Several other companies are also expanding their presence in Seletar Aerospace Park. RLC Group (Singapore) is looking to lease an additional facility here. The continued expansion in Singapore is a critical element of their strategy with the objective of continuing to be a valued high performing supplier in the aerospace supply chain. The additional facility will allow them to expand the range of products manufactured in Singapore and represents a significant investment by the company as well as being a ‘vote of confidence’ in their local team.
9. Bombardier is in the midst of quadrupling the footprint of its Singapore Service Centre, which will make Seletar Aerospace Park home to its largest OEM-owned business maintenance facility in the region. Expected to open in the second half of 2020, the expanded Singapore Service Centre will offer heavy structural and composite repair capabilities and will more than double the size of its integrated parts depot to close to 10,000-square-foot, adding more than $15 million in additional parts inventory. It will also offer a full-service cabin interiors centre with full woodworking services, a controlled-environment paint booth, world-class refinishing services and full upholstery services. This also includes full Learjet, Challenger and Global interior refurbishment. During the airshow, Airbus will inaugurate its new integrated campus in Seletar Aerospace Park, which serves as the company’s regional hub for its commercial aircraft, defence, space and helicopter businesses.
10. JTC CEO Mr Ng Lang said, “The series of new facility openings and expansions is a vote of confidence for JTC estates and Seletar Aerospace Park. The Park is just over a decade old and has already attracted over $1.5 billion of investments. Our estates will continue to support the success of businesses, and grow the ecosystem from strength to strength.”
11. To meet strong industry demand, JTC also launched aeroSpace Three, a new cluster of 9 ready-built standard factories to provide “plug & play” solutions for aerospace manufacturing and MRO activities. These new standard factories will incorporate the industry’s requirements for higher technical specifications to cater for Industry 4.0 technologies and the use of heavier and larger equipment. JTC will also be embarking on the next phase of land preparation works in Seletar Aerospace Park this year to create more capacity for future aerospace investments. As part of its estate enhancement efforts, the new Hampstead Wetlands Park will be completed by the first quarter of 2020 to enhance the biophilic environment of Seletar Aerospace Park.
Tuesday 11 Feb 2020
Pavilion: raw, Booth: C11