Airbus warns UK must make deal before leaving EU
The France-based aircraft manufacturer, Airbus, has released a warning to the UK over its departure from the European Union (EU).
The warning calls for the nation to make a deal with the manufacturer before leaving the union, otherwise Airbus will have to reconsidered its position in the UK, CNBC reported.
Airbus issued the memorandum on 21 June, noting that soft plans for the transition period – which is to end by December 2020 – will not allow the company to adapt or expand its supply chain and supplier base in the country.
The firm has claimed that if the UK opts to leave the EU’s single market and customs union without transition, the nation’s production could face “sever disruption and interruption”.
The company currently manufactures the wings for all of its passenger jets in the UK.
“Put simply, a no-deal scenario directly threatens Airbus' future in the U.K.,” stated Tom Williams, c
Chief Operating Officer of Airbus Commercial Aircraft, CNBC noted.
According to industry analysts, it is unlikely the firm will withdraw from the UK immediately due to long lead times and waiting lists.
However, Airbus may choose to relocate operations for the next generation of its single-aisle jets – for which production is expected to launch in the next decade.
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