Malaysia Gains Big Spin-Offs From A400M Programme

Malaysia's foresight in joining in the development of the Airbus A400M military transport programme would bring economic spin-offs that could even far exceed the value of the country's purchase of the four A400M aircraft, says Bruno Navet, managing director of EADS (Malaysia) Sdn Bhd.

Malaysia signed an agreement in December 2005 to buy the turbo-prop aircraft for RM2.8 billion to be delivered from 2013 to replace the Royal Malaysian Air Force's ageing C130 Hercules transporters.

Navet said at the current order book of 195 A400M aircraft, Composites Technology Research Malaysia Sdn Bhd (CTRM), the local company contracted to produce composite airframe components for the A400M programme would stand to gain about 230 million euros or RM1 billion in orders.

Malaysia, South Africa and Chile are the only non-European purchasers of the A400M aircraft, which will be assembled by EADS Spain at a production rate of three units per month at Seville in Spain from October this year. The European buyers are Germany, Spain, France, the United Kingdom, Luxembourg, Belgium and Turkey.

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