Showing posts with label Comac. Show all posts
Showing posts with label Comac. Show all posts

Thursday, April 07, 2011

Joint-venture with technology transfer no panacea for market access to China's aviation industry

China's 12th Five-Year Plan (2011-2015) states that the general aviation industry's development will be
promoted, reform the airspace management system as well as increase the efficiency of the allocation and utilization of airspace resources. Bright sky for China's aviation industry. But what about foreign aviation companies, will they be able to takeoff or will they stay grounded.

Like all governments the Chinese government is giving its national aircraft corporation, the Commercial Aircraft Corporation of China, Ltd. (COMAC), support. The government made it obligatory for foreign aviation companies that want to supply to China to partner with COMAC and establish joint-ventures to get technology transfer via the ARJ21 and C919 projects. No company, including Western companies wants to give its intellectual property away without compensation. Therefore those Western companies that agreed to the terms of technology transfer for the C919 did so with old versions of their technology.
Cliff, Ohlandt and Yang write in their report 'Ready for Takeoff' sponsored by the U.S.-China Economic and Security Review (USCC) that joint ventures per se do not guarantee effective market access, but that the inverse, “those that do not provide access to coveted technologies or—even more problematically—are perceived to compete against domestic producers are not likely to receive preferential treatment and may indeed face severe obstacles.”

Read Roger Cliff, Chad J.R. Ohlandt, David Yang, Ready for Takeoff, China's Advancing Aerospace
Industry RAND National Security Research Division, sponsored by the U.S.-China Economic and
Security Review Commission, 2011, available here.

Wonderful characters 飞 fei 机 ji mean literally "bird machine" = airplane
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Thursday, November 04, 2010

Wise Advice From the Aeronautics Industry about IP

Boeing and Airbus see new competitors approaching, which includes China's Commercial Aircraft Corporation of China Ltd. (Comac) although whose inaugural model C919 might not be competitive outside China, for now.

Carolyn Corvi, board member at aircraft supplier Goodrich Corp. was quoted by Aubrey Cohen as saying: "The realization and reality is you can't always protect everything [in regard to intellectual property rights]. The winners will be the ones keep advancing the technology so they always step ahead of the competition."
Read Ms Cohen's article for Seattle PI here.

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