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With second 787 line lost, should Washington build Airbus parts?

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by GLENN FARLEY / KING5 News

Posted on November 5, 2009 at 7:01 PM

MUKILTEO, Wash. - On the opposite end of Everett's Paine Field, just a short drive from Boeing's massive Everett plant, there's are a cluster of blue and white buildings. The sign says Electroimpact and around 360 people work here.

Electroimpact is just 22 years old, and it builds tools. Really, really big tools. At one point, 80 percent of the work it did went to Boeing... some if it still does. But now about 60 percent of the work is going to build Airbus planes.

"We'll put in our custom machine, we'll put in our custom jig, we'll train everybody how to run it, how to maintain it and operate it." said Ben Hemstead, a mechanical engineer and assistant to the company's president.

Hemstead gave KING5 News' Glenn Farley a tour this morning, showing him massive tools that are heading all over the world.

"The green machine there, is going to China. Now, who sells machine tools to China!" said Hemstead.

That wasn't meant as a question, but as a statement. That green machine is heading to China where the Chinese intend to build their own regional jet. He calls it the fastest riveting machine out there.

Electroimpact makes no apologies for its business dealings with Airbus, China or anywhere else. Hemstead's father was a Boeing engineer. He gets it. But these days we call this the global economy. And as Boeing farms work out around the globe - remember the 787's wings are made in Japan, much of the body or fuselage in Italy, and other body parts in South Carolina and Kansas - local suppliers in Washington state are trying to pull the world's work here.

"We need other airframers to come here. That expands our base,"says Roesmary Brester, President and CEO of Hobart Machined Products Inc.

Hobart is based in the community of that same name south of Issaquah. But its small manufacturing plant is in Ellensburg. Brester has been active in recruiting efforts to bring in more business. Next week her firm is sponsoring an event inviting French companies to come check out what Washington manufacturers have to offer.

Brester's firm, founded along with her husband back in the 1970s, used to have one customer - Boeing. But about a decade ago she took Boeing's advice as to where the business was heading.

"Boeing years ago kept saying you need to diversify," said Brester. And diversify she has.

Since then, Hobart has branched out into making parts for Rockets, medical equipment, some automotive and of course, some parts that end up on Airbus planes.

While Boeing places its bet on South Carolina and that state's promise to deliver a competent work force, Washington's suppliers say the local work force here is what makes companies keep coming back. People have done this kind of work for a long time, said Brester.

It's estimated there are at least 650 manufacturers in Washington who are considered aerospace suppliers. But there may be more that cross over a variety of industries. Largely, the industry has operated out of the spotlight as attention from media, state and federal governments keep focusing on Boeing.

But the companies we spoke with both say the State of Washington needs to do more to make the business climate better, because there's a lot of competition... all over the world.

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factoid said on November 5, 2009 at 7:29 PM

I wonder who came up with the dumb headline. As if Boeing has exclusivity for building planes here. We should appreciate any companies business in this state rather than biting the hands that feed us.

heyler7 said on November 5, 2009 at 8:07 PM

The labor unions were warned years ago to stop demanding so much. There isn't a company in today's economy that can withstand the possiblity of another 60 day strike and expect to survive! Strike this time and watch all the work go to South Carolina...

blankingout said on November 6, 2009 at 12:03 AM

Strike! duh me good Boeing union employee... I got my wage jacked up from 23/hr to 35/hr... now I am out of a job... oops...

cmeeverett said on November 6, 2009 at 12:52 AM

Well, i used to work for Eldec in sno-co some 20 years ago. They were created by Boeing engineers who quit to creat that company & became a vendor. As the years went by & Airbus grew, it seemed like it didn't really matter if Boeing "got that contract". If Airbus got it, they too would come knocking on the door.

cmeeverett said on November 6, 2009 at 12:58 AM

As a former employee of Eldec in Sno-Co, some 20 years ago, I've seen this trend already. It's nothing new. Eldec, created by 5 former Boeing engineers in the late 50's, who quit their jobs to create a vending company were married to Boeing & only Boeing as the company struggled in those early years. As Boeing began losing contracts to Airbus in the early 80's, Eldec found a new buyer... Airbus. And BUY they did. It seemed like it didn't matter who got the contract... Boeing or Airbus, they both bought the same thing from reliable vendors. I assume they still do.

skippythedog said on November 6, 2009 at 9:51 AM

What a dumb headline! Of course we should build parts for Airbus (we do and have for a long time). The Northwest is a hotbed of skilled aerospace workers. It's not as if Boeing has demonstrated loyalty to their homeland at all costs. That works both ways. It's all about economics and there is nobody watching out out for us.... except for us.

jimd30 said on November 6, 2009 at 10:16 AM

I have to agree with, welcome any solid, growing Companys to our state. weather it be airbus, or who ever. we dont want to see a detroit here in WA state..

red_rocker said on November 6, 2009 at 10:27 AM

I worked as a contractor at Boeing. I saw that Boeing, with glee, created the global assembly line, and touted it as the vision of the future in airplane fabrication. However, about two years later, they started having problems with it because of a lack of skilled labor in various global locations. But it was too late, the table had been set, and when they wanted to retract things back to the Puget Sound, there was the 60-day strike that nearly killed the 787 program. This strike tremendously hurt the company. So Boeing decided to head to South Carolina. I can understand the rationale for doing this. So in summary, I think that if Boeing helped solidify the global assembly line concept, then it has to be ready for Airbus business done in it's own backyard. What's good for the goose is good for the gander, so to speak. Definitely I would think it would be a good idea to build Airbus parts. All of the striking, now unemployed union machinists get jobs back with their pre-strike pay!

highflyer said on November 7, 2009 at 8:19 PM

Re red-Rocker. Pure fantasy, pure fantasy, my friend. The reason Boeing's Dreamliner is more than 2 Years late has nothing to with a shortage of skilled foreign labor, but everything with Boeing's stupidity to farm its design out in cumbersome medieval inches that the make no sense to people using simple metric units. Only America ns have yet to learn that obvious truth. That stupidity costs Boeing and any other American company trying to do the same billions of dollars and prevents many metric companies from setting up shop in the inch using USA. If you rather have unemployment than metric measurements that is fine because it reduces US competion world wide.

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