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Cessna to Build Model 162 in China

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Key Takeaways:

  • Cessna's new 162 SkyCatcher light-sport aircraft will be manufactured by Shenyang Aircraft Corporation in China to significantly reduce production costs and make flight training more affordable.
  • This offshore manufacturing decision also aligns with a strategy to target a global market, addressing the worldwide pilot shortage and expecting a significant international market share.
  • Cessna maintains oversight of design, compliance verification, and quality assurance, while Shenyang is responsible for assembly, with deliveries scheduled to begin in the second half of 2009.
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When Cessna launched its new light-sport aircraft Model 162 at Oshkosh last summer, it said the airplane would be built outside of the United States, but didn?t say where. In late November the company announced the 162 SkyCatcher would be manufactured by Shenyang Aircraft Corporation in China. Cessna will do all design and compliance verification work and will have on-site personnel to conduct quality assurance, and Shenyang will be responsible for assembling the airplane.

From the beginning, the goal of the 162 program was to reduce the cost and complexity of flight training. To make a significant reduction in expense Cessna knew the airplane had to be produced in a lower-cost environment than the U.S. aerospace industry can provide. The first 1,000 SkyCatchers carry a standard price of $109,500, and subsequent orders will be priced at $111,500. The order book is already closing in on 900. Published estimates suggest it would cost at least $70,000 more to produce the 162 in the United States.

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