Boeing Co. is looking to expand its titanium role in Russia by
building a second production plant for Ural Boeing
Manufacturing (UBM), its joint venture with VSMPO-Avisma
signed a memorandum of understanding Nov. 18 with VSMPOs
parent, state-owned industrial and technology company Rostec
Corp. UBM is in Russias "Titanium Valley," a special
economic zone in Verkhnyaya Salda.
Boeing and VSMPO,
generally regarded as the worlds largest titanium
producer, formed UBM in 2009 for primary machining of titanium
forgings produced by VSMPO, mainly for Boeings 787
Dreamliner. It is unknown if the new facility will perform the
same function or take on new responsibilities.
The agreement marks
"another important step" in expanding the 50-50 joint venture,
Ray Conner, chief executive officer of Boeing Commercial
Airplanes, said in a statement.
Rostec chief executive
officer Sergey Chemezov added that the deal builds on the
"strategic partnership" of the two companies.
VSMPO is one of three global producers to provide Boeing with
titanium mill products under the airliner manufacturers
system of long-term supply agreements. The others are
Pittsburgh-based Allegheny Technologies Inc. and Portland,
Ore.-based Precision Castparts Inc.s Titanium Metals
The UBM expansion is
the second joint agreement involving VSMPO and a U.S. metals
company in the past month. In late October, the Russian
producer signed a cooperation agreement with Pittsburgh-based
Alcoa Inc., described as a first step toward establishing a
joint venture for downstream titanium and aluminum aerospace
products at the formers ZAO Alcoa SMZ plant in Samara,
amm.com, Oct. 22). The venture would include
Samaras 75,000-ton forging press, which is considered a
sister press of VSMPOs press of the same capacity.