Dubai Aerospace Enterprise

[malec]

Thought this should deserve its own thread. A very important project and another step in diversifying the economy.

Dubai launches Dh55b global aviation hub

By Saifur Rahman, Staff Reporter

"This is an important industrial initiative for Dubai and a window for Dubai into the global aviation industry," says Shaikh Ahmad. DAE's airport business will focus on greenfield development as well as expanding existing airport infrastructure and management. - WAM

Dubai: Dubai yesterday launched another landmark initiative to tap a Dh3.67 trillion ($1 trillion) global aviation industry and to transfer international aviation and aeronautics technology to the region. It is setting up Dubai Aerospace Enterprise (DAE), a global aerospace manufacturing and services corporation with an investment of Dh55 billion ($15 billion) to be spent in the next five years.

The initiative, to be based in the 140-square-kilometre Jebel Ali Airport City (JAAC), will create the world's largest aviation hub and prepare Dubai to participate in major aircraft manufacturing programmes in future, most likely the Airbus A350 programme.

It will focus on component and engine manufacturing and assembly, airport development and operations, aircraft leasing and finance, aircraft maintenance, repair and overhaul (MRO), space services, aircraft brokerage, education and training, aviation media and events, and aviation IT systems, among others.

The government-owned entity will acquire about 30 wide-bodied aircraft and offer them on lease to regional carriers while seeking major airport and free zone development and management contracts across Asia, specifically in India and China. DAE is currently in negotiations with aircraft manufacturers Boeing, Airbus and others to transfer technology to Dubai.

DAE, which will become the holding company for six operational subsidiaries involved in manufacturing and services in 14 industry segments, will be the world's largest aviation company in terms of activities, officials said.

Six government entities Dubai International Capital, Emaar Properties, Istithmar, Dubai International Financial Centre, Amlak Finance and Dubai Airport Free Zone Authority backed by the Government of Dubai, will have equal stakes in DAE, which will have a mix of debt and equity.

Initially, DAE will target the $100 billion global airport development and operations, aircraft leasing and financing, and specialist education and training segments. "Within 10 years, DAE will become an integral part of the global aerospace industry," Shaikh Ahmad Bin Saeed Al Maktoum, President of Dubai's Department of Civil Aviation and Chairman of Emirates Group and DAE chairman, told a gathering last night.

"We are putting down a marker for the future. DAE signals our clear intention to become one of the driving forces of the global economy and reflects confidence in our ability to achieve this. "It confirms the remarkable capacity of this country to reach out and turn dreams into reality; the readiness of our leaders to take the initiative and drive plans through to fruition; the value of the infrastructure we have put into place to support our growth and development.

"We are uniquely able to leverage the region's financial strength and liquidity, to draw on the dynamism of immediate and surrounding markets and capitalise on our ability to form international partnerships. These qualities will provide the platform from which DAE will emerge as a leading player."

A Boeing spokesperson told Gulf News, his company will spport the vision behind the initiative "as much as possible". "We have been approached by them and have had initial discussions on this, however, it is too early to specify anything," he said.

Dr Mohammed Al Zarouni, Director General of the Dubai Airport Free Zone Authority, who has been appointed Managing Director of DAE, said: "DAE will expand gradually and by 2015 the group will have become a major force in the economy. I am confident it will emerge as a global leader in airport development and operations, achieve its target to be the third largest aircraft leasing company for wide-bodies while providing global leadership in aviation education.

www.dubaiaerospaceenterprise.com/

[mcheiss]

Another Worlds Largest for Dubai.

Nice find Malec! I'm glad to see one airport in the world taking the intiative with the A350, but everyone seems to be neglecting the A380.