Airbus and Boeing need each other for healthy supply chain

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By Dan Catchpole

March 11, 2024, © Leeham News: In the public arena, Boeing is flailing. It’s the subject of public rebukes by government officials, a new criminal investigation by the US Department of Justice, and a seemingly endless stream of scathing headlines.

However, executives at its European counterpart, Airbus, are not celebrating Boeing’s struggles.

“Airbus needs Boeing,” said Joe Marcheschi, director of flying parts procurement services for Airbus Americas. “Disruption, and turmoil in the supply chain hurts Airbus, too.”

The industry’s supply chain depends in large part on the two aerospace giants—which means, indirectly, Boeing and Airbus need each other.

Instability at the airplane makers may in some sense have furthered this interdependence by prompting many suppliers dependent on one OEM to diversify by supplying both companies and by looking outside commercial aerospace.

Summary:
  • Suppliers' efforts to diversify beyond one OEM have deepened interdependence.
  • Labor, materials are among biggest supply chain challenges.
  • Airbus supporting suppliers to solve bottlenecks.

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