$1.5 Billion Cost Airbus Due to Delays in the Supply Chain
Few technical problems on the A350 wide-body commercial jet and the A400M military jet caused Airbus around $1.5 Billion. According to the executive officer Tom Enders; this year financial performance shows how well Airbus is doing and how backed up they are in aircraft delivery. Also the Farnborough Airshow reflects the high demand on Airbus parts and products, along with the backed up diversity of commercial production and distribution. Airbus confirms that their focus will stay on the A320 and the A350 due to the financial gain between the two series to add to that the new engine developed for the A320 series. However, this does not cover for the losses brought by the A400M and the A350 program, even though there is a significant amount of profit that is going to enter because of these programs.
The new A400M military jet is still behind schedule for many reasons even with a sophisticated industrial procedures and modern equipment. However, Airbus is always making progress even if few setbacks come along the way, the A400M is already impressing the air force with its performance and as usual airbus is proving to make exceptional and unique aircrafts. As well with the A350s were a dozen airplanes have been delivered already for the year of 2016, but as production keeps increasing and schedule becomes tight then the supply chain and performance of the industry can face some challenges. Some of those challenges are in finalizing the cabin which is the most critical part of the airplane, this part alone cost around € 300 million in the first half of the project. Obviously this causes delays in the production phase of the project.
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Posted on September 28, 2016
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