The factory, which was built with an investment of US$20 million, will produce, process, and assemble aircraft parts, including auxiliary engine doors, wing boxes, gliders and left-wing support systems for Boeing 787 and Boeing 737 Max aircraft.
It will supply products made in Da Nang to leading companies in the aviation industry, including Boeing, Airbus and Korean Air.
Lee Jai Choon, President and General Director of KP Aerospace Vietnam company (KPC VINA), said he paid his first visit to Da Nang last June, and is now inaugurating the factory one year later.
“It’s my honour to be here at the grand opening ceremony of the factory after a short time. I sincerely express my thanks for the support from the Vietnamese Government, relevant agencies, local authorities, universities and contractors in helping us building a milestone on schedule,” he said.
“We believe that strong cooperation among partners, local authorities, and workers will contribute to drastic overall development, while creating more new opportunities in the future. KPC VINA will be a key foundation of Vietnam’s aviation industry, a typical business in the socio-economic development of Vietnam. We will also all do our best to be a trusted partner of Korean Air and Boeing.”
Jihoon Park, Manager of KP Aerospace Vietnam, said: “When we started this project, many people said it was impossible to do everything in one year, but nothing is impossible in Da Nang. And now, 10 months from the groundbreaking ceremony, we are holding a grand opening ceremony.”
“We are working on the Boeing 787 Dreamliner’s raked wing tip assembly, which is one of the most important aerodynamic parts in the world. I think nobody will believe that this part is being manufactured in Da Nang, as Da Nang is generally known as one of the most beautiful places to travel,” he said.
Park said the company has started to transfer aircraft part manufacturing technology to the city, and has sent Vietnamese employees to the RoK for job training and technology transfer.
He said the factory will be filled with aircraft parts for export, and that it will have the necessary facilities to build huge aircraft parts in Da Nang.
“We will be dedicated to the sustainable growth of our aerospace business, and building an aerospace cluster in Da Nang Hi-Tech Park,” he said.
Vice Chairman of Da Nang city People's Committee Tran Chi Cuong said that the inauguration of the KP Vina Aerospace Component Manufacturing Factory is a significant milestone not only for the company's development, but also for the overall economic growth of Da Nang and Da Nang Hi-Tech Park.
He said Da Nang is committed to creating the most favorable conditions for investors, and that KP Aerospace will contribute to the sustainable development of the aerospace industry and positively impact the local economy.
Consul General of the RoK in Da Nang Kang Boo Sung said the introduction of the factory would help strengthen cooperation between the RoK and Da Nang in many sectors, including hi-tech industries.
Investment from the RoK to central Vietnam has a lot of potential, as 250 Korean businesses have invested in the region, he said.
Vietnam and the RoK have set a target of reaching US$ 150 billion in bilateral trade turnover in 2030, he noted, adding that Da Nang is seen as a favourite destination for Korean visitors.
Michael Nguyen, Executive Director of Boeing Vietnam, said Boeing has committed to a sustainable relationship and cooperation with Vietnam in building global supply chains.
He said Boeing hosted the first forum on the aviation industry in Hanoi in 2022, and that KP Aerospace was among 200 participants at the event.
The inauguration of the factory marked a significant milestone not only for the residents of Da Nang, KPC VINA, and KP Aerospace Vietnam, but to all contributors to the event, he added.
The factory was designed to produce the aft body, APU door, MIC wing tip, raked wing tip, wing box, winglet, flap fairing support and aircraft metal fabrication facilities for Boeing 737, 787 and 737 Max aircraft in two phases.
The Korean investor had earlier inked an agreement on support and investment promotion, education, employment and research with partners including the Da Nang Hi-Tech Park and Industrial Zones Authority, Da Nang University of Science Technology under Da Nang University and Korean Air.
This is the second investment project in aviation and aerospace technologies in the park, after Da Nang Sunshine Aerospace under the Universal Alloy Corporation from the US was put into operation in 2020.
