Who Builds What Where?

Editorial Staff

Monday, February 28, 2011 at 12:00 AM ET

Verified

Key Takeaways:

Global supply chains are transforming traditional manufacturing in all industries, including aviation, with political considerations heavily influencing decisions.
Analyst Richard Aboulafia argues that it is logical for aviation companies like Embraer and Hawker Beechcraft to simultaneously open manufacturing plants in different countries (e.g., U.S. and Mexico).
These strategic manufacturing moves reflect how aviation companies are adapting to complex global economic and political landscapes.

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Global supply chains are challenging the traditional manufacturing model in all industries, including aviation – but politics can trump everything. Teal Group analyst Richard Aboulafia tells Russ Niles that it makes perfect sense for Embraer to open a plant in the U.S. in the same week that Hawker Beechcraft announces one in Mexico.

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