Velocity Composites enters US market, signs $100-million deal with GKN Aerospace. See details

Velocity Composites, an aerospace kits maker in the United Kingdom, has signed a $100 million deal with GKN Aerospace of the United States. With this five-year-long deal, the company enters the US market. Velocity Composites will build composite material kits for GKN Aerospace. It will produce high-performance composite kits for civil, business, and military jets. The company will also use its proprietary digital technology to manufacture the best products.

Velocity Composites' first outside-the-UK facility will be based in Alabama, near the GKN manufacturing site. The facility will be 40,000 sq feet with advanced manufacturing and industry-standard clean rooms. The company expects the facility approval and first equipment test to be completed by February 2023. The mass production will begin in the first quarter of the financial year. The company plans to train 30 local staff, who will work with the existing staff coming from the UK.




Andy Beaden, Chairman of the Velocity Composites, said, "This is a major milestone for Velocity as we make a permanent entry into the US market and expand our long-standing relationship with GKN Aerospace. We believe this agreement will be part of a long-term positive trend from which Velocity will benefit as customers look to recover from the pandemic and to achieve new and improved ways of working, with a key focus on sustainability, as production rates increase to pre-pandemic levels."

This agreement is a massive milestone for Velocity Composites as the company has been planning for the US expansion since 2019. It has long-standing relations with GKN Aerospace. It started producing for GKN Aerospace in 2015. It has many other big companies under its portfolio, including Boeing, Airbus, and Safran. The products manufactured by Velocity Composites reduce costs for aerospace companies while ensuring sustainability. Lord Johnson, Minister for Investments, welcomes the expansion saying, "British expertise is central to levelling up sectors vital to global commerce and security, like advanced manufacturing. This government will continue encouraging British companies from all sectors to seize opportunities across the pond as part of the historic UK-US trading relationship."

Velocity Composites is a Burnley, UK-based company.

FAQs:

1. What is the annual revenue of Velocity Composites?
   Velocity Composites's revenue in 2022 was 11.9 million Pound sterling.
2. What is the annual revenue of GKN Aerospace?
   GKN Aerospace's revenue in 2017 was 509 million Pound sterling.