US aircraft manufacturer Boeing is assecing possibility’s to establish a final assembly line (FAL) in India.
This is a significant development for the country’s aerospace industry as with an annual sourcing of over $1 billion from India, Boeing is already a major player in the Indian market. The establishment of a FAL would further strengthen the company’s presence and could potentially lead to increased investment and job creation in the country.
Salil Gupte, President of Boeing India, emphasized the company’s focus on increasing sourcing of components, higher value systems, and parts of aircraft. This could provide opportunities for Indian suppliers to become part of Boeing’s global supply chain. Gupte also noted that while the final assembly line is critical, it represents less than 10% of the overall value of an aircraft.
In addition to its sourcing activities, Boeing has also been expanding its presence in India through partnerships and contracts. In the last 24 months, the company has signed contracts worth an additional $1 billion. Air India’s recent order for 290 Boeing aircraft at the Paris Air Show is another example of the company’s growing presence in the Indian market.
Overall, Boeing’s consideration of establishing a final assembly line in India is a positive development for the country’s aerospace industry. It could potentially lead to increased investment, job creation, and opportunities for Indian suppliers to become part of the company’s global supply chain.