The A400M: The Cost of Reinventing the Wheel

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The A400M, the troubled European joint effort to meet demand for heavy strategic airlift capacity, has officially gotten a six-month reprieve. The A400M has been plagued by technological setbacks, production delays and cost overruns. At this point, the contractor, EADS/Airbus, is officially in default of its contract, meaning the partner countries could, if they wished, back out of the program, with at least some of the €6 billion already allocated reimbursed. Over the weekend, defense ministers from the seven countries agreed to maintain a “moratorium” on pursuing any contractual penalties against EADS. Jean-Dominique Merchet compares the eventual cost of the […]

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