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Boeing to invest $33 million in joint venture with COMAC for China plant: China Daily

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The logo of Boeing (BA) is seen in Los Angeles, California, United States, April 22, 2016.

SHANGHAI - Boeing Co will invest $33 million for a majority stake in a joint venture with Commercial Aircraft Corp of China (COMAC) that will oversee the U.S. planemaker’s new 737 completion plant in China, the China Daily reported.

The firms had signed an agreement to set up the joint venture with registered capital of $55 million, the state-run newspaper said on Wednesday. Boeing would take a 60 percent share, while COMAC would invest $40 million for the remainder.

Construction of the factory in the eastern city of Zhoushan began in May. It would install interiors and paint liveries.

Boeing had not previously disclosed how much it would invest in its first overseas completion and delivery center outside the United States. It aims to deliver 100 planes a year.

The China Daily, citing COMAC, added that the Chinese planemaker would participate in the completion tasks with Boeing employees, but how the two sides would share the work was still unknown. The delivery center would be owned by Boeing.

Boeing and its European rival Airbus are expanding their footprint in China as they vie for orders in the world’s fastest growing aviation market. Airbus last week opened its Chinese completion plant for A330 jets in the eastern city of Tianjin.

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Muslim Global: Boeing to invest $33 million in joint venture with COMAC for China plant: China Daily
Boeing to invest $33 million in joint venture with COMAC for China plant: China Daily
Boeing Co will invest $33 million for a majority stake in a joint venture with Commercial Aircraft Corp of China (COMAC) that will oversee the U.S. planemaker’s new 737 completion plant in China, the China Daily reported.
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