Farnborough 2008 Show News - July 16, 2008 - (Page 72)

FA R N B O R O U G H 2 0 0 8 Aerospace Means Big Business in Real Estate As major players in a global market, aerospace companies are expanding globally to exploit local advantages, such as government funding and benefits, access into local and regional markets, availability of infrastructure, transportation, a skilled workforce, the availability of services and proximity to associated R&D and testing centers. While understandably Farnborough 2008 provides a venue for UK and some European development programs, this year’s show also hosts quite a few “airport cities” and aerospace industrial development centers worldwide. Among these locations is Tianjin’s “Aviation Town” project, located on a 102-square km developing area 110 km southwest of Beijing. The new project, launched cooperatively by the Tianjin municipal government and China’s civil aviation administration, targets tenants from the air logistics, maintenance, air operations, exhibition, research and education sectors. Two other airport cities are being established in Dubai: the Dubai Airport Free Zone and Dubai Aviation City, part of the Dubai World Central. Both projects are offering aerospace companies attractive locations for operations and support, which are strategically located for covering Middle Eastern and Asian destinations. With U.S. aerospace and defense markets at their peak, individual states are attracting local and international aerospace industries to relocate and group in new and established developing areas. Prospects are particularly attractive for international aerospace industries Tianjin’s “Aviation Town” project, is located on a 102-square km developing area 110 km southwest of China’s capital of Beijing. The new project, launched cooperatively by the Tianjin municipal government and China’s civil aviation administration, targets tenants from the air logistics, maintenance, air operations, exhibition, research and education sectors. moving into the U.S. market in an attempt to tap part of the huge domestic investment in aerospace and defense. In such areas, aerospace companies tend to cluster in locations already dominated by the major players, or governmentoperated research, development or testing centers. Among the places becoming attractive to aerospace is Arizona, highlighting a “beautiful for business” attitude backed by “pro aerospace tax reforms” that reduce state tax. Florida highlights its vast developing areas located near airfields, including the new Panama City-Bay County International Airport to be opened in 2010. Mississippi promotes access to transportation, highways, railways, ports and waterways, as well as 84 airfields scattered throughout the southern state, which already host major aerospace companies such as Northrop Grumman, Lockheed Martin, General Electric and EADS. Maryland and North Carolina both benefit from research centers, important military facilities and proximity to decisionmakers in Washington, D.C. Other states present at the Farnborough Air Show include Alabama, Kansas, Missouri, New York and Washington state. The Canadian provinces of Quebec and Ontario are also promoting their locations, benefiting from their relative short distance to the U.S. without the restrictions involved in actually being there. Mexico is also becoming an attractive destination for aerospace industries because of its attractive labor costs and proximity to U.S. aerospace and trade centers in California and Texas. Several aerospace companies have already established operating centers in the country, mainly metalworking and laborintensive manufacturing. Primary locations include the Sonora region, south of the border with Arizona; Tamaulipas, and Hermosillo, south of the border with Texas; as well as Puebla, Chihuahua and Queretaro, near Mexico City. Aerospace-friendly regions in the UK highlighted at Farnborough 08 include Wales, England’s West and Northwest and Northern Ireland. Some regions are represented by industry associations including the Northwest Aerospace Alliance, Midland Aerospace Alliance and Farnborough Aerospace Consortium. Elsewhere in Europe, development centers are becoming attractive for aerospace including Andalucia in Spain and Torino Piemonte in Italy, which has been an established industrial center for many years. —Tamir Eshel The first JXB passenger terminal under construction. Eventual airport capacity: 120-150 million passengers/year. Dubai World Central (JXB) will include six 4.5km runways, six concourses, and two 18-hole golf courses Two other airport cities are being established in Dubai: the Dubai Airport Free Zone and Dubai Aviation City, part of the Dubai World Center. Both projects are offering aerospace companies attractive locations for operations and support, which are strategically located for covering Middle Eastern and Asian destinations. 72 July 16, 2008 www.aviationweek.com/shownews http://www.aviationweek.com/shownews

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Bombardier, Shenyang $5 Billion for Composites 787 and Seven V-22s for Export Sale? Saving Fuel at SFO Raytheon Roars Into UAVs Bell Eyes ARH-70A Costs All According to Plan We Fly the PC-12NG Russia’s T-50 PAK-FA Optimistic in Israel ICAO Sim Classifications Pratt to Power New Drone Russian Conglomerate

Farnborough 2008 Show News - July 16, 2008

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