TAI:A Global Player on International Platforms
Defence Turkey:It can be observed that TAI has achieved important successes in 2010. Within this coverage, at what stage is it numerically in terms of the advances made in production, investments and R&D activities?
The achievements realized in 2010, sales with 572 M$, export with 215 M$, investment with around 50 M$, design and manufacturing workload (20% of that workload was outsourced to local subcontractors) with 6 million hours, reflect the highest figures since the establishment of TAI. Moreover, the employment has reached its historical top point of over 3.500 people.
The year 2010 was a period of transforming the intellectual, technological and investment assets to the long-lasting programs such as ANKA-Turkish Unmanned Aerial Vehicle, C-130 & T-38 Avionics Modernization, Attack and Recoinnascence (ATAK) Helicopter Programs.
2010 has been a dynamic period of activity with significant improvements in indigenous products and engineering programs, the high level of investments in new production and deliveries began and significant steps were taken towards the future of our company. The modifications and software development activities of C-130 transport aircraft were completed and the ground tests have begun. The first flights of Turkish Indigenous MALE (Medium Altitude Long Endurance) Unmanned Aerial Vehicle ANKA and Rotary Wing Unmanned Air Vehicle were successfully realized. The test flights of T-38 and the first TAI-produced KT-1T Trainer Aircraft were accomplished. Another indigenous product of TAI, TURNA Target Drone System’s mass production delivery and YARASA/UH-60 Blackhawk Helicopter’s modernization programs were also completed. The assembly activities of Turkish Primary and Basic Trainer Aircraft HÜRKUŞ, the assembly and modification process of T129 ATAK Helicopter have been initiated. The integration of the structural qualification model of nationally-developed Göktürk-2 satellite was successfully realized. The assembly activities of POIV F-16 Program and the modernization activities of F-16 Serial Phase and Pakistan Modernization Programs have begun. The deliveries of A400M Development Phase Products were completed. The manufacturing and delivery of the first Air Inlet Duct under JSF/F-35 Program was realized.
TAI completed the year 2010 with 3541 employees and with a sales of 572 M$, which is 60% more than the previous year. 38% of this figure was export, whereas 62% was provided from the sales of engineering programs to National Ministry of Defense and Undersecretariat for Defense Industries. In the year 2011, the sales is aimed to reach 620 M$.
Although a policy of growth with local subcontractors is adopted, a 50 M$ of investment was made in order to develop infrastructure and products.
Due to new business areas, qualified personnel were employed and the number of engineers, especially the number of design engineers was increased. The number of engineers, which was 400 in the year 2003, was increased up to 1500, whereas the number of design engineers, which was 117, was increased up to 900.
Defence Turkey:Would you provide us with information on TAI’s export oriented products and capabilities?
ANKA, HÜRKUŞ, C-130 Glass Cockpit are the products developed and offered by Integrated Aircraft group. Because it is known that these products are developed per TurAF requirements and are now at flight test phase for qualification, they are seriously being evaluated by many and mostly neighboring countries. F-16 upgrade, on the other hand is a capability TAI has already been promoting and successfully winning under fierce competition at international bids like Jordanian and PakistanF-16 upgrade programs.
TAI is one of the important industrial export companies, but this feature of TAI is not that well known. Within TAI’s portfolio most of the revenue is obtained from export products. Last year TAI became number one in export products among the defense industry companies. TAI is designing and/or manufacturing major fuselages or components for almost all of the well known aerospace companies in the world. Civilian platforms like AIRBUS and BOEING commercial airplanes and several military fixed wing or rotary wing platforms carry a lot of Components manufactured by TAI.
T129 Attack Tactical Reconnaissance Helicopter:
The T129, developed with the partnership of AgustaWestland is expected to be a major player in the international market. The development program started in July 2008, with the aim of providing the Turkish Land Forces Command with 59 firm (and 32 optional) Attack/Tactical Reconnaissance helicopters. First Delivery (T129A) to Turkish Armed Forces is scheduled within 2Q of 2012.
T129 is developed as a new generation state of the art helicopter with an elevated tandem two-seat configuration enabling excellent situational awareness required for attack and reconnaissance missions. Due to demanding requirements, T129 was designed to incorporate excellent maneuvering and ‘hot and high’ performance, with other features as asymmetrical weapon loading, all-weather capability, low visual, aural and radar signature.
Advanced Helicopter Avionics Suite Development/Modernization: With the experience gained from platform and avionics development projects, TAI developed unique programs to respond to Turkish Armed Forces requirements. The scope included advanced Avionics Modernizations, Mission Computer Developments, Integration of Multi-Function Panel Displays and Mission Equipment on a number of helicopter platforms such as UH-60s. These capabilities are also available for other friendly nations should they wish to cooperate.
TAI Flight School: To assist the vision to develop indigenous manned/unmanned helicopter platforms, TAI Flight School was established in August 2010. The school operates under TCAA and JAA/EASA regulations with the aim to provide unsurpassed training standards to both Turkey and the region. For this purpose, the instructors in the school are selected after a long evaluation and could be argued to be unique in the sector with extensive flight, operation and training experience.
Rotary Wing Unmanned Platforms: We have been working on the Rotary Wing Unmanned Platforms and investigating several concepts. Currently we are working on MTOW ranges below 1.000kgs. We expect the first customer of us will be the Turkish Navy.
Turkish Indigenous Light Utility Helicopter Project: In accordance with the Defence Industry Executive Committee Decision of June the 15th 2009, TAI has taken the responsibility to study, design and develop an indigenous light utility helicopter. The feasibility stage of the program was completed and investment phase was initiated. The concept attracted attention from several countries and discussion currently continue to define the program model.
Defence Turkey:It is well known that TAI is showing its effectiveness in international platforms day by day through modernization or by joint production through technology transfers in various countries. In this context would you provide us with information on priority markets?
TAI is focusing on the international market more than ever before. Definitely, there are several reasons behind this. Having indigenously developed world class platforms and modernization suits, being a reputable and respected player with bespoken performance in the global market are just a few of these reasons. The global arena on this perspective is not just limited to a few countries but a more wide spread geography is within our target market. From Middle East and North Africa to Caucasian and Asia Pasific countries on one direction and Eurpoean, North and South American countries on the other, are on the priority list.
Defence Turkey:Would you provide us with information on projects and programs that TAI is conducting for the Armed Forces of different countries?
ANKA may be our first exported Unmanned Vehicle, we are actively negotiating the contract with a Middle Eastern country. A complete system with four flying vehicles and sensors together with support and logistics package has been offered.
Jordanian Air Force was one of the very first upgrade programs TAI was awarded under competition. It covered the upgrade of 17 F-16’s with both structural and avionic modifications. The program was completed on schedule. Pakistan F-16 upgrade program also is of same nature, and was awarded under a tough competition mainly against major European upgrade companies. It covers 41 F-16’s. Depending on their Blocks and Generations, different content is being applied to each individual aircraft. Right now it is on schedule and the first three units are to be delivered at the beginning of 2012. In all of these programs, TAI also offers On-The-Job Training for related Air Force staff lead by a Program Manager. Under TAI’s responsibility, Air Force staff works on the airplane and becomes acquainted.
JSF/F-35 and A400M programs are military programs and not supporting only Turkish military, but also several international military customers. In both programs TAI’s role and responsibility are very significant and demonstrates Turkey’s aerospace industries’ competency all over the world.
TAI’s main export item in the near future will be the T129 and we believe it fits with the current and future requirements of many countries from South Eastern Asia to North and South America.
Defence Turkey:TAI has gained the technological experience in international programmes such as A400M, JSF/F-35, A350 XWB. Could you please enlighten us regarding your activities within these programmes?
TAI has been working on both military and civilian international programs. These types of programs not only gave us opportunity to gain additional capabilities in aerospace industry, also enabled TAI to prove global aerospace companies the fact that TAI can cope with the given responsibilities with the highest quality of work. Along those lines;
-A440M program: TAI has completed her design responsibilities and now getting ready for serial production ramp-up. Up to now TAI designed major components have not created any problem in flight-test and certification phases.
-JSF/F-35 Program: To meet the requirements of JSF program TAI has invested more than 100 M$ to infrastructure and trained dozens of technical staff to start manufacturing the Center Fuselage of the platform, one of the most important parts of the aircraft. TAI has already been manufacturing and exporting certain assemblies of the aircraft since 2008. TAI’s contribution to this program, which will increase over the years, will continue until 2036.
-A350XWB: TAI has contracted this program under international competition conditions and is a risk sharing partner of the project. TAI is designing one of the most critical components of the aircraft which is the “AILERONS” of the platform. The program is on schedule and the first deliveries are planned to start by the end of this year.
Defence Turkey:Recently, TAI became one of the industrial partners of TALARION Programme. Could you please inform us about your workshare and upcoming opportunities be arisen within the light of this project?
Groups from three different countries of EADS started the TALARION development program aiming mainly these three countries (Germany, France and Spain). After evaluating TAI’s ANKA system and design features, TAI is offered to participate as the forth party with an equal 25% share. Complete fuselage design/manufacture and developing some of the electronic systems rooted to ANKA will form TAI’s workshare. It is mutually believed by EADS and TAI that this seven ton bird and ANKA will form a good family of UAV platforms for various integrated missions and a complete ISR solution. This family then can be offered to the international market starting from the interland of developer countries.
Defence Turkey:Within what framework are your 2011 and subsequent year plans in terms of your marketing activities directed at exports and international platforms?
Within TAI's strategic line of business, we have different products and capabilities that we are marketing internationally. T129 Attack Helicopter, ANKA MALE Class UAV System, HÜRKUŞ Trainer aircraft are among these platforms. We are actively marketing worldwide. On the other side, our modernization suits and capabilities for different types of platforms such as C130s, T38s, F16s and S70s are just a few to name to add to the list of marketing activities. Last but not least, Aerostructures design and production capability is always an important line of export for TAI for the past, present and definitely for the future.
Defence Turkey:What are TAI’s targets in increasing exports to the Middle East, Asia and Pacific regions? Are there any joint production plans with new investment ideas and technology transfer methods? Is it possible to go ahead and make a difference with investments and joint production program strategies against your competitors that have gone ahead by providing a credit mechanism to these countries? What are your views on this subject?
Industrial cooperation is getting more and more important in global market development activities. "Globalization" is the terminology we use to define our intention to make a difference and significance in our international presence with our products and global partners. Investments, partnerships and other means of industrial cooperation to enable globalization, and hence supporting the penetration while ensuring the sustainability is a key market development strategy for TAI, in the international markets.
Defence Turkey:Would you provide us some information on the cooperation being implemented by TAI with global defence companies?
TAI is a very reputable and credible player in the global defence and aerospace domain. Since decades, TAI is a true reliable partner with all major players of North American and European Defence and Aerospace Industry. From Lochkeed Martin, Boeing, Northrop Grumman, Sikorsky, Spirit, Bombardier in the Americas to EADS, Airbus, Airbus Military, AgustaWestland, Alenia Aeronautica and Thales in Europe, TAI has established extensive technical and commercial partnerships with all those major players for such as A400M, T129, F35, F16, A350, B787, Talarion and many other programs.
Defence Turkey:Would you like to add a message to our readers?
TAI is getting prepared to be one of the most valuable global brands of Turkey in the coming 10 years; with the power of its indigenous products that are to be demanded worldwide, with the experience of its international partnerships and global existence and with the pride of having the trust of the people of Turkey to develop our very own UAVs, Trainers, Fighters, Satellites and Regional Jets.
