Airbus and Boeing push supply mergers

Article reported that Airbus and Boeing were pushing their large suppliers in 2012 to buy smaller ones because of fears that weaknesses in the supply chain could undermine the aircraft makers’ ambitious plans to increase production of passenger jets.

The two dominant passenger-jet makers, which were set to increase their combined production by 40% because they each had an order backlog of more than 4,000 passenger jets, were worried that this initiative could be jeopardised by weak suppliers. In 2011 Airbus and Boeing manufactured 1,011 aircraft between them.

Article published in connection with the FT: Special Report 'Aerospace 2012'. Other articles in the report were:

+ Builders must prove they can deliver
Manufacturers’ ambitious production plans depend on their supply chains, writes Andrew Parker

+ Comac: China offers serious challenge to Boeing and Airbus
Progress may be slow but the builder has potential, says Simon Rabinovitch

+ Farnborough: Defence keeps a lower profile
Quieter show but still gripping for insiders, writes Carola Hoyos

+ European airlines: Consolidation should improve prospects
Carriers are facing losses, writes Andrew Parker

+ India: Industry in need of a shakeout and restructuring
Overcapacity and a subsidised national carrier are hurting, writes Neil Munshi

+ Chinese airlines: Big opportunities at home and abroad
The sector has been expanding at 10% a year, writes Kit Gillet

+ Regulation: Groundwork under way for efficiency in Europe’s skies
Air traffic control reform is overdue, writes Rose Jacobs

+ Environment: Airlines begin to realise green fuel is a complex proposition
Biofuels have arrived but they remain too costly, says Rose Jacobs

+ Emissions trading: Compromise proposed on pollution law
Airbus has idea to defuse row, report Rose Jacobs and Andrew Parker

+ China: Doing it all yourself has its drawbacks
Learning curve has steep trajectory, says Kathrin Hille