Aircraft / Aircraft Parts
Japan
Overview
(millions of US$) 2004 2005 2006(estimated)
Total Market Size 13,937 14,538 15,338
Total Local Production 8,828 9,387 9,603
Total Exports 2,528 3,467 3,917
Total Imports 7,637 8,618 9,652
Imports from the U.S. 6,696 7,416 8,226
(Note: These figures are unofficial estimates based on information obtained from the Ministry of Finance and the Society of Japanese Aerospace Companies)
Japan continues to offer a lucrative market for imported aircraft and aircraft parts, including aircraft engines. Long-term relationships — some spanning over fifty years — between U.S. aircraft and aircraft parts makers and Japanese manufacturers and trading firms has given the United States an overwhelming presence in Japan’s market.
In the civil aircraft market, Japan's two largest carriers, Japan Airlines (JAL) and All Nippon Airways (ANA), have consistently selected Boeing aircraft, including cargo freighters, virtually eliminating commercial aircraft orders from Airbus.
Annual production of Japan’s aircraft manufacturing industry is valued at approximately $10 billion. The industry is heavily geared towards meeting the needs of the Japanese Defense Ministry (MOD). Other production supplies frames, wings, and other parts and components to foreign aircraft manufacturers such as Boeing, Airbus, Embraer, and Bombardier. Of the total domestic production in 2005, defense orders accounted for 54 percent and exports for 27 percent.
Further growth in Japan’s industry is expected to result from international joint projects (such as Boeing’s 737, 777, and 787), domestic development of military patrol and transport aircraft, and feasibility studies of a new environmentally friendly small jet.
U.S. suppliers of proven aircraft and aircraft parts are well positioned for tapping into the coming decade’s expanding opportunities. New-to-market suppliers should consider partnering with trading firms that are knowledgeable about and connected to aircraft industry networks.
Japan is experiencing a boom in airport infrastructure development:
· the Central Japan International Airport (Centrair) opened in Nagoya in February 2005;
· Nagoya Airport recently was re-designated as a commuter flight base;
· Kobe and Kitakyushu Airports were completed in 2006;
· the Haneda, Narita and Kansai Airports are scheduled for further expansion.
These developments should create exciting opportunities for regional airlines and corporate jet operations.
Best Prospects/Services
Commercial aircraft and aircraft engines, business jets, helicopters, aircraft parts and supplies, avionics.
Opportunities
"Japan Aerospace 2008," October 1-5, 2008, at Pacifico Yokohama Convention Center, Yokohama, Japan, organized by the Society of Japanese Aerospace Companies (SJAC). For more information, please visit www.japanaerospace.jp/.
Resources
CS Japan Contact: Mr. Hisanao Aomori (Tokyo) Hisanao.Aomori@mail.doc.gov
Society of Japanese Aerospace Companies www.sjac.or.jp/