Boeing Finalizes 777X Contracts with Japanese Suppliers

Boeing announced that the company has finalized a deal with five Japanese partners to supply components for the new 777X aircraft. The deal tails a memorandum of agreement (MoA) between Boeing, Japan Aircraft Industries (JAI), and Japan Aircraft Development Corporation (JADC) to deliver approximately 21% of the major aircraft structure components. Components that are covered under the contract include fuselage sections, center wing sections, pressure bulkhead, main landing gear wells, passenger, cargo and main landing gear doors, wing components, and wing-body fairings.

Kent Fisher, the Boeing Commercial Airplanes supplier management vice president and general manager stated:

"Our Japanese industry partners have consistently performed to the highest standards and contributed enormously to the resounding success of the current 777. In working with us on the affordability goals of the 777X, they have modeled the kind of partnership and commitment needed to serve our customers and the changing demands of the marketplace."

Boeing has worked with several different Japanese aerospace companies in Japan for more than fifty years in to manufacture the next generation 737, 737 MAX, 747, 757, 767, 777, 787 Dreamliner aircraft models.

JAI is a conglomerate that consists of Mitsubishi Heavy Industries (MHI), Kawasaki Heavy Industries (KHI), Fuji Heavy Industries (FHI), ShinMaywa Industries (SMIC) and NIPPI Corporation (NIPPI). JADC is a non-profit organization set up to strengthen competition of the Japanese aircraft industry.

JADC chairman Shigeru Murayama stated:

"The JAI companies are investing in new facilities and introducing robotic and other automated systems to ensure they deliver high-quality products on time every time. This is a measure of their commitment to the success of the 777X."

Last year, Boeing procured over $5 billion worth of goods and services in Japan. By the end of the decade, Boeing is looking to procure about $36 billion worth in goods and services. The Boeing 777X family includes the 777-8X and the 777-9X, which have approximately 306 firm orders from six different customers. Boeing plans to begin construction of the 777X in 2017 with plans to deliver the first aircraft in 2020.

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