Will Assemble A330 Freighter In Mobile... But Only If KC-30 Selected By USAF

It's great news for Alabama... but comes with strings attached. European aerospace consortium EADS announced Monday it will set up production lines for the upcoming Airbus A330 Freighter and Northrop Grumman KC-30 Tanker platform in Mobile, AL... but only if the KC-30 is selected by the US Air Force as its new aerial refueling platform.

As both aircraft are based off the Airbus A330 airliner, EADS says co-locating production of these aircraft would add to the efficiency of the Mobile assembly facility, and ensure a smooth and continuing production flow. It would also enable EADS to provide its customers more flexibility in the assignment of final assembly slots at Brookley Field for the military aerial refueling platform or the civilian freighter, depending on demand.

The site would be expanded to support the production of up to four aircraft per month -- ensuring ready capacity to meet the Air Force's KC-X delivery requirements at no risk, EADS says, while also fulfilling the A330 Freighter's order book which is already at 66 aircraft.

"Today’s announcement is a historic opportunity for Airbus, EADS and for the US aerospace industry," said Airbus President and CEO Thomas Enders. "Selection of the KC-30 by the US Air Force will not only provide the world’s most capable military tanker, it also will result in the establishment of the first large commercial aircraft assembly facility in the US in over 40 years -- and the first such Airbus assembly facility in the US.

"EADS, with Airbus and its other divisions, is already the largest single international customer for US aerospace products," Enders added. This significant investment would effectively transform EADS and Airbus into a second US-based producer and exporter of large commercial aircraft."

As ANN reported, the KC-30 is competing against Boeing's KC-767 for the KC-X bid, which aims to replace the Air Force's aged fleet of KC-135 tankers. The KC-30 is larger than Boeing's 767-sourced bird, and offers additional capabilities above what KC-X calls for. It is also more expensive.

Both entities submitted their final bids for the contract earlier this year. The Air Force could make its decision as early as the end of this month.

EADS is partner and principal subcontractor to Northrop Grumman on the USAF Tanker replacement program. If the KC-30 is selected, EADS will be responsible for assembling KC-30 Tanker airframes and providing completed aircraft to Northrop Grumman, which will then militarize the aircraft, outfit the mission equipment and deliver the aircraft to the US Air Force.

"This investment decision -- along with our earlier selection of Mobile, Alabama as the site of the KC-30 Tanker final assembly facility, the Airbus Engineering Center and the EADS CASA facility at Mobile Regional Airport -- reflects EADS’ firm commitment to the future of the American aerospace industry, the security of the United States, and our longstanding intention to create jobs and in-source industrial capability, advanced products and critical technologies into the United States," said EADS North America Chairman and CEO Ralph D. Crosby, Jr.

EADS proposes expanding the Mobile facility by 20 percent, to accommodate A330 Freighter industrial activity. It would also require at least 300 direct additional employees above the 1,000 currently slated for the tanker assembly.

FMI: www.eadsnorthamerica.com, www.northropgrumman.com/kc30/