Hamilton Sundstrand, AVIC EM announce joint venture to develop electric systems for C919 jetliner

Hamilton Sundstrand Corporation and AVIC Electromechanical Systems Company Limited (AVIC EM) have signed a joint venture framework contract to co-develop and manufacture the electric power system for the Commercial Aviation Corporation of China's (COMAC) new C919 jetliner. Hamilton Sundstrand is a subsidiary of United Technologies Corp. (NYSE: UTX), and AVIC EM is a subsidiary of Aviation Industry Corporation of China (AVIC).

The agreement between AVIC EM and Hamilton Sundstrand is intended to result in formation of a new entity to develop and manufacture the C919's electrical power system, including generation and distribution, and will serve as a tier one supplier to COMAC on that program.

"We are very pleased to establish this new electric systems joint venture," said Hamilton Sundstrand President Alain Bellemare. "This venture will further strengthen our relationship with AVIC EM as a critical partner, as we work with COMAC to bring the C919 to the market."

AVIC EM designs and produces a wide range of aerospace airborne systems and products for both the Chinese and international markets.

"Through this cooperation, we will localize the development of the C919 electric system and provide an integrated design, manufacture, and aftermarket service," said AVIC Vice President Mr. Zhang Xinguo. "We look forward to establishing the joint venture company, which will be a great foundation for the continued growth of Hamilton Sundstrand in China. Based on mutual cooperation, we see this venture as a win-win situation that will help make the C919 a great success."

Hamilton Sundstrand began its presence in the Chinese aviation market in 1985 with the development of the Y7-200A aircraft. Today, Hamilton Sundstrand is a key systems supplier on COMAC's 90-seat ARJ21 regional jet, supplying the APS2600 Auxiliary Power Unit; the ram air turbine; the high-lift actuation system, which includes flap and slat actuators, drive train, power drive units and controllers; fire protection systems; and the electrical power generation, primary distribution and emergency power system.

Earlier this year COMAC selected Hamilton Sundstrand for the 150-seat class C919's electric system, pilot controls and fire and overheat protection system. The combined value of these awards is estimated to be worth more than $1.5 billion in revenue over the program's life.