thyssenkrupp Aerospace has signed a three-year contract with the South Korean aircraft manufacturer Korean Aerospace Industries (KAI). From early 2021 thyssenkrupp Aerospace will supply materials for KAI's civil and military programs and will also manage supply chains. This will allow thyssenkrupp Aerospace to further expand its presence in the Asia-Pacific region.

"The long-term agreement at fixed prices will allow us to realize cost savings for our partner and contribute to increased efficiency in the supply chain," says Hyun Soo Jee, Country Manager, describing the advantages for the customer. The new agreement expands the business volume and strengthens the partnership between KAI and thyssenkrupp Aerospace. "In addition to price stability, KAI can call up selected materials just-in-time. This helps KAI to reduce the capital tied up in inventory and to concentrate mainly on its core business of machining and assembling," says Jee.

KAI is one of the region's leading aerospace and defense companies. Founded in 1999, the company, which emerged from a joint venture between Samsung Aerospace, Daewoo Heavy Industries and Hyundai Space and Aircraft Industry, is a manufacturer of aircraft and helicopters for civil and military purposes and is now also involved in the development of satellites and launch vehicles. Since 2015, KAI has been developing the first prototype of a South Korean stealth fighter aircraft (KF-X), one of South Korea's most important national defense projects. The system development, which is to be completed by 2026, involves 16 universities, 11 laboratories and 553 suppliers.

About thyssenkrupp Aerospace

As one of the world's leading service providers in the market for raw materials, processing services and the management of complex supply chains, thyssenkrupp Aerospace supplies the required materials just-in-time, cut and machined exactly to customer specifications. The aim is for customers to be able to concentrate fully on their core business. The company has a global network of 21 countries.

thyssenkrupp Aerospace and thyssenkrupp Materials Services have jointly entered an agreement with MinebeaMitsumi to supply raw material used in the production of aircraft engines, landing gear, rotary systems, airframes, aircraft doors and other machined parts. The global contract includes support for divisions of the MinebeaMitsumi Group across Asia, Europe, and North America.

Tokyo-based MinebeaMitsumi operates more than 120 global subsidiaries and affiliates (975,445 million JPY sales and 92,039 employees), with expertise in machined and electronic components. Its aircraft engine parts are used in engines manufactured by Safran, GE, Pratt & Whitney, and Rolls-Royce.

“MinebeaMitsumi has been striving to reduce their procurement costs through the consolidation of their global demand across regions and divisions,” said Takuya Kuroki, Country Manager Aerospace Japan. “Due to our global presence, we are able to customize a supply chain solution that fits well with MinebeaMitsumi’s aims, and expanded the scope of our partnership.”

The partnership between thyssenkrupp Aerospace and MinebeaMitsumi began in 2008 with the procurement of raw materials through the North American division of thyssenkrupp Aerospace. This expanded to include Japan in 2010, and in the decade since, the partnership has grown to include sites across both Asia and Europe.

About thyssenkrupp Aerospace

As one of the world's leading service providers in the market for raw materials, processing services and the management of complex supply chains, thyssenkrupp Aerospace supplies the required materials just-in-time, cut and machined exactly to customer specifications. The aim is for customers to be able to concentrate fully on their core business. The company has a global network of 21 countries. 'Materials as a Service' combines our logistics infrastructure with customer centric digital supply chain solutions.

thyssenkrupp Aerospace is expanding its cooperation with Dynamatic Technologies Limited (DTL). The international manufacturer based in India produces high-tech components for the auto and aerospace industries and is a Tier 1 supplier to Airbus, Boeing and Bell. The extended contract with thyssenkrupp Aerospace will run for five years and covers the supply of aluminum sheet and plate for the Boeing P-8 maritime patrol aircraft, the Bell 407 single-engine helicopter and related rotorcraft programs.

To date thyssenkrupp Aerospace India has already been providing supply chain management services for DTL as a 3PL partner. These include just-in-time deliveries of finished aircraft components for the construction of the Airbus A330 flaptrack.

“The new umbrella contract helps to strengthen our mutual expertise and use it to benefit our customers”, says Gopi Hanumanthappa, CEO thyssenkrupp Aerospace India: “Both DTL and thyssenkrupp Aerospace are strategically aligned for value added supply chain solutions across businesses and are focused on optimizing supply chains in their cooperation with customers and partners.” A further advantage is their geographical proximity: Both companies are based in Bangalore, the center of India's high-tech industry.

Udayant Malhoutra, CEO & Managing Director of Dynamatic Technologies Limited, also believes in the opportunities that will arise through even closer cooperation: “The umbrella agreement is designed to manage the entire raw material supply chain ecosystem with just-in-time deliveries and other services. This supports our strategy of creating value-added supply chain solutions and lays the foundation for the success of our core business.”

DTL chose thyssenkrupp Aerospace for this task: As one of the world's leading service provider in the market for raw materials, processing services and management of complex supply chains thyssenkrupp Aerospace had developed a viable and effective solution in close collaboration with DTL.

About thyssenkrupp Aerospace

As one of the world's leading service providers in the market for raw materials, processing services and the management of complex supply chains, thyssenkrupp Aerospace supplies the required materials just-in-time, cut and machined exactly to customer specifications. The aim is for customers to be able to concentrate fully on their core business. The company has a global network of 21 countries.

thyssenkrupp Aerospace is pleased to announce a three-year extension to its contract with MHI Canada Aerospace (MHICA). Under the agreement, which began in 2018, thyssenkrupp Aerospace manages material for aluminum wing planks, including procuring, receiving, inspecting, and storing planks directly from the mills at its facility in Montreal. The material is drilled and tapped on demand for just-in-time delivery.

 “The continuation of our contract with MHICA is a sign of their confidence and trust in our relationship. Under our ‘Materials as a Service’ approach, we reduce the complexity of MHICA’s supply chain with access to global markets, custom supply chain solutions, material processing, and just-in-time delivery.”

Jürgen Funke, Chairman and CEO of thyssenkrupp Aerospace North America.

MHI Canada Aerospace Inc., located in Mississauga, Ont., manufactures heavy aero structures for Bombardier, including the Challenger 350 wing and the Global 5500/6500 wing and center fuselage section. In addition to performing systems and flight control assembly installations and testing, its facility boasts a 24/7 supply chain and logistics center.

As part of the worldwide thyssenkrupp network in 22 countries, thyssenkrupp Aerospace offers an unmatched logistics infrastructure to support customers around the world. Services range from raw material management to finished parts kitting. The company’s Montreal facilities feature 177 k square feet of warehouse space, with about 80 employees.

EN/AS 9100/9120 certificate extended: The audit of thyssenkrupp Aerospace’s Quality Management System at 38 locations confirms its very high standard in Quality Management. From February to July, a total of 13 auditors tested how thyssenkrupp Aerospace ensures the quality of its processes. The audit report praised the clear vision and communication of the management QM team, a high degree of motivation for change, a competent team and a very well-structured improvement system as particular strengths of the company.

The certification process was challenging for all parties involved. Given the circumstances, a large part of the 113 audit days had to be carried out under the conditions of the COVID-19 pandemic. Many audits were therefore conducted virtually to comply with the distancing regulations. This approach was new for both the auditors from DNV GL and the Quality Management System team at thyssenkrupp Aerospace. Patrick Marous, CEO of the Aerospace Operating Unit at thyssenkrupp, is all the more pleased that a thorough investigation was nevertheless possible:

“The global Quality Management of thyssenkrupp Aerospace is the foundation for our joint success, because we want to continue to be a trusted business partner for the aerospace industry. The extension of the global Quality Management System certificate is clear evidence of this.”

Importance of certified Quality Management highlighted

Customers in the aerospace industry have always focused on Quality Management and supply chain security. thyssenkrupp Aerospace therefore attaches particular importance to taking a proactive approach to process management: this means approaching customers, identifying their needs, and delivering suitable offers.

“We can be very proud of the result. The circumstances of social distancing made it difficult for the auditors, but we found useful solutions that still allowed for a thorough inspection. One thing is clear: When it comes to Quality Management, even under the unique conditions of the COVID-19 pandemic, we do not make compromises – for ourselves or our customers.”

Patrick Marous
CEO thyssenkrupp Aerospace

About thyssenkrupp Aerospace

As one of the world's leading service providers in the market for raw materials, processing services and the management of complex supply chains, thyssenkrupp Aerospace supplies the required materials just-in-time, cut and machined exactly to customer specifications. The aim is for customers to be able to concentrate fully on their core business. The company has a global network of more than 20 countries.