Airbus to enforce drastic prices' cuts

(MENAFN) Airbus, the European plane maker giant, in a move to make the firm's main cash earner, the A320 jet, more competitive, is pressing suppliers to cut prices by at least 10 percent by 2019.

The company's cuts are just one part of an internal efficiency program called SCOPe+ that also seeks savings through a close look at the way planes are developed and sold, as described by experts.

The prospect of better volumes and a longer lifespan for Airbus's best-selling jet, had it implement a well-studied strategy designed both to cut costs and to shrink the risks of shortfalls as production surges.

"The initiative is part of Airbus' long-term commitment towards boosting competitiveness through operational efficiency and continuous improvement," said a spokeswoman from the company.