MTU Aero Engines Lays Foundation Stone for New Logistics Center

Munich, April 4, 2014 – In late March, Germany’s leading engine manufacturer laid the foundation stone for a purpose-built, advanced logistics center on its company premises in Munich. Starting in January 2015, the brand new two-story building with a surface area of 4,400 square meters will concentrate the tasks of 115 employees from incoming goods, customs and foreign trade and receiving inspection. The total investment for the innovative center, including equipment, is some ten million euros. The new building is part of MTU Aero Engines’ investment and growth strategy and a statement of its commitment to its operations in Germany. With the move, the company is paving the way for the increase in production and volumes from the new-generation engine programs for the coming years. The aim is to make internal processes more effective and efficient and to ensure process reliability.

The reason for the expansion of MTU’s corporate headquarters was the decision to set up two final assembly lines in Munich: one for the PW1000G-JM engine to power the A320neo and one for the TP400-D6 engine to power the Airbus A400M military transport aircraft. On top of this, the share of large-sized components that take up lots of space is on the rise. These include the turbine center frame of the GEnx, the engine for the Boeing 787, and modules for the GP7000, the engine for the Airbus A380, plus module containers, rings or accessories. Deliveries will gradually increase from mid-2014 on.

“We are building this center in a direct response to needs created by the ramp-up of the new engine programs,” said MTU Chief Operating Officer Dr. Rainer Martens at the ceremony to celebrate the laying of the foundation stone. “This growth will have a positive impact on the company’s further development, but also brings tremendous challenges for logistics at the Munich facility. The higher volumes in production and assembly, primarily for the PW1100G-JM for the A320neo, will reflect in a higher number of parts moved through incoming goods, production, assembly and goods dispatch every day.” Up to the year 2016, there will be a marked increase in assembly and production materials for the individual engines and modules. The number of items received that pass through incoming logistics will rise by some 30 percent. Storage capacity volumes, too, will be expanded by some 20 percent as a result of the expansion.

For MTU Aero Engines, the new logistics center is a vital investment in the company’s and the Munich facility’s future. On another positive note, the company is now able to offer a wider variety of vocational training programs. Last year, MTU started training dual-system students to become specialists in warehouse logistics.

About MTU Aero Engines

MTU Aero Engines is Germany's leading engine manufacturer and has been a key player in the global engine industry for 80 years. It engages in the development, manufacture, marketing and support of commercial and military aircraft engine modules and industrial gas turbines. The company is a technological leader in low-pressure turbines, high-pressure compressors, manufacturing processes  and repair techniques. Figuring significantly among MTU's core competencies are the maintenance, repair and overhaul (MRO) of commercial engines and the service support it provides for industrial gas turbines. These activities are combined under the roof of MTU Maintenance, which is one of the world’s largest providers of commercial engine MRO services. MTU operates affiliates around the globe; Munich is home to its corporate headquarters. In fiscal 2013, the company had a workforce of some 8,700 employees and posted consolidated sales of some 3.7 billion euros.