Ethiopia's state investment authority has announced that a US$15 million is being invested in a joint venture between Boeing and Ethiopian Airlines for the manufacture of aircraft parts. Ethiopian Airlines is the African continent's largest airline with a fleet of over 140 aircraft and the carrier is trying to make a proactive effort to further expand its operational scope and play a more significant role in the aviation supply chain.
According to the Ethiopian Investment Commission, the partnership will additionally involve the local state-owned Industrial Parks Development Corporation. The venture should include the production of various aerospace components, including aircraft thermal-acoustic insulation mats, electrical wiring harnesses, and other essential parts, while the project is projected to generate job opportunities for more than 300 Ethiopians, contributing positively to the local workforce and economy.
In the broader context of the aviation landscape, some African airlines, like Kenya Airways, have experienced disruptions due to a shortage of aircraft parts stemming from global supply chain disruptions. These disruptions were triggered by the conflict in Ukraine, which impacted the availability of Russian titanium, a vital material in aviation manufacturing.
Ethiopian Airlines has recently demonstrated a strong financial performance with a 20% rise in profits to US$6.1 billion during its previous fiscal year, highlighting its resilience and adaptability within the ever-evolving aviation industry. The partnership with Boeing signals a new chapter for Ethiopian Airlines, as it positions itself to contribute significantly to the production and supply of essential aerospace components.
