Flight Officer Chalermpon IntarawongExecutive Director

U-Tapao Airport City Project Management

2

Key Success Factors of Thailand to Become Asia’s Next MRO & OEM Hub

Thailand

“Excellent hub for aircraft MRO/OEM”

Skilled Workforces

(Well-qualified workers at competitive wages)

Strong Business Climate

(EODB 2018, ranked 27 of 190 countries)

Infrastructure & Logistics System

(access to CLMV + Malaysia + Singapore)

Trade Liberalization

(FTA with many countries including

Japan)

Attractive Investment Incentives

(BOI, EEC)

Targeted Aerospace MRO segments

Landing

GearWheels & BrakesEngine Fuel &

ControlIFE APU

(A319/320/A321) neo

B737MAX

B787

A350

A380

CFM LEAP1A

CFM LEAP1B

RR Trent 800, 1000

RR Trent XWB

IAE V2500

Airframe

MRO

Component

MRO

Engine

MRO

Source: CAAT (by Frost & Sullivan Analysis) 3

Targeted Aerospace Manufacturing segments

Primes(Integration)

Tier 4(Material

Manufacturing & Support Processes)

Tier 1(Assembly & Testing)

Tier 3(Build to Print)

Tier 2(Design & Build)

• Airframe prime• Engine prime

• Airframe assemblies• Avionics• Engine components• Components

• Components & Parts manufacturing

• Materials

• Steel

• Titanium alloys

• Aircraft Tires

• Composites

• Manufacturing support

services

• Assembly, Design & testing• Build (Manufacturing)

Aerospace OEM sectors in Thailand with high growth

opportunitiesSource: CAAT (by Frost & Sullivan Analysis) 4

Source: BOI

Opportunities in Aerospace Sector and Cluster

5

Human Resource

Source: 1 Office of Transport and Traffic Policy and Planning (OTP), 2 The Civil Aviation Authority of Thailand (CAAT) and BOI 6

Human Resource

7

(On 10th March 2017)AGP Corporation has signed a Minutes of Meeting (MoM) in Bangkok with the Department of

Industrial Promotion (DIP) for cooperation to support Thai SMEs’ readiness towards aviation and logistics business.

Human Resource

8

(On 26th February 2018)AGP Corporation has signed a Memorandum of Understanding (MoU) in Bangkok with the Civil

Aviation Training Center (CATC) with the aim of promoting cooperation regarding implementation of the Training Center for the purpose of developing human resources in the field of aircraft

maintenance, airport maintenance etc.

(On 28th January 2019)Airbus, Triumph Aviation Services Asia, Triumph Structures (Thailand), Senior Aerospace (Thailand) and Thailand’s Civil Aviation Training Center (CATC) signed a Memorandum of Understanding (MoU)

to work together on projects to develop and implement maintenance training and pilot training courses in the country.

Human Resource

9

Key Major International MRO & Manufacturing Companies in Thailand

10

Key Major International MRO & Manufacturing Companies in Thailand

11

Key Major International MRO & Manufacturing Companies in Thailand

12

Key Major International MRO & Manufacturing Companies in Thailand

13

Key Major International MRO & Manufacturing Companies in Thailand

14

Key Major International MRO & Manufacturing Companies in Thailand

15

Key Major International MRO & Manufacturing Companies in Thailand

16

Key Major International MRO & Manufacturing Companies in Thailand

17

Key Major International MRO & Manufacturing Companies in Thailand

18

Key Major International MRO & Manufacturing Companies in Thailand

19

Key Major International MRO & Manufacturing Companies in Thailand

20

EEC Major Infrastructure Projects

High Speed Rail linked 3 Airports1

MRO Phase 1

U-Tapao International Airport (Eastern Airport City)

Digital Park Thailand (EECd)

Laem Chabang Port Phase 3

Map Ta Phut Port Phase 32

3

4

5

6

21

Project objectives: To establish the third main international airport for Bangkok, as well as to better facilitate the establishment of a Special Economic Zone in anticipation of the EEC expansion. In addition, it this will serve a passenger link to Don Muang International Airport and Suvarnabhumi International Airport, while simultaneously supporting growth as a regionally important aviation hub.

Project area: 6,500 rai (approximately 1,040 hectares)

Project components:1. Passenger Terminal 3 & GTC2. Commercial Gateway3. Cargo Terminal, Cargo Villages and Free Trade Zone4. Maintenance, Repair and Overhaul (MRO)5. Aviation Training Center

Construction period: 2019 - 2023

U-Tapao international airport development project

Timeline

22

U-Tapao international airport development project

23

Duties and ResponsibilitiesGovernment1. Runway 2 & associated Taxiway2. MRO Complex Phase I (approx. 500 rai) and MRO apron3. Aviation Training Centre4. Utilities (e.g. power plant, tap water plant, water

treatment plant)5. Air Traffic Control Tower (including related system and

equipment)

Private sector6. Ground Transportation Centre7. Passenger Terminal Building(s) 3 8. Commercial Gateway9. Cargo Village or Free Trade Zone10. Cargo Complex11. Other MROs (subsequent phase)

Special EEC Zone : Eastern Airport City 6,500 rai

Master Plan Layout Guideline (UTP development project)

Runway 1

Runway 26

7

9

34

5

1

2

7

10

8

11Fixed Area

PPP Co. Master Plan

24

The High-Speed Rail Linked 3 Airport Project

TOD: Transit Oriented Development

ConnectBangkok to EEC

Link 3 Airports

MakkasanStation

25

Project objectives: 1. To build new TG MRO Campus due to the government has policy

to build the third passenger terminal building in the area of TG existing MRO site.

2. To be an initiative investment and attract other MRO investments to the U-Tapao in order to enabling U-Tapao to be regional MRO center.

3. MRO business is considered as significant element of airport city development.

Project area: 210 rai (approximately 34 hectares)

Services:1. Heavy Maintenance2. Line Maintenance3. Aircraft Painting

Construction period: 2019 - mid 2021

MRO Project Phase I (Thai Airways)

Timeline

26

27

28

MRO development area in the UTP development project

Aviation cluster in EEC: Relaxation of 51% Thai ownership rule

The Civil Aviation Authority of Thailand (CAAT) and the EEC Office redefined the qualifications of the eligible Aviation Entrepreneur to include legal entities with less than 51 percent of Thai nationals to allow foreign investment, as follows:

Qualifications:

✓ Must be a Juristic Person under Thai Law✓ Has a physical office in Thailand✓ Has a business establishment located within the promotional zone of EEC area✓ Conduct the business with the purpose to manufacture aircraft or its key parts and components or to operate an aircraft

repair station✓ Attains or eligible to Certificate of Aircraft or its key parts and components to manufacture (in case of aviation manufacturer)✓ Has the proficiency to manufacture aircraft or its key parts and components according to the Certificate of Aircraft or the

capacity to operate an aircraft repair station✓ Has the quality control system for the aviation manufacturing or repairing

Required Conditions:

✓ Level of prerequisite technology to enhance the aviation industry development in Thailand✓ Technology transfer plan and human resource development plan for Thai personnel

Source: https://www.eeco.or.th/en/pr/news/eastern-economic-corridor-policy-committee-meeting-no12018 29

After Market

Sales/Leasing

Assembly/Testing

ManufacturingEngineering Design

Source : EASA (2013)

R&D

Other Tier 1,2 & 3Suppliers

Risk SharingPartners

Integrators/ OEMs

Raw Material/Standard

Part Suppliers

Special Process Shops

Aerospace Manufacturing Value Chain

30

www.eeco.or.th