THE AERNNOVA GROUP, headquartered in Alava and whose roots go back to 1986, has become a world reference point among TIER-1 suppliers in the aeronautical industry. The Groups activity covers nearly the whole value chain (aeronautical structures, metallic components and engineering). The most relevant international manufacturers of helicopters and aircrafts - such as EMBRAER, Airbus, Boeing, EADS-CASA, Bombardier or Sikorsky are included among AERNNOVAs customers. In August 2008, AERNNOVA has become Airbus main supllier. Both companies signed a contract which will involve Aernnova taking part in designing and manufacturing the new model A-350.
AERNNOVA DECIDED TO OPEN NEW PLANTS IN MEXICO in order to achieve strategic goals such as the consolidation of the company globalisation, the increase of competitiveness, a lower exchange rate risk (EUR/USD), a higher production, and the coverage of work programmes derived from premier manufacturers (Aibus and Boeing). In the first stage, AERNNOVA is going to establish two production plants in Mexico, a metallic components manufacturing plant and a metallic components assembly plant. The investment estimated for both projects amounts to 90 million dollars, more than 50% of which will be fund by two loans extended by COFIDES with FIEX resources.
On the one hand, the productive surface of the metallic components manufacturing plant will be 10,000 square meters and the total investment amounts to 45 million dollars during the first three years. On the other hand, the productive surface of the metallic components assembly plant will be 18,000 square meters and the total investment amounts to 46.3 million dollars during the first three years. Both projects will be located in Queretaro (Mexico).
There are several reasons why AERNNOVA decided to establish the new plants in Mexico. First of all, owing to its geographical proximity to USA, Mexico has great potential for the aeronautical industry since some of the most relevant customers are established in USA. Secondly, Mexico has a competitive cost structure. Furthermore, the Mexican Government - in cooperation with the State Government in Queretaro - has implemented initiatives to foster the aeronautical sector.
THE SOCIAL AND ENVIRONMENTAL BENEFITS generated by the Aernnovas projects in Mexico are numerous. The two projects are expected to create more than 500 direct jobs and training programs will be implemented for the employees, owing to the high requirements for professional specialization in the industry. Consequently, AERNNOVA will be transferring technology and know-how to the Mexican production plants, which will develop an activity complementary to the AERNNOVAs plants in Spain.
Not only COFIDES provides financial support for these projects but COFIDES also makes a very positive contribution to reach goals established by the Spanish Government to reinforce the Spanish economic and commercial relationships with foreign countries. First of all, Mexico, as a priority market for Spain, has been one of the countries chosen by the Secretary of State for Trade to implement an Integral Market Development Plan. This Plan consists of specific and strategic lines of action and envisages fostering activities in high-tech sectors, reinforcing the presence of Spanish companies in Mexico and supporting the investment in Mexico.
Last but not least, the Spanish Ministry of Industry, Tourism and Trade announced last year the Strategic Plan for the Spanish Aeronautical Sector 2008-2016. This Plan includes objectives such as increasing the presence of the aeronautical industry in high value added activities and products. With the two new production plants in Mexico, AERNNOVA consolidates its economic and industrial structure, which allows the company to accomplish the goals established by the Ministry concerning the incorporation of value added projects to the aeronautical industry.
