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Reverse Engineering in Supply Chain: White House Discussing Block of Increased GE Jet Engine Sales to China
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In an ever-competitive global market, industries have looked toward any slight advantage over rival businesses. One method of bridging gaps in tech or design in your product is through a method known as reverse engineering. Merriam-Webster defines reverse engineering as, “to disassemble and examine or analyze in detail to discover the concepts involved in manufacture usually in order to produce something similar”.
The Wall Street Journal and CNBC are reporting a White House discussion to potentially halt an increased number of engine deliveries into China by international business partners Safran SA and GE Aviation. As defined above, President Trump’s fear is China utilizing the process of reverse engineering to disassemble the jet engine giants LEAP line. While reverse engineering is still a theory, a Chinese man was charged for espionage in attempting to steal trade secrets from GE Aviation in 2018.
From the Journal and CNBC, the same model engines have been in the country for quite some time. Also noted from sources below, GE engineers are stating that taking these engines apart isn’t as simple as the White House may believe.
With GE recording a stronger than anticipated 2019, and GE Aviation standing out as one of the main contributors to 2019’s success, GE will continue to voice their disapproval until the White House Cabinet discussion on February 28th.
With ongoing trade tension, between the US and China, Allyn International stays updated on the current events impacting international trade and supply chain markets.
Contact consulting@allynintl.com with any questions or inquiries regarding the trade war or supply chain issues affecting your business.
Contributor: Corey Hosch
References:
https://www.merriam-webster.com/dictionary/reverse%20engineer
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