Rolls- Royce is considering working with aircraft manufacturer Boeing Company (NYSE: BA) to fill the void in the consumer market for a new mid-priced jet. The Engine maker believes there is potentially a new demand for air-crafts between narrow-body jets and long-haul planes that could seat 220-260 people.
This deal may not be as surprising as it seems as the automotive maker experienced a decline in revenue from its older engines, while their “large engine production is progressing well, said by Chief Executive Warren East.
Eric Schulz, president of the civil aerospace at Rolls-Royce, commented on this concept to reporters that “there is clearly a market, the question is how do you serve it.” He later explained that Boeing would decide on a mid-market jet, while the engine maker would make this opportunity more feasible. “If there is a possibility to enter a program, we will examine it and if the conditions are right, we will,” Schulz added.
Entering the competition with Boeing and Airbus, Roll-Royce executives are also exploring the idea of entering the market to provide engines for the Commercial Aircraft of China [COMAC].
Since the state-owned aircraft manufacture relies on technology from overseas, the engine maker has the potential to produce engines for the C919 passenger jet. Eric Schulz, additionally commented that “We will consider going into Chinese market when the opportunity arises. That opportunity has not happened yet.”