Business & GA

Canada's federal government has announced a $19.6 million repayable investment in Diamond Aircraft's D-Jet, ensuring the all-composite, single-engined personal jet will be produced in London, Ontario.

Although Diamond is Austrian-owned, development of its first jet is under way in Canada at Diamond Aircraft Industries, where the piston-powered DA20, DA40 and DA42 are already produced.

"This investment will play a vital role in enabling our company to complete the final development, flight testing and certification of the D-Jet, and to complete our transition to production," says Peter Maurer, president of Diamond's North American operation.

                                                                                               © Diamond Aircraft

Diamond has orders for more than 300 of the five-seat, $1.4 million D-Jets, and plans to begin deliveries in August. About 50 are expected to be delivered this year and 125 in 2009, with production projected to reach 200 aircraft a year.

The Ottawa government's investment will be funded from the Strategic Aerospace Defence Initiative, launched in 2007 to support strategic industrial research and development projects. Including $11 million already received from the province of Ontario, government support totals about a third of the D-Jet's $95.2 million R&D cost.