On Friday 22 June, the aircraft manufacturer Airbus threatened to withdraw its investments from the United Kingdom should the country leave the EU without an agreement or in the event of 'hard Brexit'.
A no-deal Brexit could potentially translate into a “multi-billion impact on Airbus”, impairing its ability to benefit from highly qualified and severely undermining London's efforts to keep a competitive, innovative aerospace industry, while developing high-value jobs and skills, it warned.
This situation would force it to reconsider its investments in the UK and would have “undesirable consequences”, such as repatriating competences, patents, R&D and reducing the UK's weight in the supply chain, it warned.
Uncertainties over a no-deal or hard Brexit would also force Airbus to revisit its investments in the flagship Wing of Tomorrow programme.
The stakes are enormous for the UK: Airbus employs nearly 15,000 people in the country across more than 25 sites, where it produces the wings for its civilian and military aircraft; it provides more than 100,000 indirect jobs through a network of 4,000 suppliers and contributes £7.8 billion to the country's economy.
“The proposed transition phase seems too short for governments to agree an all-important open points, and for Airbus and its Tier 1 suppliers to agree and implement all changes with their extensive UK supply chain”, Airbus warns.
Airbus will carefully monitor any new investments in the UK and is likely to refrain from extending its UK suppliers/partners base, pending greater clarity.
“Customs Union and a harmonised regulatory framework with the EU are the two major issues for Airbus that will determine its future strategy in the UK”, it concludes. (Original version in French by Emmanuel Hagry)