March 14, 2019, © Leeham News: Airbus’ effort to slash supply costs for A220 production is “an ongoing exercise at this point,” Joe Marcheschi, Airbus’ head of procurement in North America, told LNA in an interview last month.
“There are no specific, let’s say, achievements yet,” he said. “We are working closely with our supply chain.”
It takes time to squeeze cost out of the supply chain, he said. “We only took over July 1. That’s when we got full knowledge of the existing contracts.”
In January, Philippe Balducchi, head of the Airbus-led venture overseeing production, told journalists that the aerospace giant aims to realize “significant double-digit” percentage cost reduction. He indicated that most of the savings likely would come from the supply chain, according to news reports.
“Look, the airplane is absolutely fantastic—it just costs a lot of money,” Marcheschi said. “Now, we have to find a way to reduce the cost.”
March 4, 2019, © Leeham News: Another week, another NMA story.
For an airplane that doesn’t exist, the prospective Boeing NMA continues to dominate much of the aerospace news.
Last week’s announcement by Rolls-Royce that it withdrew—in December, as it turns out—from the competition to power the NMA prompted a flurry of stories in aerospace media, including LNA.
Some stories suggested RR’s withdrawal meant Boeing was getting closer to launching the airplane.
Boeing, in January, said Authority to Offer might come this year and program launch had moved from 2019 to 2020.
Two prominent consultants predicted at the Pacific Northwest Aerospace Alliance conference last month the odds were 60-40 or 65-35 Boeing would proceed.
Maybe, but I have to tell you that conversations I had last week in the wake of the Rolls announcement are not encouraging.
News last week that Airbus finally, at long last, is appears about to launch its Xtra Long Range A321XLR this year is overdue. Doing so will make Boeing’s NMA business case more difficult to close.
The aircraft should have been launch in late 2017, an insider told LNA recently. But the corruption scandals enveloping Airbus disrupted plans and drove executives to indecision. Launching the A321XLR was put on hold.
By Dan Catchpole
Feb. 14, 2019, © Leeham News: Commercial aerospace’s super cycle is alive and well—and looks to keep going through the foreseeable future. Major suppliers and OEMs, and industry analysts at the Pacific Northwest Aerospace Alliance annual conference are all optimistic about the industry demand. Analysts noted potential concerns, such as a trade war with China, a catastrophic terrorist attack, or an economic shock. However, even the often bubble-bursting Richard Aboulafia, an aerospace analyst and vice president at the Teal Group, said the party likely will keep rolling on for several years more.
The company is working to close the business case on a new midmarket airplane (NMA), already dubbed the 797 by industry watchers. The NMA—or, if Boeing does not launch it, then its next single aisle airplane—likely will usher in “the next evolution of the jetliner business model,” Michaels said.
The new model, he said, has four key aspects:
The last airplane will roll off the assembly line in 2021, for Emirates Airlines.
Emirates cancelled an order for 39 A380s. In its place, the carrier ordered 30 A350s and 40 A330neos.
The Emirates and Airbus press release is here.
Nov. 19, 2018, © Leeham News: The move toward increasing automation makes US more competitive than moving work to other countries, an expert in industrial efficiencies said last week at a meeting sponsored by the Pacific Northwest Aerospace Alliance.
The same is true when it comes to states competing against other states, he said—something that is especially relevant as Washington State girds for expected competition from Southern states, and especially South Carolina, for the prospective Boeing New Midmarket Airplane.
April 30, 2018, © Leeham News: The Wall Street Journal Friday reported Boeing was poised to purchase a supplier; a deal could be announced as early as today.
The acquisition, if it happens, will be a major step toward increasing the business at Boeing Global Services (BGS).
It will be another step in the vertical integration that recommenced under Boeing CEO Dennis Muilenburg, an outgrowth of too much outsourcing with the 787.
Coincidentally, the day before, Wendi Folkert, director for Supply Chain Propulsion Strategy for The Boeing Co., acknowledged that the growing BGS has to balance against competing with Boeing’s own suppliers.
Folkert made her remarks at the I-90 Aerospace Corridor Conference in Spokane (WA).
March 12, 2018 © Leeham Co.: When it comes to preparing for increasing automation, robotics and transforming the way airliners will be built in the future, focus rests primarily on the big OEMs and suppliers.
The small suppliers also must prepare for this transformation.
Tool Gauge of Tacoma (WA) is one such company. I sat down with Jim Lee, manager of sales and marketing, at the Pacific Northwest Aerospace Alliance conference last month in Lynnwood (WA) to talk about transformation.
March 1, 2018, © Leeham Co. Three industry professionals raised the question whether the Middle of the Market sector requires one aircraft type or two.
One raised the prospect Boeing might have to undertake concurrent aircraft development, as it did with the 757 and 767.
Richard Aboulafia, a consultant with The Teal Group, Ron Epstein, aerospace analyst for Bank of America Merrill Lynch and Kevin Michaels, president of AeroDynamic Advisory, made their remarks at the annual conference of the Pacific Northwest Aerospace Alliance last month in Lynnwood (WA).
By Bjorn Fehrm
February 26, 2018, ©. Leeham Co: Aerion Supersonic’s CEO and Executive Chairman, Brian Barents, presented the first pictures of the Aerion AS2 biz jet’s engine at the recent PNAA conference in Seattle.
It’s the first engine adapted for supersonic passenger transport since the Concorde’s Olympus engine was developed in the 1960s.
Based on the released configuration sketch, we put the engine through our GasTurb modelling software. Here’s what we found.