SINGAPORE — The Republic’s standing as the leading aerospace hub in the region has been reinforced with the opening of another facility here by global aviation giant Airbus, which comes in the same week as the launch of major developments here by companies such as Pratt & Whitney and Bombardier.

The Airbus facility, which is located at Seletar Aerospace Park, is a US$20 million (S$25.3 million) joint investment with Danish aviation parts group Satair, and will act as the primary spare parts centre in Asia-Pacific for the aircraft manufacturer.

Mr Fabrice Bregier, Airbus’ President and Chief Executive, said: “The opening of this new facility here in Singapore not only further asserts Airbus’ global footprint, but also enables us to be closer to our customers and provide the most responsive support in this fastest growing region.”

Economic Development Board (EDB) Chairman Leo Yip said at the opening of the centre that it plays to Singapore’s strengths. “We are a strong proponent of free trade, we are well-positioned to provide companies access to emerging markets in this region and beyond,” he said. “So, companies like Airbus and Satair can benefit from what Singapore offers.”

Airbus currently has a helicopter maintenance and repair facility and a pilot training centre here. In the coming year, the company will add an engine overhaul and test set-up and a flight training joint venture with Singapore Airlines.

Mr Mikkel Bardram, the Chief Executive of Satair, which is now wholly-owned by Airbus after the Danish company merged with an Airbus unit earlier this year, said the decision to expand in Singapore was not a difficult one to make.

“Both business units were running out of space, both units have great ambitions for growth in this region and also, both business units want to leverage on the great knowledge of the Singapore workforce,” he said. “So, the decision was obvious: Expand our footprint in Singapore.”

The centre has 120 employees, with room to expand to 200, with most in skilled positions in engineering, procurement, logistics and management.

Credit Suisse economist Michael Wan said jobs that the aviation industry is bringing in are generally high-value-add, high-skilled jobs that the Singapore Government wants to create more of. “The productivity levels are quite high for aviation maintenance and manufacturing jobs,” he said, “and as they are high-skilled and generally well-paid positions, the expansion of the industry here is helping the economy.”

More than 100 companies have set up base in Singapore’s aerospace industry, achieving a record output of more than S$8.7 billion last year, according to statistics by the EDB.

But while the industry has expanded rapidly, it still has room to grow, said Mr Yip. “Over the next many years, we will expand our airport … and we will also create new industrial areas to support air freight and MRO (maintenance, repair, and operations).

“I think these enhance air infrastructure and enable Singapore to provide better supply chain and capacity support to the industry and strengthen our position in the Asia-Pacific region.”