With Chinese domestic air traffic having recovered almost to 2019 levels in March, the outlook for airlines and the aftermarket in the country is looking considerably brighter than in many other parts of the world.
In response, Lufthansa Technik Shenzhen (LTS) – the component maintenance joint venture between the German company and Beijing Kailan Aviation – has said that it will convert a 23,000 sq.ft bonded warehouse into a new maintenance workshop.
Scheduled to be completed in June 2021 the new facility will expand LTS’ capabilities to more than 70 Honeywell components for the Airbus A350.
Previously, such repairs would have been performed abroad, so LTS clearly sees value in becoming the first licensed repair station for them in Asia-Pacific.
Clearly, the company also believes it is worth giving up the advantages of its bonded facility, which was used for the repair of units received from overseas.
There is no import duty for such units and material consumed, if the material was also imported as bonded goods. Perhaps, then, the facility’s conversion highlights the strength of demand from China’s domestic market.
Nonetheless, LTS retains its ‘Authorised Economic Operator Advanced’ certificate and ‘Export Benchmarking Enterprise’ award, which mean that almost none of its parts are physically screened by customs, with checks instead being conducted online,
The increase of maintenance capabilities will also include heat transfer component repairs, overhaul and core replacement services under a newly announced partnership with TAT Technologies. This will support most major platforms and components on the environmental control, bleed air and fuel inerting systems.
Additionally, LTS plans to build up service capabilities for components of Meggitt fire & safety Systems, valves, sensors and fuel systems, with LTS serving as a Meggitt OEM center of excellence in
China.