Japanese Firms to Help Build Boeing 7E7

Boeing Co., the world’s largest airplane maker, said 35% of the structure of its proposed 7E7 Dreamliner would be made by Japanese companies Mitsubishi Heavy Industries Ltd., Kawasaki Heavy Industries Ltd. and Fuji Heavy Industries Ltd.

Mitsubishi, Kawasaki and Fuji will make most of the wing components for the 7E7, while Kawasaki and others will produce the midsection, Boeing said. Alenia Aeronautica, a unit of Italy’s Finmeccanica, and closely held Vought Aircraft Industries Inc. in Dallas will make the rear fuselage.

Japanese participation lets Chicago-based Boeing cut the 7E7’s development costs. The new plane is being designed to be less expensive to operate and will fly the same kind of routes as 767 and 757 aircraft. Tokyo-based Mitsubishi Heavy and other Japanese makers have been seeking aerospace contracts to counter the loss of shipbuilding work to lower-cost rivals in China.

The Japanese manufacturers and Boeing are major shareholders in Japan Aircraft Development Corp., a joint company that oversees local work on Boeing aircraft. Boeing’s Japanese partners build about 20% of the 777 aircraft and 15% of the 767.

The first 7E7 is scheduled for delivery in 2008.

Boeing’s shares fell 5 cents to $39.35 on the New York Stock Exchange. They have risen 24% over the last year.