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Mr Lim Hng Kiang at the Joint Opening of Pratt & Whitney’s Global Services Engineering-Asia and International Aerospace Tubes-Asia

Mr Lim Hng Kiang at the Joint Opening of Pratt & Whitney’s Global Services Engineering-Asia and International Aerospace Tubes-Asia

SPEECH BY MINISTER FOR TRADE & INDUSTRY, MR LIM HNG KIANG, AT THE JOINT OPENING OF PRATT & WHITNEY’S GLOBAL SERVICES ENGINEERING-ASIA (GSE-ASIA) AND INTERNATIONAL AEROSPACE TUBES-ASIA (IAT-ASIA) ON TUESDAY, 21 FEBRUARY 2006, 3.00 PM

Distinguished guests,

Ladies and gentlemen,

Good afternoon,

It is my pleasure to be with you today to celebrate the joint opening of Pratt & Whitney’s Global Services Engineering-Asia (GSE-Asia) and International Aerospace Tubes-Asia (IAT-Asia)

Pratt & Whitney has a Strong Relationship with Singapore

Pratt & Whitney is no stranger to Singapore, having been here for the last 25 years. It has grown its operations here over the years and is currently one of the largest investors in our aerospace industry

The opening of this new centre represents a further deepening of this strong partnership between Pratt & Whitney and Singapore.

Singapore is a Global Maintenance, Repair and Overhaul (MRO) Hub

The fact that companies such as Pratt & Whitney continue investing here is a clear indication of Singapore’s attractiveness as a location for global aerospace leaders. Today, Singapore is the largest and most comprehensive Maintenance, Repair and Overhaul, or MRO, hub in Asia, with a full range of capabilities ranging from the repair of airframes, engines, avionics systems to a wide range of aerospace components.

We account for about a quarter of the MRO output in Asia. By leveraging on our highly-skilled and productive workforce, strong fundamentals in engineering, as well as our overall efficiency of operations which ensures quick turn-around, Singapore has earned a reputation as a ‘one-stop hub’ for aerospace MRO.

The opening of IAT-Asia marks the region’s first Centre of Excellence for the repair of tubes, ducts and manifolds. This project will hence deepen Singapore’s MRO capabilities and create high value jobs for many.

Moving up the value Chain by Developing New Repair Processes

To enhance the competitiveness and attractiveness of our aerospace industry, Singapore is determined to move up the value chain into more design and development activities. One area is in the development of new repair processes.

Airlines around the world are facing increasing cost pressures that make it more economical for them to repair, rather than replace, parts. Some of these parts have no pre-defined repair schemes, so repair stations will need to develop new processes to handle them. IfSingapore can play a role in designing new repair processes, it will give us a strong competitive advantage.

This is exactly what the new GSE-Asia will do – develop new repair processes for aircraft engine parts. The development of such processes is a highly specialised and engineering intensive activity. As such, it is not surprising that GSE-Asia is Pratt & Whitney’s first such centre outside the US. This is hence a very significant project that will raise the capabilities of our aerospace MRO industry to a new level.

Pratt & Whitney will be spending more than $50 million over the next few years to develop these capabilities in Singapore. Befitting its name, GSE-Asia will not only be supporting its Singapore operations, but also Pratt & Whitney’s other facilities in the region.

This significant investment, not just in dollars, but in expertise and talent as well, is a clear sign of Pratt & Whitney’s commitment to its customers in Asia. I thank Pratt & Whitney for your strong confidence in Singapore and I assure you of our commitment to grow the aerospace industry in Singapore.

We will take all the necessary measures to ensure that we remain an attractive and vibrant aviation hub. This includes the hosting of a world class Airshow. From 2008 onwards, the Singapore Airshow will be held here at its new, dedicated facility. We are confident that the Singapore Airshow will be a success and will add to the vibrancy of the aerospace industry here.

Conclusion

I would like to congratulate the management and staff of Pratt & Whitney on the official opening of GSE-Asia and IAT-Asia. I wish you success in your future endeavors.
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