Quebec Invests $413M More in Airbus Partnership for A220 Assembly Line

25 Jul, 2024

Quebec Invests $413M More in Airbus Partnership for A220 Assembly Line

Quebec has committed an additional $413 million to its partnership with Airbus Canada, ensuring the continuation of A220 aircraft manufacturing at its Mirabel facility until 2035. This joint investment, totaling $1.65 billion, aims to bolster production and profitability of the narrowbody planes, crucial for Quebec's aerospace sector. Originally entering the partnership in 2016 when the aircraft was still known as the C Series under Bombardier, Quebec's investment is intended to safeguard jobs and economic stability in the region.
Airbus, holding a majority stake in Airbus Canada, plans to invest $1.2 billion alongside Quebec's contribution. The decision to extend the partnership by five years from the previously planned buyout in 2030 comes amidst challenges like pandemic-related disruptions and production delays. This move allows Quebec to potentially recover its initial investments and secure long-term benefits from the aerospace sector.
With Airbus Canada currently employing 4,000 people in Quebec, including significant contributions from local suppliers, the investment aims to maintain and expand quality jobs in the province. Critics argue over the return on investment, but Quebec's government emphasizes the strategic importance of supporting high-paying jobs and maintaining its position in the global aerospace industry. The partnership underscores Quebec's commitment to economic resilience and industrial development through continued collaboration with Airbus.