Aerospace giant Boeing Corp. and the biggest producer of titanium components for aerospace industry Corporation VSMPO – AVISMA officially announced that their joint venture – Ural Boeing Manufacturing - has become a resident of the Special Economic Zone “Titanium valley”. Being a resident of Special Economic Zone “Titanium valley” UBM will be able to reduce costs for organization of manufacturing due to specific tax exemptions and preferences.
Vice- Minister of economic Development of Russian Federation Alexander Tsibulskiy officially presented the certificate of resident to CEO Corporation VSMPO-AVISMA Mikhail Voevodin and President of Boeing Russia and CIS Sergey Kravchenko. Governor of the Sverdlovsk Region Evgeniy Kujvashev and CEO Special Economic Zone “Titanium valley” Artemiy Kyzlasov joint the ceremony.
The new factory will focus on machining of titanium stampings for landing gears for all Boeing commercial Aircrafts including new models 737 MAX, 787 and even 777X, which will be produced since 2017. UBM will employ 100 people.
In December 2016 Boeing Corp. and Corporation VSMPO- AVISMA officially announced enlarging of their 50\50 co-production – Ural Boeing Manufacturing, which was created in 2009. The second stage of a factory is now being constructed at the territory of the Special Economic Zone “Titanium valley”. The total square is 19,5 thousand m2. The factory will come to operation in 2018.
Sergey Kravchenko, President of Boeing Russia and CIS:
“This fact demonstrates strengthening of the strategic partnership of Boeing and VSMPO-AVISMA Corp. with the support of regional and federal authorities as well. UBM as a resident of the Special Economic Zone “Titanium valley” gives us new opportunities for developing our business in the Ural region”.
Mikhail Voevodin, CEO Corporation VSMPO-AVISMA:
“Joint-venture Ural Boeing Manufacturing has proven its efficiency and robustness. Construction of the new facility at the territory of the Special Economic Zone “Titanium valley” is the next step in our partnership. I am sure cooperation of VSMPO-AVISMA Corp. and Boeing corp. will gain momentum”.
Artemiy Kyzlasov, CEO “Special Economic Zone “Titanium valley”:
“UBM is an anchor resident of the Special Economic Zone “Titanium valley” and drives the industrial specialization of the platform. First of all the main task of SEZ “Titanium valley” is enlarging production of components with the use of titanium alloys. Secondly, creation of a joint venture of Corporation VSMPO-AVISMA and Boeing Corp. at the territory of the SEZ “Titanium valley” might be a starting point, a signal for other international companies to consider SEZ “Titanium valley” as an industrial platform for placing the production and effective business with minimal risks”.
Ural Boeing Manufacturing has become 12th resident of the Special Economic Zone “Titanium valley”. Corporation VSMPO-AVISMA is a partner and a supplier of titanium raw material components for Boeing since 1997. Currently Boeing Commercial Airplanes buys over 35 % of titanium form VSMPO-AVISMA. According to a 30 years long program of partnership of Boeing and VSMPO-AVISMA signed in 1990, Boeing intends to spend 18 bln. $ for organization of titanium raw materials and components supply.