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AFX News Limited
Airbus to base A320 production in Hamburg, 350s and 380s in Toulouse - report
01.15.07, 4:14 AM ET



PARIS (AFX) - Airbus is to concentrate production for the next generation of its A320 planes in Hamburg, while building the new A350 and A380 in Toulouse, La Tribune reported.

The A320 at present is manufactured by separate assembly lines in Toulouse and Hamburg. The German city is expected to take over the entire production for the A320, according to La Tribune (nyse: TRB - news - people ), excluding future production at a planned site in China.

Under this scenario, the Toulouse operation would be devoted to assembling Airbus' larger aircraft, the A350 and A380.

CEO Louis Gallois has informed trade unions of the plan, which will form part of the company's 'Power 8' restructuring programme, due to be announced next month.

French union representatives expressed their concern about job levels, given that the larger models have lower volume than the A320, which accounts for over half of Airbus' production.

paris@afxnews.com

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