Lufthansa Technik AG (LHT), one of the world's largest independent providers of aircraft MRO services, has greatly increased its involvement in Asia's fast-growing airtransport market. Having doubled both the number of its customers and its sales in the Asian region in only three short years, and expanded its line of services in the Philippines and in China, the Hamburg company considers itself well-positioned to compete in this important and dynamically growing economic region.

"Given our broad line of products, which are precision-customized to meet the individual needs of the different types of airline operations, we are able to offer flexible services at attractive prices for an Asian MRO market that is increasingly opening up," declared Lufthansa Technik executiveboard chairman August Wilhelm Henningsen at the airshow Asian Aerospace 2002 in Singapore on 27. February 2002.

Dramatically worsened by the events of 11 September 2001, the crisis in the airtransport industry has been keenly felt in Asia, too. However, the cutback in international flights and the weakened growth of the region's state-owned carriers have been offset by the appreciable growth of new and privately owned airlines. In Asia as a whole the airline industry continues to grow. Meanwhile Asian carriers in general are increasingly seeking solutions to make their maintenance costs more flexible. More than ever are they looking at the international market in search of suitably customized MRO services.

"For Lufthansa Technik, Asia is and remains a major growth market. Indeed, in terms of sales, Asia is our key region - second only to our home market in Europe," Henningsen continued. He said that in the years ahead the company will be devoting special attention to making locally available a new line of services involving innovative componentssupply and servicing concepts for all aircraft types including regional jets.

The overhaul services launched by Lufthansa Technik Philippines at the end of the year 2000 plus the new workshops for servicing ARCs (Airframe-Related Components) recently opened in Shenzhen in Southern China have greatly strengthened Lufthansa Technik's presence in Asia. While the overhaul of Airbus A340s and A330s will begin in Manila in late 2002 initially only for Philippine Airlines and Lufthansa, the service will ultimately be available to all the region's airlines. The new ARC facility in the vicinity of Hong Kong will specialize in servicing aircraft parts made of composites. There the emphasis will be on thrust reversers for the engines powering China's fast-growing fleet of 737s. The plan for this service is, too, to be ultimately available throughout the region.

Lufthansa Technik's existing partnerships with customers like Garuda, Sri Lankan, Vietnam Airlines, Philippine Airlines and Asiana have been expanded, and many new customers have been gained in Taiwan, Australia and Japan. In the course of Asian Aerospace 2002, Lufthansa Technik has signed a major five-year contract for servicing General Electric CF6-80 engines for South Korea's Asiana. In Japan, the carrier Japan Air System and the engine manufacturer and MRO provider IHI are two new customers for components supply and the servicing of engine parts, respectively.

"The fact that even in years of economic crisis or slowed growth we continued to nurture our partnerships and kept investing in the region is now really paying off. And today we are very well prepared for the opening up of the Asian MRO market that we see occurring," Henningsen concluded optimistically.

In addition to the MRO operations of AMECO in Beijing, Lufthansa Technik Philippines in Manila and the newly operational Lufthansa Technik Shenzhen in southern China, Lufthansa Technik AG has four representative offices in Beijing, Tokyo, Taipei and Singapore, respectively, that assure customers quick and easy access to its broad range of MRO services.