Airbus has published a risk assessment outlining the “urgent risks” to its business arising from the UK exiting the European Union without a withdrawal agreement.
It states that the UK exiting the EU next year without a deal – therefore leaving both the single market and customs union immediately and without any agreed transition – would lead to severe disruption and interruption of UK production.
This scenario would force Airbus to reconsider its investments in the UK, and its long-term footprint in the country, severely undermining UK efforts to keep a competitive and innovative aerospace industry, developing high value jobs and competences, the manufacturing giant said.
On the future trade relationship between the UK and EU, the memorandum makes clear that while an orderly Brexit with a withdrawal agreement is preferable to a no-deal scenario, the current planned transition (which ends in December 2020) is too short for the EU and UK Governments to agree the outstanding issues.
At the same time, it is too short for Airbus to implement the required changes with its extensive supply chain, the company said.