Boeing, Mitsubishi Heavy Industries reach agreement on cost reduction for 787 production

Boeing and Mitsubishi Heavy Industries (MHI) have reached an agreement to strengthen collaboration in ways that will enhance both companies’ competitiveness. The agreement includes efforts to reduce costs in MHI production of wings for the 787 Dreamliner and joint studies of advanced aerostructure technologies for future-generation commercial aircraft. MHI manufactures 787 composite wings at its factory in Nagoya. The agreement aims to enable sales by pursuing increased efficiency in MHI’s production system and its supply chain through lean production methods, automation and other activities. MHI’s work statement for Boeing Commercial Airplanes also includes fuselage sections for the 767, 777 and 777X programs. In total, about 150 Japanese companies are suppliers to Boeing across its commercial and defense product lines. Boeing procures approximately US$5bn worth of goods and services from Japan every year, and Boeing-related work supports tens of thousands of highly skilled aerospace jobs in the United States and Japan.