Boeing supplier Collins Aerospace is laying off 287 workers at its facilities in Iowa and California, according to the states’ Worker Adjustment and Retraining Notification posts.
The Cedar Rapids, Iowa, plant, which manufactures electronic equipment and components for commercial and military aircraft, laid off 160 employees on April 14. Additionally, Collins' parent company, RTX, laid off four of its employees at the same location.
Collins’ California facilities in El Segundo and Chula Vista will cut 8 and 119 workers, respectively, starting May 12.
RTX, which owns Collins, as well as aerospace firms Pratt & Whitney and Raytheon, has been initiating WARN Act letters nationwide over the past few months. RTX and Collins did not immediately respond to a request for comment.
RTX may need to tighten its purse strings over the coming months amid a global trade war initiated by President Donald Trump. The White House imposed a 25% tariff on Canada’s steel and aluminum as well as a 145% levy on China-based imports. China retaliated with a 145% tariff on U.S. goods and suspended exports of several critical minerals. All duties took effect last week.
The company's international business and operations are sensitive to changes in U.S. and foreign government policies, which include sanctions, trade restrictions and agreements, RTX said in a Feb. 3 securities filing.
“Events such as increased trade restrictions, retaliatory trade policies, or regime change can affect demand for our products and services, the competitive position of our products, our supply chain, and our ability to manufacture or sell products in certain countries,” the aerospace manufacturer said in the filing.
RTX has done business in China for years through Raytheon. China’s government sanctioned Raytheon’s missiles and defense segment in February 2023 and planned additional measures against RTX for military sales to Taiwan after the company transformation later that year. The sanctions included a fine equal to twice the value of the weapons sold to Taiwan, according to the February filing.
Since then, China has announced additional sanctions against Raytheon as well as a Collins Aerospace joint venture. RTX said if China were to impose additional and enforced sanctions against them or their suppliers, affiliates or partners, it could disrupt their business operations. Additionally, China-related import and export activities could have an adverse impact on RTX’s ability to do business or sell its commercial aerospace products in the country.
