A plant operated by Leonardo in Grottaglie, southern Italy, will be closed for four months due to the knock-on effects of the crisis faced by Boeing, according to REUTERS. The Grottaglie facility, located in the Puglia region, had been chosen for the final assembly of the AW609 tilt-rotor aircraft, a significant boost for a site initially constructed for the Boeing 787 Dreamliner programme.
The temporary closure is deemed necessary to align production volumes with the short-term reduction in demand caused by lower growth in the production and delivery of the Boeing 787. The plant’s production adjustments are a direct response to Boeing’s current production issues, which have created a ripple effect throughout the aerospace industry.
Last month, Leonardo estimated that Boeing’s production troubles could cost it around €50 million (US$54 million) in 2024. This financial impact underscores the interconnected nature of the global aerospace supply chain, where challenges faced by one major player can significantly affect suppliers and manufacturers worldwide.
The Grottaglie plant is a crucial asset for Leonardo, and its temporary shutdown highlights the strategic adjustments companies must make to navigate the complex landscape of aerospace manufacturing. The decision to allocate the AW609 final assembly to this site indicates a long-term commitment to utilising the facility beyond the immediate challenges posed by Boeing’s situation.