A politically inspired boycott of next month's Paris air show could backfire on US defence and aerospace companies
Next month thousands of aerospace professionals representing hundreds of companies and organisations will gather at Le Bourget airport, north of Paris, and take part in the 45th Salon - the Paris air show. Attendees will arrive from the four corners of the Earth and reflect every aspect of our truly diverse industry.
One nation, however, will be less well represented than at previous shows - the USA, which is officially limiting the presence of its military, while increasingly its senior company executives are turning their backs on the show.
Since the 11 September terrorist attacks all aerospace and defence shows have battled against a weak economy and the resulting scaling back of attendance. In the past 18 months many have suffered poor support, despite the claims of organisers.
It is not necessarily that fewer companies have exhibited, but they have typically reduced the scope of their exhibit as well as the number of representatives. This has been matched by a reduced number of visitors as aerospace markets shrink to a shadow of their former selves.
There is no doubt that economic pressures will have an impact on this year's Paris Salon. And it is possible the SARS virus - although not a problem in France - will also have an effect.
But it is for another reason that the US presence will be scaled back: it is government inspired. The US Department of Defense last month ruled that its most senior representatives will be colonels and equivalent ranks. This effectively prevents traditional attendees such as programme executive officers from travelling to Paris. Without high-ranking officials in attendance, many believe that senior company executives are less likely to travel thousands of miles to meet other officials of comparatively low ranks.
The DoD's move follows calls in Congress - which must approve the level of US military attendance and the associated cost - to boycott the show altogether as a response to France's lack of support for the war in Iraq. It is not hard to believe that with the obvious cooling of the Franco-US relationship, that Washington is not going to do anything to encourage its industrialists to spend money in Paris. A US attempt to avoid bolstering French coffers would likely be too late as companies paid for stands months ago. And where will such action end? Will the shows of other nations viewed as truculent by Washington be next - will the Moscow show in August be affected? Will Berlin in May next year face a similar ban?
Boycotts and minimal attendance, however, are risky actions as aerospace is a cut-throat business and US companies can be sure their rivals will make the best of the opportunity. Meeting clients and potential customers is what air shows are about - if you're not there, the opportunity does not present itself. Imagine how Airbus will enjoy itself if arch rival Boeing is absent, think how Dassault and Eurofighter will make hay while Lockheed Martin kicks its heels on the other side of the pond.
While many companies will say they do little new business at a major exhibition, such events are filled with informal and formal gatherings as the wheels of numerous relationships are oiled. It may be true that the likelihood of someone wandering on to a stand and ordering several billion dollars of aerospace equipment is remote. But inviting a potential client to the show to discuss their needs and to demonstrate your capability is a time honoured way of doing business. If air shows are such an unsatisfactoryway of doing business, why are they so busy? Why are companies' chalets such a popular venue?
And although it is a cliche to say it, aerospace is a global business. As a result, US companies are partnered with their European counterparts. The largest co-operative programme is the Joint Strike Fighter, which involves five European nations, although not France, Germany, nor Russia. Other programmes such as the MEADS surface-to-air missile systems and the NATO air-to-ground surveillance programme do, however, link US firms with those from these countries.
Air shows provide access to that market and with the industry in such turmoil would it not be better to attend Paris and let the politicians resolve their differences in other ways? It is time to show industrial solidarity, not pander to political whim. Politically inspired boycotts help no-one. By the end of the show, the absence of many top officials will probably have gone unnoticed by most attendees. Those that do notice will be those most important: the customers.
Source: Flight International
