Building a Global Aviation Ecosystem from Hong Kong
ARI plans to develop a data platform for mid-to-end-of-life aircraft and establish a global aviation ecosystem from Hong Kong.
Founded in 2014, Aircraft Recycling International Limited (ARI) provides a comprehensive range of solutions for mid-to-end-of-life aircraft for the global aviation industry. It is a member company of CALC (China Aircraft Leasing Group Holdings Limited), first listed aircraft lessor in Asia and one of the top five global aircraft lessors based on its strong order book. Headquartered in Hong Kong, ARI’s services do not limit to used aircraft trading and leasing but also include aircraft disassembly and recycling, engine and component sales, aircraft asset management and MRO (Maintenance, Repair and Overhaul), with a mission to provide tailor-made solutions that support a sustainable aviation industry.
ARI owns two aircraft recycling facilities, one in Harbin, Mainland China and another in Tupelo, USA. The Harbin base is Asia’s first large-scale aircraft recycling facility and has commenced operation since June 2018.
Leveraging Hong Kong’s Unique Advantages to Expand into New Markets
According to ARI’s CEO Mike Poon, in addition to effective financial solutions, the company’s recycling and sales operations also require thorough due diligence with large number of contracts and paperwork. Hong Kong’s high efficiency is one of the reasons why ARI decided to establish its headquarters in the city. “With a simple tax regime, sophisticated legal system and diversified financing solutions, Hong Kong is an ideal base for us,” he said.
“The city‘s strategic location in a favourable time zone with multiple friendly policies implemented here makes it easier for us to manage our global business. Being based here also means that we have priority to attract talents from both Mainland China and overseas,” Poon added.
ARI is also developing a new data system for the aviation industry. “Our new data system is designed to create an internationally recognised platform that will benefit the entire industry,” Poon explained, “Hong Kong is the ideal place for us to work on this pioneering project with an excellent reputation for innovation and cutting-edge technology.”
Tapping into the Greater Bay Area
Poon believes there is a huge potential for recycled aircraft components around the world, while ARI plans to focus on the Greater Bay Area (GBA) for the time being. The Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area issued by the State Council in February 2019 has provided an important framework for the company. “GBA enjoys a comprehensive set of business-friendly policies and boosts the flow of people, goods and capital, which will facilitate our global expansion from our base in Hong Kong.”
InvestHK has been working closely with CALC and ARI in exchange of the latest developments. “InvestHK has been promoting Hong Kong as a global hub for aircraft leasing and aviation financing. We hope to work more closely with the department to promote the future growth of the industry,” Poon enthused.
- ARI’s shareholders include China Everbright Limited, Friedmann Pacific Asset Management Limited and Sky Cheer International Limited
- Staff of Hong Kong’s headquarters are responsible for financing, accounting, legal, marketing and transaction support etc.
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