Off for Space Jet: Japan discontinues billion-euro project – economy

15 years ago the ambitions were huge. Three Japanese companies – Mitsubishi, Kawasaki and Fuji (today Subaru) – had joined forces to finally achieve a breakthrough in civil aircraft construction. If the Brazilian manufacturer Embraer had managed to establish itself in an industry previously dominated by Europeans and North Americans, then it should also be possible for a Japanese consortium with this technical and financial background to play a role on the world stage Think.

The dream of an independent Japanese commercial aviation industry has finally burst. Mitsubishi Heavy Industries (MHI) officially announced the end of the space jetprogram known. “A lot of time and large amounts of money were spent on this project,” says MHI boss Seiji Izumisawa. “Because of the pandemic and the ensuing pilot shortage, the future of regional aviation remains unclear.” MHI had already announced a “temporary break” for the program at the end of 2020, which anticipated the end in a cryptic way.

At the Space Jet is a large regional aircraft that was to be built in two versions with up to 100 seats. It was therefore smaller than the Airbus and Boeing machines and therefore not a direct competitor for them. The program was launched in 2007 and the first aircraft were to be delivered to All Nippon Airways in 2013 after a development time of around six years, which is customary in the industry. But the prototype of the aircraft, then called Mitsubishi Regional Jet, did not fly until 2015. The manufacturer had to postpone the delivery date a total of six times before the corona pandemic actually made every new start pointless. Some hair-raising mistakes in development cost billions. In total, the companies involved and the Japanese government have to write off more than seven billion US dollars for the project that has now been discontinued.

China is now also building its own civilian aircraft

The disaster shows how difficult it is to gain a foothold in industry as a system leader. Japan has long been an established and valued Boeing supplier, especially for long-haul jets 787. But running your own program is something else entirely. Brazil’s Embraer has also managed to do this because the company has continuously developed its own aircraft since it was founded in the 1960s, initially small ones. Today, the largest Embraer aircraft has room for up to 140 passengers.

China has also made the long journey of building its own civilian aircraft. The regional jet ARJ-21 is now in use with Chinese airlines, it was delayed just as long as the Space Jet. The Comac C919a direct competitor to Airbus A320 and the Boeing 737, is expected to start its first scheduled flights this year. Neither of them are technically competitive ARJ-21 nor the C919. But they are politically supported, Chinese airlines have to use the machines – whether they want to or not. The next generation of aircraft from China could then become more dangerous for western manufacturers. Russia has withdrawn itself from the international aviation business because of the war against Ukraine, Western suppliers have stopped working because of the sanctions.

While the Japanese industry largely failed due to its own mistakes, the end of the Space Jet indirectly cause for concern at Embraer. Today’s machines will sooner or later no longer meet stricter environmental standards. Investments must be made, but no longer in conventional concepts, but in new technologies such as hydrogen or electric drives. And in the USA, the most important market, there has been a major shortage of pilots since the big airlines have been massively poaching crews from the smaller providers with the help of higher salaries.

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