Boeing May Set First Overseas Factory in Zhoushan, China

A scheme to build Boeing's assembly plant in East China's Zhoushan city, Zhejiang province has been reported to the State Council recently, and new progress will be made this week at the soonest, Shanghai Securities News reported.

To win over this Boeing program, Zhoushan city has prepared for over two years, planning an aviation industrial park. What's more, president of Boeing China has made a on-the-spot investigation to Zhoushan last year. In accordance with the scheme, Boeing assembly plant will be constructed on the Zhujiajian Island, boasting an advantage of nearing Zhoushan Mount Putuo Airport (HSN) and ports.

Boeing has approached a plan with China to build an assembly and delivery center for single-aisle jets in China, China Times reported previously. If everything goes well, both sides will sign a cooperation agreement during President Xi Jinping's visit in the U.S. from September 22-25.

China is Boeing's largest overseas market around the globe. Last year Boeing set a new record of delivering 155 planes to Chinese customers, for the second year with its delivery of more than 140 jets to China. Meantime Boeing has acquired orders of more than 400 jets from ten more customers from China and other commitment orders.

This will be Boeing's first overseas factory if the planemaker finally passed the decision.

Industry insiders said that Boeing's first factory in China will not only benefit more Chinese companies to enter Boeing's supplier chains, but also substantially promote China's overall manufacturing level of large aircraft, especially the lagged level of engine manufacturing for several years, which accords with the development idea of China's high-end manufacturing industry.