Thailand Board of Investment North America
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Chromalloy Reinforces Thailand's Position as Its Regional Hub by Continuously Investing in Its Research and Development Center

Introduction to Chromalloy

With its appealing slogan of "Long Live Your Engine," Chromalloy Gas Turbines, a US based global technology company, has evolved over a period of six decades into a billion dollar company that delivers innovative solutions designed to extend the life of gas turbine engines and reduce manufacturing and operating expenses. With offices across 11 countries, this pioneering firm is one of a few fully integrated solutions providers in the world to provide – coatings, authorized repairs, castings and manufacturing overhauls – to original equipment manufacturers (OEMs), commercial airlines, militaries, and oil and gas companies.

Roadmap of Chromalloy Thailand

First established in 1989, Chromalloy Thailand was the company’s first and only manufacturing and repair facility in Asia, a position it still retains to this day. The BOIsupported firm has benefited greatly from being in Thailand, according to Mr. Pat McEvoy, Chromalloy Thailand’s Managing Director. “Our Lam Luk Ka facility now employs more than 500 people,” states Mr. McEvoy, “It no longer supports just customers in Southeast Asian countries, but also serves countries across the globe. Our customers are very happy with our location and service.”  

With top rankings for customer service, Chromalloy Thailand’s performance highlights the high efficiency and excellent quality of its Thai workforce. Top priority is given to maintain high standards and the quality of its products and services; the firm has received all the necessary certifications, such as the DCA Thailand Repair Station Certificate, FAA Air Agency Certificate, EASA Maintenance Organization Approval Certificate and more.

Given Thailand’s high potential, the company continues to invest in its Thai facility, with a special focus on research and development. In 2010, Chromalloy Thailand doubled the capacity of its engine repair and manufacturing center, and began to develop its first Research and Development (R&D) Center of Excellence. Five years later, the firm’s net business value amounted to more than THB 2.5 billion (USD 70 million); the company is currently working with Thailand’s Board of Investment to explore tax and non-tax incentives for its new R&D investment projects. Currently, its customers include international commercial airlines all across the globe, such as United Airlines, American Airlines, Delta Airlines, Air France, Lufthansa, Thai Airways, China Airlines, EVA Air, etc. and the major engine OEMs such as Rolls-Royce and Pratt and Whitney. 

Chromalloy’s High Confidence in Thailand

“Thailand has great potential in Southeast Asia,” states Mr. McEvoy when asked about Chromalloy’s reasons for investing in Thailand. A cost competitive Thai workforce, capable of delivering a consistent quality of work, is one of the major reasons. Mr. McEvoy also sees the quality of resilience exemplified in Thai people. For instance, Chromalloy Thailand was not required to shut down its facility, even once, during the 2011 flood. All the staff banded together to help out and the company resumed operations quite quickly.

Being located in Thailand also gives the firm many advantages, according to Mr. McEvoy. Thailand’s excellent geographic location in Southeast Asia enables it to function as a hub for many international airlines; the country serves as a great center for the maintenance and repair business. While there are big aerospace markets in other Asian countries, the costs of doing business can be high and land availability can also be a cause for concern. In comparison, Thailand offers companies more cost effectiveness, permits easy shipment of parts, possesses solid infrastructure and offers great road facilities. All in all, Chromalloy Thailand’s choice of Thailand as its regional hub allows it easy expansion into ASEAN, while benefiting greatly from Thailand’s growing aerospace industry.

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