Mitsubishi reassures on plane

Japan’s Mitsubishi Heavy Industries is on track to deliver its repeatedly delayed commercial jet by mid-2020, the head of its aircraft unit said, despite acknowledging a risk of an order cancellation.

The Mitsubishi Regional Jet (MRJ) aircraft has been delayed five times from an original delivery target of 2013, leading to spiralling costs, engineering analysts said yesterday.

In addition, they said since news in December that an order for the aircraft from Eastern Air Lines was “likely to be lost” there had been further questions asked about the outlook of the project.

“We are proceeding pretty much in line with plans,” said Hisakazu Mizutani, president of Mitsubishi Aircraft Corp, referring to the mid-2020 deadline. “We can just about make it.”

He was speaking to reporters in Nagoya on 8 December, on the condition that his comments not be published until the New Year.

Mizutani said the planemaker was at risk of losing Eastern Air Lines’ order for 20 MRJ aircraft with an option for 20 more, but that it was “continuing conversations” with the airline.

Mitsubishi Aircraft said the order has not yet been cancelled.

Overall, the Mitsubishi unit has orders for 233 of the 90-seat aircraft, the company has said previously, and aims to sell more than 1,000 of the planes over the coming two decades.

Buyers such as ANA Holdings have pledged that they have no plans to cancel orders despite the repeated delays in delivery.

Mitsubishi Aircraft is majority owned by Mitsubishi Heavy Industries, with Toyota Motor Corp and Mitsubishi Corp also holding stakes.