Aviation: Airbus to Increase Production of A320 in the United States

The decision also comes as Washington imposed punitive taxes of 10% on planes built outside the United States.

Airbus will increase from five to seven planes its monthly production of A320 family aircraft produced at its American factory in Mobile, in the southern United States, the manufacturer announced on Thursday European aeronautics.

The European automaker will increase its monthly production of A320 family aircraft from five to seven at its US plant in Mobile, in the southern United States.

This decision by the European manufacturer is part of the ramp-up of production to 63 single-aisle aircraft per month of the A320 family (A319, A320 and A321) by 2021 and comes as the United States imposed in October punitive taxes against the European Union, in particular for aircraft built in Europe intended for American companies.

Its competitor Boeing was forced to announce the suspension in January of production of the 737 MAX, nailed to the ground since March after two accidents that killed 346 people. The decision also comes after Washington imposed punitive taxes of 10% on airplanes built outside the United States in retaliation for European subsidies given to the World Trade Organization (WTO). the European aircraft manufacturer Airbus.

Airbus has  a final assembly line  for its A320s in Mobile, Alabama, since 2015. It produces five aircraft per month. The rate is expected to increase to six aircraft in the coming weeks, according to a spokesperson, and to seven in 2021. Airbus will also invest $ 40 million for the construction of an additional hangar and plans to hire 275 additional people in 2020 Part of these hires is intended to prepare the establishment of a production line for the A220 (ex-Bombardier C-Series), four of which should be produced per month at Mobile in the middle of the decade.

In total, more than $ 1 billion has been invested in the Mobile plant since its inception. “This increase in the production of commercial aircraft at Mobile (…) continues Airbus’ positive contribution to American aerospace,” said Airbus America boss Jeffrey Knittel. Alabama Governor Kay Ivey praised Twitter as “a great vote of confidence in the quality and caliber of Alabama’s workforce.” The other A320 assembly lines are located in Toulouse (two), Hamburg (four) and Tianjin (China).

The European aircraft manufacturer plans to open an additional FAL in Hamburg or Toulouse, in particular to deal with the difficulties encountered in ramping up production of the A321. This represents half of the single aisle orders and its ACF version, which allows a more flexible cabin configuration, is more complex to build than the A320.

Over the first 11 months of 2019, Airbus produced just under 49 A320 family aircraft per month and had to revise downward in October its 2019 aircraft delivery forecasts, reflecting the difficult ramp-up in production of the aircraft manufacturer faced with its commercial success. The automaker plans to deliver “around 860 commercial aircraft” in 2019 when it previously expected “880 to 890” deliveries. In total, Airbus, which also has space and defense operations in the United States, employs approximately 4,000 people in the United States at 38 locations.