Clark hub begins to export plane parts to Boeing

An aircraft parts manufacturer based in Clark, Pampanga has started shipping interiors for industry giant Boeing, only a month after starting operations within the Freeport zone.

State-run Clark Development Corp. (CDC) said Jamco Philippines Inc. shipped its first batch of floor panels for the long-range, wide-body Boeing 777s on Dec. 9.

“Our first shipment to Boeing marks a major milestone for Jamco,” said Hermie Flores, logistics manager at Jamco Philippines.

“We are planning to ship 350 panels every month for [the] 777 galley. So if you are going to multiply that for the rate of Boeing, that would be 3,000 panels a month because they are producing 8.3 airplanes every month.”

Jamco Philippines manufactures commercial aircraft interior components and sub-assembly parts for Jamco America and Jamco Corp. of Tokyo, Japan. The company, which does panel assembly for Boeing’s 777 and 787 fleet, is 60-percent owned by the American investor and 40 percent by the Japanese firm.

A total of P106 million was earlier invested in the Clark facility. Of the amount, P96.16 million came from Jamco Philippines while the remaining P10 million came from the Japanese firm’s supplier, Show Aircraft Industry Philippines Inc. (SAIPI). SAIPI manufactures and sells aircraft/aircraft equipment, automobiles/other vehicles, transportation equipment, etc.

To date, Jamco Philippines employs 283 workers inside the Freeport.

The Department of Trade and Industry has been positioning the Philippines to become a significant player in the global aerospace industry by providing aircraft parts and components.

In 2013, Philippine exports of aerospace parts and components reached $294 million, a figure that had seen a significant increase compared to past export figures of $174 million and $111 million in 2012 and 2011, respectively. In the same year, the aerospace OEM industry contributed 0.15 percent to the local economy with direct employment reaching 2,200.

The local sector targets export revenues to increase to $2.573 billion by 2022, contributing 0.57 percent to the local economy.