About 40% of the titanium for Boeing jets is currently sourced from Russia and VSMPO. VSMPO (???????????????? ???????????????? ???????????????? ???????????) is the largest titanium producer in the world, and has extensive relationships with Boeing and other aerospace manufacturers, as outlined in this article from Defense Industry Daily in 2012.
What would happen if the current crisis in the Ukraine impacts trade between Russia and the United States? Would Boeing need to shift its supply of titanium to other sources, and could those other sources ramp up production quickly enough to maintain projected production volumes?
Airbus is also a major customer of VSMPO, and may face a similar situation, depending on the EU stance on issues. Should this become a NATO issue, France may also find itself in a similar position with respect to Titanium.
Stay tuned, as the secondary impacts of any crisis may not be easy to predict. Let’s hope that the parties can mutually find a diplomatic solution without disruption of global supply chains.
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