Cessna, CAIGA Finalize Caravan Deal

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Cessna has finalized a deal to build Caravan turboprops in China under a contract signed between the Wichita mainstay and China Aviation Industry General Aircraft Company Ltd, which is the same company that owns Cirrus Aircraft. The deal may be the vanguard of a larger presence in what has long been predicted to be the next big thing in the GA marketplace. "The joint venture contract also contemplates the possibility of designing and assembling new models of utility turboprop aircraft in the future," the release said. "Formation of the joint venture company remains subject to various government approvals and customary conditions."

The deal to build Caravans in China was announced earlier this year but the contemplation of new designs was absent from that announcement. Under the deal, Cessna will essentially send Caravan kits to the CAIGA plant in Shijiazhuang where the aircraft will be put together, painted and prepped for customer delivery.