Subject The article deals with the issues of evaluation of the efficacy of possible cooperation of Russia and China in aircraft development and production. Objectives The paper aims to evaluate the level of wide-bodied aircraft first cost for a variety of options for the aircraft and components production. As well, the paper's purpose is to evaluate the effectiveness of the cooperation with China in the field of manufacture of products of this class in terms of creating high-paying jobs and conformity with world standards on production cost level. Results We offer a model of aircraft first cost estimation for scenarios of separate and China-joint production, with partial and full localization of components production. Also, we propose a model to estimate the relative reduction of payment rates, which is required to ensure the aircraft price competitiveness in the world aircraft market. Conclusions We conclude that the cooperation with China shall allow to significantly reduce wide-bodied aircraft production costs by increasing the market size, and expand the model range of cost-effective products for the Russian aviation industry.
Keywords: aircraft industry, high-tech production, international cooperation, competitiveness, wages
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