February 27, 2019 | 05:30 am PT

US corporation to invest $170 million in aircraft components factory

U.S. corporation UAC will manufacture aircraft components at a $170 million factory in Da Nang.

The Da Nang People's Committee’s office has said that US-based Universal Alloy Corporation Asia Pte. Ltd. (UAC) will manufacture aircraft components and parts at a new factory in the central city’s high-tech park.

A project certificate for the $170 million factory will be granted to UAC by the Da Nang government on March 1.

When operational, the factory will produce 4,000 of five million parts used in all types of aircraft. These will be exported to North America and EU markets.

This project aims at exports of $25 million by 2021, $85 million a year later and $180 million annually from 2026 onwards.

UAC plans to recruit 1,200 highly skilled workers of  mechanics, electricity and automation. It will also hire 2,000 people to develop supporting industrial production chains.

UAC Group is a leading global manufacturer of aircraft components, often producing them under long-term supply contracts for Boeing and Airbus.

Vietnam opened its first airplane parts factory, invested in by South Korean conglomerate Hanwha Group, in December last year. The factory, Hanwha Aero Engines, located in the capital city’s Hoa Lac Hi-Tech Park, began making aircraft engine components for export in January.