MHI, IHI & DBJ Join Forces On Investments

By Joseph R. Fonseca
Monday, September 01, 2014

 

Mitsubishi Heavy Industries, Ltd. (MHI), IHI Corporation and the Development Bank of Japan Inc. (DBJ) concluded a three-way formal agreement today on their respective investments into a new commercial aero engine company, Mitsubishi Heavy Industries Aero Engines, Ltd., to be launched on October 1. The new company will succeed to MHI's business in commercial aero engines under a company split action, as MHI previously announced on March 31 and August 28.

To solidify its position as a partner company in joint international development programs in the commercial aero engine market - where continuous and robust growth is expected - the new company will focus on improving its financial base. It will also pursue enhanced competitive operation by improving productivity through the formation of a large-scale cooperative production.

Specifically, in the area of low-pressure turbine blades, a product expected to mark increased production in coming years, the new company will forge long-term cooperative production ties with IHI that possesses one of the world's leading production capacities in this field. Initiatives will also be directed toward creating a wholly integrated supply chain for engine parts - an area that demands advanced machining technologies - by supporting cooperative enterprises of the new company and forging an industrial cluster. With these various undertakings, the new company will progressively enhance its competitive strength and build a strong presence within the international markets. As the major shareholder of the new company, MHI will carry out its responsibility for the new company's business management and continue to provide support in material procurement and research & development activities, etc.

IHI has opted to make a modest capital investment into the new company, considering that the commissioned production of low-pressure turbine blades for the new company will be a long-term cooperation. IHI expects the production cooperation will further strengthen cost competitiveness of its world's leading blade production plants in Soma, Fukushima, through further enhancement of its capability in securing low-pressure turbine production volume with greater stability.

DBJ has supported Japan's aircraft industry over the course of roughly 30 years, tracing back to its predecessor before undergoing incorporation in 2008. In the present instance again, the bank is committed to providing backup support to strengthen the global competitiveness of Japan's aero engine industry, through provision of risk money to the new company, leveraging Fund for Japanese Industrial Competitiveness.

MHI, IHI and DBJ aim to work closely with the newly launching company and pledge to provide their full support to the new entity's business development.

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Oil Price Shock Soon to be Positive Overall for Canada

Canada's economy will start to show more positive effects from the drop in oil prices than negatives from the second quarter onwards, Bank of Canada Governor Stephen Poloz said on Friday.

Total Eyes Sale of its Fuel Retailing Business in Turkey

Total aims to exit its fuel distribution business in Turkey and has asked Societe Generale to lead the sale, sources said on Friday, as the French oil producer

MISC Says AET Tankers Unit Not for Sale

MISC Berhad issued a statement today addressing recent market speculation that the company is set to sell its wholly owned petroleum tanker subsidiary AET Tankers.

Marine Power

Incat Crowther Designs Commercial Security Vessel

Incat Crowther has received a contract to design an offshore commercial oilfield security vessel for Veecraft Marine and its client, UTM Dredging Ltd, the designer announced today.

SCHOTTEL to Present Inland Offerings

SCHOTTEL will present its expertise to the U.S. inland market at the upcoming Inland Marine Expo in St Louis, June 15-17, 2015: strong push boats in Brazil, big

MHI to Shift Operations from Yokohama Kanazawa

Mitsubishi Heavy Industries, Ltd. (MHI) and Mitsubishi Hitachi Power Systems, Ltd. (MHPS) have decided on a policy to transfer operations currently performed

Marine Materials

HMS Prince of Wales Bridge Sets Sail

The bridge section of the second Queen Elizabeth Class aircraft carrier set sail today from Glasgow on its first sea voyage to Rosyth.   Upper Block 07 is where

Rotork Acquires Masso

Rotork announced it has acquired Masso Ind s.p.a., a manufacturer of shipboard valve remote control systems (VRCS), to enhance its range of flow control products

Naust Marine Wins Huge Winch Order

58 electric winches for two new fishing trawlers   Hradfrystihusid Gunnvor (HG) and Vinnslustodin (VSV) recently awarded Naust Marine contracts to provide a complete

News

Two Rescued from Sinking Shrimp Boat

Two fishermen were rescued from their sinking shrimp boat by a U.S. Coast Guard aircrew Friday off the coast of Saint Simons Island near Brunswic, Georgia.   Watchstanders

IMO: Making Ferries Safer

The International Maritime Organization (IMO) domestic ferry safety conference in Manila April 24 has adopted guidelines to aid the process of reducing the mounting

Judge Orders Migrant Boat to Remain in Custody

An Italian judge on Friday ordered that the presumed captain of a migrant boat that sank with the loss of more than 700 lives should remain in custody after prosecutors

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Offshore Oil Pod Propulsion Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2095 sec (5 req/sec)