Howmet slides after Elon Musk unveils SpaceX turbine-blade casting plan (HWM:NYSE)

Howmet Aerospace, a manufacturer of components for the aerospace and defense industries, saw its stock price decline following Elon Musk's announcement regarding SpaceX's plans for in-house turbine blade casting. The company, which historically supplied SpaceX with these critical parts, is now facing a potential shift in its business relationship.

This development is significant because it indicates a move towards greater vertical integration by SpaceX, aiming to control more of its supply chain. For Howmet, it represents a loss of a key customer, potentially impacting its revenue and market position within the aerospace sector. The ability to cast turbine blades in-house could provide SpaceX with more flexibility, cost control, and rapid development cycles for its rocket engines.