the aerospace sector and its opportunities in the uk economy

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Business Excellence Through Inspired People The Aerospace sector and its opportunities in the UK economy Aerospace is a major engineering, manufacturing and service industry within the UK, signicant on both a European and a global scale. It employs over 100,000 people directly, and over 220,000 indirectly, and is one of the UK’s largest exporters adding around £2.8 billion annually to the UK balance of trade. Besides famous name global companies (several of which are UK owned) the sector encompasses around 2600 companies across all regions of the UK many of which are SMEs especially at tiers 2 and 3 in the supply chain. The industry uses a broad range of skills and disciplines, including enginee ring and science, production, service, supply chain, training and nancial skills at all levels. It is central to high value added advanced manufactu ring in the UK which is a national priority under the Coalition’s policy of rebalancing the UK economy. As such a high rate of technical innovation typies the sector. Opportunities ahead for the UK aerospace sector, in the medium term include the A320/737 series New Short Range replacement programmes and unmanned aerial systems; whilst in the shorter term, new programmes such as the Airbus A350XWB and A400M, Boeing 787, Bombardier C Series and possible Airbus A320 and Boeing 737 re-engining offer a substantial workload. New regional and business aircraft and emerging platforms from n ew prime con tractors in China, Ind ia, Japan, Russia and Brazil are also targets for the UK sector. Next generation rotorcraft will be developed, offering lower noise and operating costs offering much higher speeds. Environmental regulations and considerations are key drivers for the latest technolog y developments, which the UK is particularly well-placed to exploit. To make the most of these opportunities, improved supply chain performance and management is critical. This was acknowledged by the sector when it launched SC21 SMMT Industry Forum 2410 Regents Court, The Crescent, Birmingham Business Park, Birmingham, B37 7YE T +44(0)121 717 6600 F +44(0)121 717 6699 www.industryforum.co.uk [email protected] August 2011

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