Global supplier of aerospace components RUAG and Tata Enterprise’s TAL Manufacturing Solutions Tuesday entered into a partnership for manufacturing and supplying aero structural components and sub-assemblies of the A320 programme.

“It (partnership) reflects our strategy to go global in the supply chain and enables RUAG to strengthen its position as a leading first-tier supplier in aero structures,” said Urs Breitmeier, chief executive, RUAG Group.

The two firms signed a multi-year contract with a potential value of over $150 million.

The agreement allows RUAG, a Europe based aerospace components manufacturer to strengthen and optimise its global supply chain to the advantage of Airbus.

As part of the contract, TAL will manufacture and supply over 550 sheet metal components, machined parts and sub-assemblies to RUAG, for Airbus’ fast moving, successful A320 programme.

“This contract will see us investing further in our state-of-art aerospace infrastructure at Nagpur,” said Rajesh Khatri, executive director and chief executive, TAL.

Mr. Khatri added that the partnership has placed the company in a unique position to supply components to the world’s two most advanced and successful airplane programmes, the Boeing 787 Dreamliner and the Airbus A320.