Airbus, the Aerospace manufacturing company has issued a warning to MPs, saying that Britain is at risk of losing the âcrown jewelsâ of their aviation industry to China because of Brexit. The Head of the UK Operations at Airbus has said to the business select committee that the threat of new customs bureaucracy as well as a reduction in employee mobility could lead prevent a long-term investment, and as a result of this could speed up a shift to Asia for Airbusâs manufacturing facilities.
This caution and possibility of moving operations to Asia putts as many as 7,000 wing-manufacture jobs in Wales at risk. However, as reassurance the company has said that they have no plans to move. It is vital that wing design is a sector that remains in the UK, as a central aspect of the aerospace industry.
The warning has been given as a precaution by the manufacturing giant, as there are a number of countries around the world who would love to be in charge of wing manufacture for the aerospace industry, with some countries already involved. Due to Brexit, the changes predicted with border control and any impacts on exports into the EU could have an impact on whether the UK remains the central hub of this manufacturing industry.
Therefore, it is vital, as with every other business sector in the UK, that the UK Government agree to a good, solid and beneficial trade deal with the EU for after Brexit. Written evidence on Monday has seen that experts have predicted new customs obstacles that would then add to Â£1.5 billion a year to the industryâs costs. Other witnesses have warned that the British space sector has already felt the negative impact of the referendum, as the industry is already losing a number of orders.