ANDREW DOYLE / TOKYO

Airbus set to announce A380 contracts early next year

Airbus is set to announce an initial tranche of Japanese subcontractors for the A380 early next year as part of long-term plans to give Japan up to 8% of production work on the ultra-large airliner programme.

Japanese industry has traditionally had strong ties with Boeing, but is stepping up co-operation with Airbus following the latter's success in growing its global market share. Japanese industry will also be heavily affected as a result of Boeing's decision to cut production rates after the US terrorist attacks. The additional Airbus work will help spread risk by reducing reliance on a single customer.

"The pace of discussions has been quicker than expected," says Airbus Japan president Patrick Carroll. Airbus is speaking to "up to 15 companies" about A380 work packages, although they will not necessarily all participate, he adds.

A second tranche of Japanese subcontracts are likely to be concluded during the second quarter.

Airbus had invited Fuji, Kawasaki and Mitsubishi Heavy Industries to jointly take a substantial risk-sharing stake in the A380, but the offer was rejected earlier this year for fear of jeopardising their links with Boeing. The three companies, plus Nippi and ShinMaywa, are likely to take a risk-sharing stake in Boeing's proposed Sonic Cruiser.

The A380 packages on offer to Japan include major parts of the airframe, some of which are likely to be manufactured from composite materials. Companies that sign up will have a hand in the design and development of their components, and production contracts covering parts for a fixed number of aircraft will be signed at a later date.

A small number of components for the A320 and A330/340 families are already manufactured in Japan.

Source: Flight International