Costs driving R-R out of UK
Rolls-Royce’s plans to build a greenfield factory in Singapore to manufacture and test the latest Trent engines came as no surprise given the increasing im

Rolls-Royce’s plans to build a greenfield factory in Singapore to manufacture and test the latest Trent engines came as no surprise given the increasing importance of the Asia Pacific region as a market for aircraft engines. Also, in recent years Rolls-Royce has been relentless in its quest to offload its cost base from Britain, where not only higher production costs but difficult economic conditions challenge the group’s ability to remain competitive.

According to Rolls-Royce’s chief operating officer Tony Wood, the company obtains between 70 and 75 percent–in terms of value–of Trent engines from an external supply chain that has been broken into 10 major commodity groups representing major engine subsets. “We’re fundamentally committed to globalizing the company,” he stated.