The Philippines is gearing up to be recognized partner in aircraft maintenance, repair, and overhaul (MRO) and aerospace manufacturing in the Asia Pacific region as the country is holds the Aeromart Summit in Clark Field, Pampanga from June 4 to 6, 2018, showcasing the immense capabilities of the local aerospace industry.
“A lot of Philippine industries are well-known globally, such our strong information technologybusiness process management (IT-BPM), electronics and creative industries. However, regrettably, the Philippine aerospace industry is not one of those we are known for. It is not because we are not good at it, but simply because most have not even heard that we have an aerospace industry. This has to change from here,” said Trade Undersecretary for Industry Development and Board of Investments (BOI) Managing Head Ceferino Rodolfo during his keynote message at the opening of the Aeromart Summit Plenary Conference on June 4.
The event, he said, creates greater awareness on the country’s capabilities as a reputable supplier of the world’s largest aircraft manufacturers like Airbus and Boeing with aerospace parts ranging from flight control actuation systems to galleys and interior fit-outs.
Undersecretary Rodolfo also said the country’s MRO companies led by Lufthansa Technik and SIA Engineering Philippines also services various models of aircrafts from different manufacturers and airline operators such as Philippine Airlines and Cebu Pacific Air and the country’s large value of importation of aircrafts and aerospace parts is a proof of the growing MRO segment in the Philippines. Philippine MRO companies he said, have authority approvals from the United States, Europe, Cayman, and Australia.
Data showed that the Philippine aerospace industry is among the fastest growing industries in the Asia-Pacific Region, with exports growing by 42 percent annually from 2012-2016, translating into a significant 30-place increase in the country’s rank in the PWC Aerospace Manufacturing Attractiveness Index of 2017.
Europe and the Americas the biggest export destinations, at 45.8 percent and 40.8 percent share to total exports of aerospace parts in 2016, respectively. Asia Pacific accounts for 12.8 percent share. Exports of aerospace parts include OEM (original equipment manufacturing) parts such as flight control actuation systems, interiors, galleys and equipment, panels, and lavatories for the global commercial aircraft industry.
“The Philippines has the right people to grow the aerospace industry. We are also strategically located in the Asia-Pacific where we are also among the fastest growing economies. Our competences in allied industries provide for a solid base to further develop and expand current capabilities in aerospace,” he said.
The human capital in the Philippines has one of the highest capacities in the East Asia and the Pacific region, the highest among ASEAN based on the 2017 Global Human Capital Report. With around 700,000 graduates annually, more than 10 percent are engineering graduates.
“Our large population base and educated workforce provides for good base to further develop our competencies in aerospace. Companies in the Philippines have long seen the value of investing in Filipino talent as it among the top in terms of percentage of firms offering formal training programs for their employees,” he said.
The Aeromart Summit Clark Plenary Conference conducted yesterday was a platform to discuss the various topics and facets on the aerospace industry. Attended by hundreds of industry stakeholders, private companies, and government representatives, the conference had four sessions.
Session 1 centered on Opportunities in the Philippine Aerospace Industry where Undersecretary Rodolfo gave an overview and prospects on the local industry, followed by various speakers who discussed topics namely: Airport modernization program; New Clark City, the Future Aerotropolis; Route Development Program, and Philippine Air Force Modernization Program. The session ended with a panel discussion on Building a Stronger Aerospace Industry.
Session 2 meanwhile comprised of discussions on Participating in the Global Value Supply Chain. Topics discussed include Smart Partnership, Opportunities for Supply Chain in the Philippines, and Aerospace Supply Chain Expectations and Industry 4.0. The session concluded with a panel discussion on How to Manage Supply Chain in Asia.
The third session discussed the Expanding Opportunities in MRO where aerospace companies shared their cases namely Lufthansa Technik on Opportunities in MRO Industry; The Future of the MRO, the Future of SIAP; Introduction of Technic & Engineering CSN, and Business Aviation, Challenges & Opportunities. A panel discussion on the Philippines, a Strategic Market for MRO ended the session.
Finally, the last session talked about Maintaining a Cost Competitive Fleet. The topics included Maintaining a Cost Competitive Fleet, MRO—the Landscape for the Future, TECHaRE Total Support Program – Enhancing Predictability of Maintenance Cost.
The second and third days of the Aeromart Summit Clark (June 5 and 6, 2018) meanwhile will have business matching activities and workshops and business conventions at the ASEAN Convention Center, also in Clark. The business meetings offer all participants the opportunity to identify and request meetings with relevant contacts prior to the business convention while the workshops and business conventions offer must-attend conferences on various topics related to the market as well as promotion of specific products, services and technologies.
The Philippine hosting of the Summit is made possible by the BOI, the country’s lead industry development and investments promotion arm, in cooperation with various government agencies, industry associations and players. (END)