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Mitsubishi Heavy targets procurement costs for delayed jet

Conglomerate puts supplier negotiations under Kobe's wing, seeking lower prices

Development costs have soared for the Mitsubishi Regional Jet, whose ETA for clients has been delayed five times.

TOKYO -- Mitsubishi Heavy Industries looks to consolidate the procurement of parts for its much-delayed passenger jet, as the Japanese manufacturer works to deflate the project's ballooning development costs.

The Mitsubishi Regional Jet's development and production are distributed among regional offices, centered on the company's Nagoya Aerospace Systems Works in Aichi Prefecture. Different offices were contracting with suppliers separately, but Mitsubishi Heavy will assign procurement to a new civil aviation procurement center at the conglomerate's Kobe shipyard.

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