Maintenance firm Magnetic MRO has transferred a UK production centre to Estonia, in order to remain within the European Union given the uncertainty over the UK’s withdrawal from the EU.

The strategic decision affects its UK-based MAC Aero Interiors subsidiary, acquired in 2016, and has been taken as a result of “changes in the economic environment” in the country.

Full-year financial statements for MAC, filed last year, show it made a loss of £126,000 for 2018 and had net liabilities of £474,000.

Parent Magnetic MRO was profitable in the same year, with a surplus of €5 million on turnover of €87 million.

Magnetic says there is an “increased level of indecisiveness” in the UK market, and it is shifting the MAC work to its Tallinn operation, after a new facility was opened in January.

“We believe that our customers will benefit from the relocated facility of production, due to efficiency,” states MAC managing director Marko Manniste.

With production remaining in the EU, he adds, it will be able to “guarantee continuous supply” following the UK’s ‘Brexit’ withdrawal.

Magnetic says it has expanded its certifications to cover the MAC portfolio, and adds that the Tallinn operation – which has been established for a number of years – is now capable of carrying out the MAC work.