Byker
2018-06-23 16:16:13 UTC
"Ben Wallace, the security minister, reminded the firm that without the
support of Britain it would not have been able to cover its budget
overruns on the A400m transporter aircraft, of which the RAF has 14."
They already source from outside the EU from places like the US, China and
Japan.
These days large aerospace supply contracts usually involve a sharing of
the work generated.
The UK government is a significant customer of Airbus.
"In 2010 Airbus faced having to cancel its troubled A400m project, but its
customers, including the RAF, chose to carry on supporting the project and
ordered 22 aircraft at a total cost of more than £2 billion and the year
before it agreed a £500m deal for 30 Airbus helicopters.."
Airbus is getting desperate. But for the Arabs, the A380 would be sunk:support of Britain it would not have been able to cover its budget
overruns on the A400m transporter aircraft, of which the RAF has 14."
They already source from outside the EU from places like the US, China and
Japan.
These days large aerospace supply contracts usually involve a sharing of
the work generated.
The UK government is a significant customer of Airbus.
"In 2010 Airbus faced having to cancel its troubled A400m project, but its
customers, including the RAF, chose to carry on supporting the project and
ordered 22 aircraft at a total cost of more than £2 billion and the year
before it agreed a £500m deal for 30 Airbus helicopters.."
https://tinyurl.com/ycehwdrw
Boeing played Airbus megalomania beautifully in the 90's when they goaded
them into committing to this albatross, while turning their focus to the
point-to-point market for aircraft replacement and traffic growth forecasts.
Airbus wanted SO badly to look like the next big thing in airplanes that
they let their ego's get in front of their brains.
There never was a successful business model behind this turkey, no matter
how many seats you jam into it. If it weren't for the gulf states'
government backing of their infrastructure and operating airline businesses
(Emirates, Qatar, Etihad), who are ~75% of the A380 customer order book,
this production program would have already been cancelled. Tim Clark, CEO of
Emirates, is making the market for the A380 with about 55% of the total
consolidated in one airline. Show me where that kind of market niche or size
has ever been sustained, or will be??
The socialist Europeans keep claiming that somehow Boeing 747s are
subsidized, and yet it appears that the full $15B development was a subsidy,
and that production might just break even, eventually.
When bureaucrats make market decisions you get the Concorde and now the
A380, but when the government foots the inception and start-up costs Airbus
isn't ever going to go broke...