Unions see jobs threat as Airbus scraps bid to build engine parts

French unions and a regional body slammed a decision by Airbus to cancel plans to bring some engine work in-house on Tuesday, saying it would cost 350 French jobs. Airbus was due to take over production of some A320neo nacelles or engine housings from Raytheon Technologies Corp this month, gaining access to future maintenance profits. The plan dates back to 2017 when Airbus looked at "in-sourcing" two types of nacelle offered by France's Safran and what is now Raytheon Technologies, depending on the type of engine. It later decided to import only Raytheon's work. But a public-private consultative body in the Occitanie region, where Airbus is based, disclosed that the plans had now been dropped altogether and said Airbus would instead prolong Raytheon's nacelles contract beyond end-June. Coming days after France unveiled support for aerospace, the "politically and economically untenable" move means jobs will go to Mexico or China, Jean-Louis Chauzy, head of the CERER consultative body, said. "The loss of capabilities will accelerate offshoring," he said, adding it would sour broader Airbus restructuring talks.<br/>