VICTORIA - The recent Avcorp Industries Inc. announcement of an $80-million contract extension with Boeing shows that the aerospace industry in British Columbia is flying high, according to Minister of Jobs, Tourism and Innovation Pat Bell.
Commencing in 2013, the five-year deal has Avcorp providing Boeing with the wheel well for the Next-Generation 737, as well as assemblies and components that support the Next-Generation 737, 747-8, 767, and 777.
Additional recent activities in B.C.'s aerospace sector include:
- Victoria's Viking Air's expansion into the China market with the sale of five new Twin Otters to Meiya Air of Hainan Province.
- Abbotsford's Cascade Aerospace is now one of only two Lockheed-Martin C-130 heavy maintenance centres in the world.
- Boeing Defense and Security awarded Avcorp a development contract for a new Ruddevator design for the U.S. air force's KC-135 air-to-air refuelling aircraft program.
As a preferred Asia-Pacific Gateway, B.C. has increased potential to become a major hub for not only the Pacific Northwest, but also Canada's growing aerospace industry.
Minister of Jobs, Tourism and Innovation, Pat Bell -
"The aerospace sector represents a tremendous opportunity for investment into B.C. and for job creation for British Columbians. 'Canada Starts Here: The BC Jobs Plan' is clear in its support for industries that create jobs for B.C. families, and our government will continue to be an advocate on behalf of our leading-edge companies."
"Thanks to Boeing Canada's IRB team for their continued support of Avcorp."
Catherine Hawkins, senior manager, Boeing -
"A significant factor that was also considered in extending the contract to Avcorp was Boeing's Industrial Regional Benefits commitment in Canada. Canada's IRB policy requires prime contractors such as Boeing to make investments in the Canadian economy as a result of winning defence and security contracts with the Government of Canada."
"Boeing has several active IRB commitments tied to C-17, ScanEagle, Chinook Helicopter and the Mercury Global satellite programs; and this contract is a another great example of working together to create win-win opportunities for all."
- Part of the broader technology sector, Aerospace is identified as a key growth sector in the BC Jobs Plan.
- British Columbia's aerospace sector generates over $1.2 billion in revenue per year and directly employs approximately 5,000 people.
- B.C. is in close proximity to Boeing's final assembly and integration production lines in the Seattle area.
- Over the next 20 years, approximately half of the world's air-traffic growth will be connected or within the Asia Pacific region.
- Total air traffic for the region will grow 6.7 per cent per year during the period and air cargo will grow 6.3 per cent per year.
- To modernize their fleets and meet the growing demand for air transport, airlines in the Asia Pacific region will need 11,450 new airplanes valued at $1.5 trillion over the next 20 years.
- Global airplane sales, for both fleet growth and replacement of aging aircraft, will total 30,900 units over the next 20 years, with a value of over $3.6 trillion.
BC Jobs Plan: http://www.bcjobsplan.ca/
Ministry of Jobs, Tourism and Innovation