US-based Company Invests $150 Million for Mass Production of Ukrainian An-74 Aircraft

Ukrainian state aircraft manufacturing company, UkrOboronProm and US-based Oriole Capital Group have reached an agreement for an investment of $150 million for mass production of An-74 aircraft at Kharkiv State Aircraft Manufacturing Company.

The agreement was reached during the international exhibition Dubai Airshow 2017, currently held in the United Arab Emirates, the company said in a statement Monday.

According to the agreement, the investment will involve mass production of Ukrainian An-74 aircraft of various modifications at the facilities of the Kharkiv State Aircraft Manufacturing Company. In turn, Oriole Capital Group will invest in the production, modernization, and sales of AN-74 aircraft.

The main focus of the partnership will be on modernizing existing production and processes, re-employment of the plant’s workforce of 3,000 people, and an aircraft and avionics modernization program that will further differentiate the unique performance capabilities of the AN-74, the company stated.

In addition, Kharkiv State Aircraft Manufacturing Company will receive orders for the manufacture of spare parts for aircraft, maintenance and pilot training.

The agreement provides for project planning and implementation within a significant period of time. This means that the Kharkiv State Aircraft Manufacturing Company received a stable multi-year development plan, ensuring its efficient work, expansion of production facilities, providing new jobs, increase of profits and payments to the budget of Ukraine.

The achieved agreement is the next stage in Ukrainian aviation industry development in accordance with UOP transformation plan. According to the plan, the aviation cluster – consolidating UOP aircraft manufacturing enterprises – was created and corporatization of the state enterprise "Antonov" and the state enterprise "Plant 410 of Civil Aviation” is already launched.