GE, Chinese Planemaker Sign Engine Agreement

Aero-News.net ^ | Sep 12 2007 | aero-news

[Regulator]

AVIC I Will Build CF34s For Its Planes

Fledgling Chinese planemaker AVIC I announced this week it recently signed a deal with General Electric to manufacture turbofan engines for its upcoming ARJ21-700 regional aircraft.

Xinhua reports AVIC I (an abbreviation of its full name, China Aviation Industry Corporation I) will build the CF34-10A powerplants for use on its planes. A subsidiary of the planemaker will build the engines at a plant in the northeastern city of Shenyang.

The partnership is billed as the first such agreement between a Chinese company and a foreign entity for the production of passenger aircraft engines.

Previously, AVIC I agreed to import the GE turbofan to power the 70-90 seat ARJ21-700, which is expected to make its maiden flight -- along with its larger -900 cousin -- in March 2008.

Both jets are due to enter service in 2009.

[Regulator]

Once again, rather than buying high value products from the U.S., China demands to produce an American product, in this case the civil version of the GE TF-34, which powers the A-10 among other aircraft.

[Regulator]

Just ping.

[ProCivitas]

Probably another example of ‘economic treason’ unless GE was pressured into it and didn’t really have a choice.

[mysterio]

Using slave labor to build planes doesn’t seem the best policy. Unless you’re CEO and have your own American made private jet, I guess.

[keepitreal]

Think GE will be shielded from liability when those darned planes start falling from the sky?

I have travelled within China by plane on several flights and always felt safer getting on a Boeing 737. I won’t be so confident after 2009.

[JasonC]

Building truly modern jet engines domestically has been a bottleneck in Chinese air force modernization for over a decade. They have to buy from Russia because on their own they can't make things better than an MiG-21 engine, pretty much. This is a dual use export and it is dangerous.

[PGalt]

Interesting. BUMP!

[Regulator]

Probably another example of ‘economic treason’ unless GE was pressured into it

My impression of Jeffrey Immelt is that he's all for it.

[Regulator]

Think GE will be shielded from liability when those darned planes start falling from the sky?

Probably. China almost certainly doesn't have tort laws like the U.S.

[metmom]

Made in China airplane engines. Just what we need.

With quality like that, the muslims don't need to be so busy.

[Regulator]

This is a dual use export and it is dangerous

It sure is. The -34 is an engine they could buy as a civil engine on the open market because it powers the CRJ and other regional jets as well as corp jets (Challenger), but buying it and copying it is not the same as license building it.

Undoubtedly GE had to get ITARs clearance to do this. So they're probably on solid legal ground.

But the question is, what for? Clearly the Chinese have no intention of ever buying anything from us, other than technology to build, if they can't just copy it. And worse, once they gain some experience with this, it will be as you said...a dual use capability easily adding to their military capability.

The entire rationale for "free trade" with a mercantilist, nationalist and belligerent tyrannocracy like China is exposed as a fraud in cases like this.

[Malesherbes]

Exactly. “Free trade” with China is nothing but a slogan. It’s a bumper sticker that covers the reality that China is cleaning our clock.

[ex-snook]

Ping thanks.
I’m sure this give-away will be recorded on our books as an increase in our exports. Then GE will buy its own engines back, reduce its costs, layoff its workers, increase its Wall Street value and elect more Democrats.

[Regulator]

Then GE will buy its own engines back, reduce its costs, layoff its workers, increase its Wall Street value and elect more Democrats

That would appear to be the plan...

[dennisw]

Lots of technology transfers from GE. That’s the only way China will allow GE to sell them these engsiones...... So China can eventually copy the tech and make them themselves.

GE has a Chinese partner too. Foreign companies have to

[toddlintown]

2 years from now, the ChiComs will end the deal. 2 years later, they’ll be announcing their “new” plane development.

[Paul Ross]

Then GE will buy its own engines back, reduce its costs, layoff its workers, increase its Wall Street value and elect more Democrats...

And Wall Street and G.E. will send out the shills to blather how its a "Win-Win" for U.S. "Consooooooomers..."

[Regulator]

You know, on another thread I did not reply to an affirmative comment you posted to me.

So just FYI, this link Differential Models and Neutral Systems for Controlling the Wealth of Nations contains what I consider one of the key analyses regarding the behavior of economies that use central banks and "legal money".

I believe you posted some very good comments that contradicted some dogmatic nonsense from the Free Traitor gang, and I wanted to go further, but it was a Sunday and I decided to get some fresh air, never did get back.

I don't know your mathematical background but regardless, this book goes at the problem from the right standpoint and you can pick that up even from the text.

And I know that the major banks and finance institutions do things this way because 15 years ago I sold them the software to do it.

[Jonathan]

“When the last capitalist is hung, it will be with rope that he sold us.”

V. Lenin

[Regulator]

There’s a lotta rope salesguys out there these days.