French manufacturer relocates to Morocco, cuts costs 3x

Morocco is establishing itself as the anchor point of the equipment manufacturer’s new economic strategy. Facing heavy financial losses in its industrial operations in France, weighed down by the explosion in raw material prices following the health crisis and the conflict in Ukraine, Daher is taking action. The group is launching an internal restructuring plan called "Edge". This program aims to shift the workload related to basic metal parts to more competitive areas, as the French Tarbes site is struggling to remain profitable on simple elements produced in large series.

On Bladi.net : French Daher Relocates Production to Morocco 2027

This industrial reorganization will be rolled out through two distinct projects by the end of 2027. The first phase involves entrusting the manufacturing of a thousand references of low-complexity parts to subcontractors based in Morocco. The second phase will transfer the assembly of composite and metal sub-section coverings for Airbus A320, A330 and A350 aircraft programs directly to Daher’s Tangier site. According to L’Usine Nouvelle, the operation will allow a return on investment in three years, with labor costs divided by three in Morocco.

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At the Hautes-Pyrénées site, this activity transfer will represent a reduction of several tens of thousands of working hours, without any destruction of permanent jobs. The sixty or so employees concerned will be reassigned internally, while around forty temporary workers will see their contracts end. This reduction in pressure on the French plant should allow it to make up for production delays. Above all, it offers the opportunity to free up industrial capacity to conquer new military markets linked to the war economy and prepare for the arrival of the future successor to the A320.