Airbus Helicopters considers giving up factory in Romania

History

Photo by Hans Geel/Shutterstock.com

Romaniaʼs government moved to ease Airbus Helicopters concens and signed a cooperation and support agreement, just a day after a senior official said the company is considering relocating its Brasov-based plant, outgoing Prime Minister Viorica Dăncilă said on Friday. 

File photo of Airbus Helicopters factory in Albacete Spain. Photo by Hans Geel/Shutterstock.com

On Thursday, local media reported that Airbus Helicopters has suspended the construction of its factory in Brasov. It was supposed to produce H215M multirole helicopters, but the company hasn’t received any orders from the Romanian authorities for delivering such helicopters.

“We understand that ordering 40 or 50 helicopters involves a lot of money. So we proposed a contract of at least 16 helicopters”, News.ro quoted Airbus Helicopters Europe CEO Olivier Michalon as saying in an interview.

“By now the helicopters would have already been manufactured. It is a chance missed by Romania. And today we decided to suspend the project,” Michalon said on October 17.

If the company cannot reach an agreement with Romaniaʼs new government, Airbus could decide to move the factory to another country, although it has already invested EUR 10 million at Brasov, Romania-insider reported.

As previously reported in the Budapest Business Journal, Airbus Helicopters and the government of Hungary announced at the ned of May that they would jointly build a helicopter parts factory in Gyula (195 km southeast of Budapest), with production expected to start in 2021.

ADVERTISEMENT

Századvég raises GDP forecast to 7.8% Analysis

Századvég raises GDP forecast to 7.8%

Opposition parties to begin PM candidate primaries Elections

Opposition parties to begin PM candidate primaries

New editor-in-chief at Betone Studio Appointments

New editor-in-chief at Betone Studio

Budapest leaders make public transport free for under-14s City

Budapest leaders make public transport free for under-14s

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.