GE Aerospace Acquisition of CPP Seen as Positive for Industry

Honeywell Aerospace's CEO Jim Currier sees the planned $12 billion acquisition of Consolidated Precision Products (CPP) by GE Aerospace as 'positive for the industry overall.' The deal aims to address jet-engine supply bottlenecks, which have been a major challenge in the aerospace sector. CPP makes high-demand parts that are difficult to mass-produce.

Currier pointed out that Honeywell Aerospace does not compete with CPP and has no overlap within its portfolio. He said, 'Actually, I view that as being a positive for the industry overall. The type of parts that we receive from CPP are very different than the type of parts that GE receives from them.'

Currier noted that Honeywell Aerospace has been taking steps to bring back core technologies and capabilities it had outsourced between 2010 and 2019. He added, 'But is there more to be done relative to that? Absolutely.' The company is considering vertical integration through 'bolt-on M&As' to prioritize bringing back these capabilities.