European aerospace suppliers to benefit from EADS tanker win

Europe’s aerospace industry will be one of the main beneficiaries of EADS’s stunning victory on the US Air Force KC-45A tanker programme.

Although EADS and its US partner, Northrop Grumman, have stressed that 60 per cent of the aircraft will be made in America, existing suppliers on the A330-200 will receive increased orders.

Major components for the USAF KC-45A are to be manufactured in Europe
(Image © Northrop Grumman)

EADS plants in France, Spain and Germany will also benefit, according to analysts. The horizontal tail planes of the A330 family are built in Spain.

British aerospace companies, in particular, stand to win. It is the UK’s second-largest defence export this decade (after the deal to sell Eurofighter Typhoons to Saudi Arabia) and will deliver an estimated £3bn. British factories will build all wings for the A330-200; the wings are assembled at Broughton; big sub-assemblies are at Filton, now owned by GKN.

Other UK suppliers that stand to benefit include Messier-Dowty and Magellan. Cobham will produce equipment to transfer fuel between planes. Allan Cook, chief executive, said the contract would be worth $1bn in sales over the life of the programme.

“It gives the transatlantic alliance a significant industrial boost and will secure British jobs for many years to come,” said Robin Southwell, chief executive of EADS UK.

Source: S. Pfeifer - Financial Times

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