Airbus, the primary rival of Boeing (NYSE: BA), will open a plant in Alabama. It may have made the decision to counter American politicians’ belief that Airbus works in the interests of its European owners. In part, that means keeping manufacturing jobs in Europe. Members of Congress have attacked the company because, while Boeing employees tens of thousands of people in the United States, Airbus has nearly none.
There may be another explanation. Like Japanese car companies, Airbus may have discovered it is economical to make some parts of its planes in the U.S. Labor is usually cheap in the deep South. States are willing to provide rich subsidies, often in the form of tax breaks. Airbus might not care about perceptions at all. It may just want to increase its profits.
Douglas A. McIntyre
Take This Retirement Quiz To Get Matched With A Financial Advisor (Sponsored)
Take the quiz below to get matched with a financial advisor today.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Take the retirement quiz right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
