With the joint venture, which is expected to be operational in 2016, the companies want to make the most of opportunities in the growing global aerospace market. Alcoa estimates that the aerospace market will grow by 9-10% in 2013.

"The agreement marks an important step in leveraging Alcoa’s and VSMPO-AVISMA’s strengths in innovation and manufacturing to capture opportunities in the high-growth aerospace market," said Alcoa chairman and CEO Klaus Kleinfeld. "This alliance will enhance Alcoa’s competitiveness and position our global aerospace business for continued profitable growth.”

“This agreement will add to our current manufacturing capabilities, as the company gets access to unique forging equipment,” said Mikhail Voevodin, general director, PSC VSMPO-AVISMA Corporation. “ This step enables us to increase our output and ensure the consistency of supply, allowing us to meet growing demand for our products from leading global aircraft manufacturers.”