Considerations for your business around the world
Demand for aircraft continues to be strong in most regions of the world, but especially in rapidly growing markets in Asia-Pacific. This region, with a burgeoning middle class and a large and growing population, offers significant opportunities for aircraft manufacturers and can drive both international and domestic expansion. Recent trade disputes have caused some uncertainty about future tariffs. So far, the aerospace industry has not been directly targeted, although the industry is indirectly impacted by certain tariffs on metals. The trade situation continues to evolve rapidly, and companies will need to monitor the impacts. Since some global markets pose significant risk, companies can mitigate this risk by considering each country’s specific regulations, tax policies, and intellectual property protection laws. Also, companies need to address human resource issues, such as talent recruitment, training, and retention, which require knowledge of cultural norms and sensitivities. These risks have to be measured against the soundness of offshoring to extend supply chains overseas. In recent years, some companies have moved to re-shore all or part of their supply chain as domestic business conditions have become more competitive. To support this growth in American aerospace manufacturing, companies, educators, and policy makers should promote the skills and policies that will foster investment growth in the United States.
Considerations for your business in the United States
The category of education is critical not only for companies trying to meet today’s demands, but in ensuring tomorrow’s workforce can help build the next generation of more efficient, sustainable aircraft. An educated, technology-savvy, and diversified workforce is essential for maintaining US competitiveness in commercial aviation manufacturing. Some companies are actively participating in the process of preparing the future workforce. Indiana’s partnership with Purdue and Rolls-Royce is a case in point. It’s an arrangement that benefits all concerned and has boosted Indiana in our ranking. The same is true of South Carolina, which is working at the high school level to interest teenagers in the aerospace industry. These are laudable efforts because they benefit society. They help build a future workforce and, at the same time, provide companies with an opportunity to recruit the best and the brightest.