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Draft EU regulation poses threat to aircraft industry

Monday, 12th June 2006

Airbus SAS, one of the world's largest plane-makers and a major customer for Rolls Royce aircraft engines, says that the EU's new chemicals directive, (REACH), could have a significant impact on the European civil aircraft industry and possibly affect their ability to compete effectively in future.

Local Conservative MEP Roger Helmer heard the news at a briefing on Thursday at the plane-maker's headquarters and final assembly facility at Toulouse, France. Mr Helmer, a former member of the European parliament's Environment Committee, has long campaigned against REACH, arguing that its environmental benefits are marginal, while its damaging impact on business, jobs and competitiveness will be dramatic.

Airbus manufactures roughly half of all large passenger planes produced in the world, with Boeing making the rest. It employs around 55,000 people across Europe, including hundreds in its design offices at Filton, Bristol and thousands producing wings at Broughton, North Wales. While airline customers who buy Airbus planes can specify jet engines from several suppliers, Rolls Royce in Derby is a major supplier to Airbus. Mr Helmer will be visiting Boeing, another major Rolls Royce customer in Seattle in July.

Airbus is currently introducing its A 380, the world's first fully double-decked airliner, which depending on seat layout can accommodate up to 800 passengers. The company points out that a project like the A 380 could have a production life of forty years, with individual aircraft flying for thirty years after that. A 380s could still be flying in the mid-2070s. The aircraft incorporates millions of components from thousands of suppliers, and ensuring REACH compliance could be a logistical nightmare.

Airbus claims that it is one of the world’s most environmentally conscious companies, all of its production facilities conforming to the ISO 14001 environmental management standard. Whilst the company says that is not opposed to REACH, it is extremely concerned that compliance with REACH and the possible unavailability of strategic substances, will directly conflict with paramount aircraft safety requirements, and ultimately damage competitiveness. Airbus is already voluntarily removing dangerous and harmful chemicals from its processes wherever possible.

Airbus argues that the civil aircraft industry must be granted an exemption from REACH whenever compliance could impact on aircraft safety in order to ensure its commitments over the long life–cycle of its products. Together with other civil aircraft industry manufacturers Airbus is currently in dialogue with the European Parliament.

Commenting on the plane-maker's briefing, Mr Helmer said:

“I have been arguing for years that REACH will do huge damage to competitiveness and jobs, just at the time when EU economies face major new challenges from developing economies like China and India.

“This announcement from one of Europe's largest companies confirms my position, and adds new urgency to the threat. It is time for legislators to balance environmental and economic objectives, to ensure that our children and grandchildren have jobs to look forward to”.