British industrial conglomerate Rolls-Royce is strengthening its presence in China via a newly launched engine maintenance joint venture with Air China, as domestic demand for commercial air travel grows.
The joint venture, Beijing Aero Engine Services (BAESL), which became operational in December, provides engine maintenance services for Chinese airlines. The company said it planned to leverage this partnership to serve overseas carriers in future.
“China is an important market for Rolls-Royce, and our confidence and investment conviction in China remain unchanged,” said Liu Xiaowei, senior vice-president for civil aerospace customers at Rolls-Royce, in a briefing in Beijing on Monday.
Nearly 60 per cent of China’s widebody aircraft fleet has Rolls-Royce engines, he said, adding that “unlike aircraft manufacturers, aero-engine makers rely heavily on flying hours and the after-sales market”.
As demand for after-sales services increases, the facility will be capable of handling up to 250 shop visits per year at full capacity – a level expected to be reached in the mid-2030s.