Airbus cuts must be even - French PM

French Prime Minister Dominique de Villepin said today he had discussed the situation regarding European planemaker Airbus with…

French Prime Minister Dominique de Villepin said today he had discussed the situation regarding European planemaker Airbus with German Chancellor Angela Merkel and called for Airbus' cost cut plans to be evenly split between countries.

Mr Villepin added in a statement that he and Merkel reaffirmed the need for France and Germany to co-operate closely over Airbus, which has been hit by production problems.

Airbus is under pressure to reorganise after delays to its A380 superjumbo and a costly redesign of the A350 hit finances that were already weakened by falls in the value of the dollar. Unions fear that up to 10,000 jobs could be cut through factory closures or by selling assets.

Some of them have urged the French government to increase its 15 per cent stake in EADS (Airbus parent). In Germany, around 24,000 workers walked out last week and threatened to delay plane deliveries if jobs were axed. Plane assembly is shared between France and Germany, while Britain and Spain also provide key parts for Airbus jets.