Airbus to partner with Canada's Bombardier

Lloyd Doyle
October 17, 2017

European aerospace firm Airbus is to take a majority stake in Bombardier's C-Series jet project.

Montreal-based Bombardier has explored a variety of strategic options with potential partners in recent months, but discussions took on a new urgency following a pair of recent US trade tariff decisions that would potentially quadruple the cost of CSeries jets sold in the USA, one of the people said. The tariffs have put huge pressure on Bombardier, and unions said workers in Northern Ireland were holding their breath as they waited for the verdict of the trade dispute, fearing their jobs were at risk.

About 1,000 jobs are linked to the C-Series, the wings of which are made at a purpose-built factory in Belfast.

"I have no doubt that our partnership with Bombardier will boost sales and the value of this program enormously".

Airbus Chief Executive Officer Tom said Monday night that the C Series acquisition extends the company's product offering into a fast-growing market sector.

Bombardier earlier said it would sell control of its CSeries programme to Europe's Airbus under a deal that would see some of the jets produced in the United States, where local airlines would therefore not have to pay the proposed import penalties.

As part of the deal, Airbus will acquire 50.01% of the program and Bombardier and Investissement Québec will own approximately 31% and 19% respectively.

"Airbus is the ideal partner for us, Quebec, and Canada", he added.

"This was the right time for both companies to strike a deal over an aircraft that is fully certified", Enders said during a trans-Atlantic conference call Tuesday night with reporters and Bombardier CEO Alain Bellemare.

Airbus will provide procurement, sales and marketing, and customer support expertise to CSALP, the companies said.

Enders denied that Airbus got involved in the C Series because of Boeing's trade complaint.

Other reports by Iphone Fresh

Discuss This Article