• BEE winners and losers

    Creating real change and real jobs requires a new ideology, says Gerhard Papenfus.

  • Governance matters

    Addressing risk well and timeously can be a source of growth, says Ian Mann.

  • Road to riches

    Taxpayers keep funding structures with big plans but who knows what efficacy, says Mandi Smallhorne.

See More

SA can benefit from Airbus move

Jul 03 2012 12:00 James-Brent Styan

Related Articles

Emirates Airbus returning full-time

Canned deal: Armscor gets back R9.1bn

Airbus: SA needs 180 more aircraft

AirAsia plans to boost Airbus deal

Lufthansa aircraft named after Joburg

Minister made mistake, Airbus says

Cape Town - European aircraft manufacturer Airbus is going ahead with plans to establish an assembly line for its A320 aircraft in the USA.

The investment in the Mobile, Alabama facility is worth an estimated $600m and is seen as a challenge to Airbus' biggest competitor, Boeing. The US is seen as home base for Boeing.

Airbus calls the move a "major strategic" step, and says the US is the largest single-aisle aircraft market in the world.

The move by Airbus may have a positive knock-on effect for several South African companies.

South Africa's Aerosud, Cobham and Advanced Aerospace Composites currently supply Airbus and its customers with parts and components for the A320 family of jetliners.

The planned manufacturing facility will be responsible for assembling and delivering A320 family aircraft. Airbus' first US-based production facility will be located at the Brookley Aeroplex in Mobile.

Airbus stressed that the assembly line, which will create jobs and strengthen the aerospace industry, is part of its strategy to enhance global competitiveness by meeting the growing needs of Airbus customers in the United States and elsewhere.

Aircraft assembly is planned to start in 2015, with first deliveries from the Mobile facility beginning in 2016. Airbus anticipates the facility will produce between 40 and 50 aircraft per year by 2018.

“The time is right for Airbus to expand in America,” Airbus president & CEO Fabrice Brégier said in a statement on Monday.

“The US is the largest single-aisle aircraft market in the world – with a projected need for 4 600 aircraft over the next 20 years - and this assembly line brings us closer to our customers.

"Mobile is now becoming part of Airbus’ global production network, joining our successful and growing assembly lines in Hamburg and Toulouse."
airbus  |  boeing



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How will you manage Vodacom’s price hike for contracts?

Previous results · Suggest a vote