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Airbus Cuts Aircraft Production by One Third

April 9, 2020
COVID-19 has impacted aircraft deliveries and disrupted supply chains, causing Airbus to reduce production rates and work on "operational and financial mitigation measures to face reality."

Airbus SA announced a plan to cut production rates by about 33%, to adapt to "the new Coronavirus market environment." The global COVID-19 pandemic has impacted the aerospace and commercial aircraft sector significantly, disrupting supply chains and deliveries, but also resulting in reduced demand for new aircraft.

“The impact of this pandemic is unprecedented," according to CEO Guillaume Faury. "At Airbus, protecting our people and supporting the fight against the virus are our chief priorities at this time. We are in constant dialogue with our customers and supply-chain partners as we are all going through these difficult times together.”

Airbus noted it delivered 122 new aircraft during Q1 2020, but a further 60 aircraft were completed and could not be delivered due to the COVID-19 pandemic.

“Our airline customers are heavily impacted by the COVID-19 crisis," Faury stated. "We are actively adapting our production to their new situation and working on operational and financial mitigation measures to face reality.”

Airbus paused operations at its plants in France and Spain late last month, and while production and assembly has "resumed gradually" in France, but now commercial aircraft wing production operations in the U.K. and commercial aircraft production in Spain and Canada have been paused, in line with inventory levels as well as government restrictions.

Earlier this week Airbus halted commercial aircraft production and assembly at its plants in Bremen and Stade, Germany, and halted production at the A220/A320 manufacturing pant in Mobile, Ala.  The Alabama plant will be offline until April 29, Airbus said.

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