Alain Bellemare, President. Pratt & Whitney Canada
Controversy doesn’t often reach out as far as Longueuil, Quebec, where behind a quiet façade Pratt & Whitney Canada works at a frenetic pace developing and building new engines for the world’s business jets, helicopters and regional airliners.
And indeed it hasn’t done so yet. But last week president Alain Bellemare found himself discussing with Show News how some of his company’s successes square with the arms embargo against China, the transatlantic dispute over subsidies, and reports that its commercial package was the deciding factor in winning a place on Embraer’s two new, light business jets.
“Our objective is to be where are customers are around the world and to find the growth opportunities,” said Bellemare. John Morris
Dual Use for China
Two new helicopters are flying in China with Pratt & Whitney Canada engines. They are the three-engined and reengined Z-8A based on the French Frelon, now in flight test and destined for search and rescue, and the Z-10, also known as the CMH (China Medium Helicopter).
The CMH program, for which PWC has shipped 10 PT6-67C engines to date, appeared in model form at last year’s Zhuhai Air Show as a civil transport helicopter bearing a remarkable likeness to the AgustaWestland AB139. Indeed, it uses Agusta technology, the same engines as the AB139, and lots of help from Eurocopter. But the flight-test CMH aircraft apparently have emerged as the still-secret Z-10 attack helicopter.
Asked how Pratt Canada could supply engines for an attack helicopter, Bellemare pointed out that the powerplants are civil certified, and all necessary export licenses have been obtained from the Canadian government.
“If they give us the license and the permit we go for it. If they don’t we respect that,” Bellemare said. “As a manufacturer we follow the rules. We work with the Canadian and U.S. governments to make sure what we do is in the best interests of our respective countries while continuing to do business.”
China is pursuing a longer-term plan to develop its helicopter industry with European partners “and we aim to be there with an engine that is civil certified and dual use,” he added.
It’s Not a Subsidy
“It is not a subsidy” says Bellemare of the $75 million loan just awarded Pratt & Whitney Canada by the government of Quebec for research and development at Longueuil. The loan is repayable from royalties on sales over an unspecified period.
“It’s part of a $250 million investment over the next three years, of which a significant amount, $175 million, is our own money,” Bellemare explained. “I wish we would not have to repay it, but that’s not the case.
“We follow the WTO (World Trade Organization) rules very carefully. This loan helps us keep investing in R&D activities here as we don’t do any military development work in Canada.
“In comparing what we have here in Canada with funding that exists in Europe, the U.S. or other major aerospace countries around the world, this is the minimum required to have a level playing field.”
Embraer Liked the Package
“We would never invest in one OEM specifically, and we haven’t invested in Embraer,” says Bellemare of reports that such a deal won its engines an exclusive place on the Brazilian manufacturer’s new light business jets.
“The monetary investment is in us developing the engine,” he explained. “Every time we win a competition we have to invest money. We had the same issue with Eclipse people think these new engines come for free they are significant investments (made with the risk the program will not work).
“We secured Embraer because of the overall package, and too many people right now are putting a lot of focus on the commercial aspects. People forget we have been working with Embraer for 40 years, we provided the engine for their first airline aircraft the Bandeirante and we have had a very good relationship with them since.
“We have one of the best aftermarket networks in the industry. And the PW600 strategy didn’t start yesterday, we have been at it since the late ‘90s. When Embraer came to us we already had an engine up in the air flying.
“People forget the real reason Embraer selected us it was not just money, I can tell you that. Whatever our competition is using to give us a hard time with our customers that’s their business, but we know why we secured Embraer.