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ITP Aero to increase capabilities as global tier 1 aerospace leader


Rolls-Royce proposes to make plant in Hucknall, UK, part of ITP Aero in ongoing review of Civil Aerospace facility footprint

ITP Aero to reinforce position by increasing product portfolio and market access

The Covid-19 pandemic is having an unprecedented impact on commercial aviation. As part of the global aviation industry, both Rolls-Royce and ITP Aero have been significantly impacted and are having to adjust to new levels of demand. As a result, both Rolls-Royce and ITP Aero are looking to become more efficient, increase their competitiveness and secure a successful future.

In line with its ongoing Civil Aerospace review, Rolls-Royce has today proposed to increase the scope of ITP Aero’s supply chain activity, engineering and manufacturing capabilities. The actions proposed will enhance ITP Aero’s position as a global Tier 1 aerospace leader.

Rolls-Royce is proposing to integrate its facility and workforce in Hucknall, East Midlands, UK, into ITP Aero. The Hucknall plant, which manufactures a range of aero-engine parts, including fabrications, combustors and Fan OGVs, will bring ITP Aero new capabilities and become a critical part of the enlarged business. Under ITP Aero’s ownership, the Hucknall site will have the potential to unlock new growth and investment opportunities. In addition to the transfer of Hucknall’s manufacturing capability it is proposed that the commodity of complex fabrications, including design engineering and supply chain management will also be transferred into ITP Aero.

Rolls-Royce is also proposing to transfer the manufacture of aero-engine structures – high pressure/, intermediate pressure structures, front bearing housings and OGVs – into ITP Aero, from its current structures facility in Barnoldswick, UK. This builds on the existing track record, capability and competitiveness of ITP Aero in this area.

Both proposals are subject to consultation with employee representatives in the UK.  

Today’s announcement comes at a time when ITP Aero is adapting to the effects of the Covid-19 pandemic on the whole commercial aerospace sector; with air traffic demand having collapsed and recovery to 2019 levels not expected until 2024-2025. As a result, ITP Aero announced last July the need to reduce its workforce by 15% globally. This adjustment is well under way through the application of a combination of temporary (ERTE) and permanent adjustments, minimizing impact and protecting employment where possible. The announcement today does not change the need to adapt to a smaller market, but will have an overall positive impact on ITP Aero, increasing the scale and the capability of the company in the global market, and will help to partially mitigate workload in the areas affected in the mid-term.

The news today has no impact on Rolls-Royce’s announcement on 27 August 2020, in relation to a potential disposal of ITP Aero. Rolls-Royce’s preparation work continues and an update will be provided when appropriate. A potential sale of ITP Aero to a new owner could unlock new growth and investment opportunities for the company, by enabling it to attract further work from customers other than Rolls-Royce. Notwithstanding the outcome, ITP Aero is a key partner for Rolls-Royce and it will retain a long-term relationship with the business across its Civil Aerospace and Defence programmes.

Carlos Alzola, CEO ITP Aero, said: “Since the beginning of the pandemic, we have taken swift action to protect our business by both reducing our costs and looking for more business opportunities, while making ITP Aero more efficient and competitive. The announcement today is positive for ITP Aero and it demonstrates the continued confidence of Rolls-Royce in the company. We are excited about the significant opportunities that today’s proposals represent for ITP Aero and we are looking forward to working together with our new colleagues in Hucknall, focusing on maximizing opportunities and recovering  together from the dramatic impact of the Covid-19 pandemic.”  

ITP Aero will continue to be managed from Spain and headquartered in Zamudio, Biscay, with key locations in Spain, United Kingdom and Mexico.

More about ITP Aero

ITP Aero is a world leading company within its market, currently the ninth largest aircraft engine and components company in the world by revenue. Ranking among the top one hundred companies in the aerospace industry. The company employs over 4,000 people at its production centres in Spain, United Kingdom, Mexico, Malta and India.

ITP Aero includes among its activities the design, research and development, manufacturing and casting, assembly and testing of aeronautical modules and engines. It also provides MRO services for a wide range of engines for regional airlines, business aviation, helicopters, industrial and defense applications. ITP Aero operates as a corporate entity within the Rolls-Royce group.

Susana Herrero
Head of Communications
M: (+34) 610 260 992

Louis Trollope
Communication Specialist
M: (+34) 610 267 334

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