March 19th, 2020
U.S. companies participating in the production of jetliners are facing a liquidity crisis due to the coronavirus pandemic. Aircraft deliveries have ceased, the supply chain is breaking down, and many companies face the near-term prospect of bankruptcy. Without federal assistance, they will need to lay off many thousands of employees. This is not just about Boeing and its 10,000+ domestic suppliers. Airbus too faces a severe cash crunch. If Washington does not act quickly with grants, loans, tax breaks and other forms of help, the era of America’s dominance in global commercial aviation may rapidly draw to a close. I have written a commentary for Forbes here.
|Loren B. Thompson is a Senior Adviser at GPI, Chief Operating Officer of the non-profit Lexington Institute and Chief Executive Officer of Source Associates, a for-profit consultancy. Prior to holding his present positions, he was Deputy Director of the Security Studies Program at Georgetown University and taught graduate-level courses in strategy, technology and media affairs at Georgetown. He has also taught at Harvard University’s Kennedy School of Government. Mr. Thompson holds doctoral and masters degrees in government from Georgetown University and a bachelor of science degree in political science from Northeastern University.