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Southwest Aviation: The industry is flying out of the Corona hole

Suppliers in the country are returning to pre-pandemic levels. Prime Minister Kretschmann opens the world’s first production of laser terminals for satellites at Tesat-Spacecom in Backnang.

It was an event that would please politicians: At Tesat Spacecom in Backnang, Prime Minister Winfried Kretschmann was able to inaugurate a new production building costing 20 million euros. The company, which is part of Airbus Defence and Space, can produce up to 100 laser terminals for satellite communications every month in the world’s first facility of its kind. “Baden-Württemberg is one of the most successful locations for the aerospace industry,” said the Prime Minister. The aerospace strategy adopted in 2023 under the progressive-sounding title “The aerospace Länd” is intended to further advance the industry. 42 million euros have been earmarked for this.

Back on the growth path

Dates like the one in Backnang could be milestones. In aerospace in particular, where fast drives and high speeds are key, progress has been rather slow in recent years. What was missing was a strong drive. This also applies to Baden-Württemberg, which, along with Bavaria, is the most important German location for aerospace. According to the latest data, the 16,000 employees generated sales of just over five billion euros. Sales and employee numbers are thus back at roughly the same level as in 2019. “There is now growth again. Aerospace is flying out of the corona hole,” says Professor Rolf-Jürgen Ahlers, Chairman of the Baden-Württemberg Aerospace Forum.

Southwest is a space focus

The German Aerospace Industries Association (BDLI) confirms that new heights are now being reached again: Although the number of employees has only increased slightly since 2019, from 114,000 to 115,000, sales increased from 41 billion euros to 46 billion euros last year. “The upward trend is likely to continue in the current year,” says BDLI spokesman Johannes Leiber. Baden-Württemberg plays an outstanding role: according to the Stuttgart Ministry of Economic Affairs, one in three of the 115,000 employees in the aerospace industry nationwide work in the southwest. The German Aerospace Center (DLR) in Lampoldshausen near Heilbronn is known for its tests of the European launch vehicle “Ariane”.

Top values ​​in research and development

The industry invests around 17.5 percent of its turnover in research and development. This can also benefit others: “Aerospace is a driver of innovation far beyond its own industry,” says Economics Minister Nicole Hoffmeister-Kraut.

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