Boeing has hired Norsk Titanium to print the first structural titanium parts for its 787 Dreamliner, the Norwegian 3D printing company said, paving the way to cost savings of US$2 million to $3m for each plane.
The contract is a major step in Boeing’s effort to cut the cost of its barely profitable 787 and a sign of growing industrial acceptance of the durability of 3D printed metal parts, allowing them to replace pieces made with more expensive traditional manufacturing in demanding aerospace applications.
Strong, lightweight titanium alloy is seven times more costly than aluminum, and accounts for about $17m of the cost of a $265m Dreamliner, industry sources say.
Boeing has been trying to reduce titanium costs on the 787, which requires more of the metal than other models because of its carbon-fibre composite fuselage and wings. Titanium also is used extensively on Airbus’ rival A350 jet.
“This means $2m to $3m in savings for each Dreamliner, at least,” starting in 2018 when many more parts are being printed, said Chip Yates, Norsk Titanium’s vice president of marketing.
Boeing declined to comment on the estimate but said Norsk’s technology would help to reduce costs.
Norsk worked with Boeing for more than a year to design four 787 parts and obtain US federal aviation administration (FAA) certification for them, Mr Yates said.
Norsk expects the US regulatory agency will approve the material properties and production process for the parts later this year, which would “open up the floodgates” and allow Norsk to print thousands of different parts for each Dreamliner, without each part requiring separate FAA approval, Yates said.
“You’re talking about tonnes, literally” on the 787 that would be printed instead of made with traditional, expensive forging and machining, he said.
General Electric is already printing metal fuel nozzles for a line of new aircraft engines. But Norsk and Boeing said the titanium parts are the first printed structural components designed to bear the stress of an airframe in flight.
Norsk said that initially it will print in Norway, but is building up a 6,220-square-metre facility in Plattsburgh in upstate New York, where it aims to have nine printers running by year-end.
* Reuters
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Profile of Bitex UAE
Date of launch: November 2018
Founder: Monark Modi
Based: Business Bay, Dubai
Sector: Financial services
Size: Eight employees
Investors: Self-funded to date with $1m of personal savings
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Total fights: 32
Wins: 28
Wins by KO: 26
Losses: 4
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Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
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