ST Engineering’s Aerospace arm and Vietnam Airlines Engineering Company (VAECO), have set up a new joint venture company, Vietnam Singapore Technologies Engineering Aerospace Co. Ltd. (JVCo), in Vietnam.
The setting up of the JVCo, which establishes the Group’s first presence in Vietnam, follows a Memorandum of Understanding announced on April 26, 2018. The JVCo was set up with a paid up capital of US$3.9m (approximately S$5.3m) to provide component Maintenance, Repair & Overhaul (MRO) solutions. ST Engineering has a 49% stake in the JVCo, with the remaining 51% held by VAECO.
The JVCo will leverage Vietnam Airlines’ existing maintenance facilities at Noi Bai International Airport in Hanoi and Tan Son Nhat International Airport in Ho Chi Minh City by investing in new infrastructure for carrying out component MRO work at these facilities. The new component MRO facilities are expected to begin operations in mid-2019 to cater to Vietnam Airlines’ requirements and the region’s rising needs for aircraft component MRO services. These facilities will be equipped to support aircraft types including but not limited to the A320 Family, A350, Boeing 787 and ATR72, and carry out MRO work on pneumatics, hydraulics, electrical components, wheels and brakes as well as safety equipment.
