Continental Ebgines sold to AVIC International (BEJING)

[Jean]

From now on, Cirrus aircrafts will be powered by chinese engines !
Teledyne Technologies sold Continental Motors to AVIC International for $186M.
http://www.teledyne.com/news/tdy_12142010.asp

[Tommy]

I do not view this move by TCM as a positive for the end user.
I have yet to see a company move their manufacturing out of the US and still maintain
the same level of quality control. Logistically it just can't happen.

[Gary]

China wants something in return for all of that stuff they send to WalMart.

[Kai]

I do not view this move by TCM as a positive for the end user.
I have yet to see a company move their manufacturing out of the US and still maintain
the same level of quality control. Logistically it just can't happen.

I think we were never concerned about Diamond's or Garmin's production in China.

I would hope it helps to reduce production prices, but something tells me this will not lead to lower prices for the customer. (Also as seen with Garmin and Diamond). I guess it is just as Gary says, they have to get a bit more for their Dollars than state bonds.

[TimS]

Actually the company buying TCM is a holding / investment company. Once you get pas the headline, and research the company they have many investments outside of China. Usually focused on expanding the existing company which is viewed as under capitalized (which TCM lacks the funds to develop its new Diesel power plants).

One article about the AVIC International company which was negative I have seen is that they duplicate production facilities around the world to produce parts and assemblies closest to the intended market which is very hard on the employees which have to now oversee international production issues and the associated growing pains. (Basically, do not buy version 1,2 or 3 from the new plant)

Tim

[Tommy]

I do not view this move by TCM as a positive for the end user.
I have yet to see a company move their manufacturing out of the US and still maintain
the same level of quality control. Logistically it just can't happen.

I think we were never concerned about Diamond's or Garmin's production in China.

I would hope it helps to reduce production prices, but something tells me this will not lead to lower prices for the customer. (Also as seen with Garmin and Diamond). I guess it is just as Gary says, they have to get a bit more for their Dollars than state bonds.

I don't like what Diamond is doing either. I would not be standing in line to buy a plane built by Diamond in China in the near term.
Garmin has proven itself. Kinda like Samsung.

[Tommy]

...One article about the AVIC International company which was negative I have seen is that they duplicate production facilities around the world to produce parts and assemblies closest to the intended market which is very hard on the employees which have to now oversee international production issues and the associated growing pains. (Basically, do not buy version 1,2 or 3 from the new plant)

Tim

Exactly. Those are my concerns and they are not easily overcome with time or money.

[Erik S.]

There still is the FAA to contend with. We're not talking about cookies or toys. An aircraft engine can be made on the moon, but if it does not adhere to certain FAA approved production standards it does not get certified. Correct?

BTW - I think it sucks that this is happening for a number of reasons. That said, we (the USA) should have "controls" in place to deal with this. The question is - Are they "in place" AND "working."

Erik S.

[Kai]

There still is the FAA to contend with. We're not talking about cookies or toys. An aircraft engine can be made on the moon, but if it does not adhere to certain FAA approved production standards it does not get certified. Correct?

That's what I would think. I am not sure how German Thielert 1.7 were approved by the FAA, though. I'd still trust more a Chinese Continental, no matter what the FAA said about either one.

BTW - I think it sucks that this is happening for a number of reasons. That said, we (the USA) should have "controls" in place to deal with this. The question is - Are they "in place" AND "working."

Erik S.

I wish the US had some controls in place to stop selling crap, no matter where it comes from, German Thielerts or Chinese Garmin. Interestingly, the controls I most noticed in the US recently referred more to the size and maybe consistency of my balls rather than to my dangerous attitude towards Walmart and Continental. *LOL*

Anyway, in my perfect world crap tools or toys could not be sold and boys would learn from their dad to carve their toys themselves. Their dad would not work for the Bank of America or the TSA, but he would honestly run his shop or trade and when a neighbor needs a house, he would help as he could. Continental would be run by an old wise man, preferably Amish.

And hell yeah!: I would even fly a Cessna if that's all we can come up with when living this way.

[Jean]

Kai,
This might be your next Cessna !
http://www.byeenergy.com/pages/green-flight-main.html
Merry Christmas !