Boeing joints with KL firms

Boeing joints with KL firms

SEATTLE (AP): Boeing Co. said Thursday it had joined with three other companies in a joint venture in Malaysia to make composite parts for commercial aircraft.

Boeing will join Hexcel Corp. of Kent, Washington, and Malaysia's Sime Darby Berhad and Malaysia Helicopter Services in the venture, to be known as Asian Composite Manufacturing.

The composite parts will be made in Malaysia, shipped to Hexcel's Kent factory for final assembly and then delivered to Boeing and other customers worldwide.

Financial terms of the joint venture were not disclosed.

The composites plant will be built in Alor Setar, in the northern region of Malaysia near the Thailand border. Although the plant will make parts now produced by Boeing and Hexcel, both companies said they do not anticipate laying off any U.S. workers, since demand for jetliners remains strong.

The Malaysia factory will employ about 375 people and is expected to be completed in 18-22 months.

Composites are tough, lightweight materials made by combining fibers and resins. The new factory will make parts for wing fairings, aircraft surfaces and inspection access doors, among others.