22 June 2010 1

Montreal-Hiroshima Regional Industry Tie-up (RIT) Program

Overview of program and industry in Hiroshima

For Québec Industry

22 June 2010

22 June 2010 2

ContextContext

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Where in the world is………

The old and the new

“Peace City”

Population: 1.1 million

Hiroshima

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The initiative is based on sister city relationshipThe initiative is based on sister city relationship

• Mayor of Hiroshima Dr. Akiba has visited Montreal– Built mayor to mayor relationship– Perceived Montreal as a like-minded city

• He noted the importance of aerospace– Aerospace delegation to Montreal in 2008 visited– Bell Helicopter Textron Canada, Bombardier Aerospace, CAE, Heroux

Devtek, Sonaca NMF Canada

• Decision to launch a Regional Industrial Tie-Up (RIT) initiative– Aerospace focus– Development of SMEs– Emphasis on technology development

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An overview of Hiroshima’s aerospace An overview of Hiroshima’s aerospace industryindustry

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Largest Hiroshima industry is automobileLargest Hiroshima industry is automobile

• Mazda headquarters and assembly lines– Many auto suppliers; some looking at aero– Are any auto competencies transferable?

• There is a significant aerospace industry• Strategy: develop aerospace for better balance • Historically shipbuilding & repair was the major

industry– Still exists but scaled-down– Industrial infrastructure on the coastline– Used by large aerospace companies

• Hiroshima has recently formed aerospace “Industry Study Group” – Pseudo industry association– 12 aero and 20 auto companies

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The most significant aerospace company is IHIThe most significant aerospace company is IHI

• IHI (Aerospace) specializes in gas turbine engines– 3,000 plus employees

• Five main activity categories1. Tier 1 supplier to Rolls-Royce, GE and PW (civil engines)

2. Participant in IAE (V2500) via Japan Aero-Engine Company (JAEC)IAE also includes P&W, Rolls-Royce and MTUJAEC: Fan and LPC

3. Final assembly of (mainly) US-origin engines for Japan military

4. Indigenous engines For Japan militaryF3 for KHI T-4 trainerF7-10 turbofan engine for KHI P-1 patrol aircraft

5. Aftermarket services mainly for Japan military

• Hiroshima area factory (one of 4 in Japan) specializes in:– Machining and surface treatment especially large shafts

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IHI and Mitsubishi Electric have developed IHI and Mitsubishi Electric have developed coating/cladding technologycoating/cladding technology

• MSCoating: Micro Spark Coating– Micro pulse electric discharge– Metal and ceramics – Electrode-surface distance 50 microns, servo-controlled– Pool size of melted metal on surface 50 microns

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The naval heritage is still alive: IHI The naval heritage is still alive: IHI KureKure

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Other notable aerospace companies include:Other notable aerospace companies include:• MHI

– Assembly of Boeing 777, 747 and 767 fuselage sections– Assembly of S-92 centre fuselages (moving to India?)

• Conventional assembly technology, predominantly aluminium– MHI also has industrial steam turbine and gas turbine

manufacturing• (Relationship with Bombardier……..)

• Suppliers to IHI– Machining companies: very capable

• Shaft specialization• No surface treatment, limited NDT?• IHI attempting to help them build broader capability and offload

• Toyo Advanced Technologies– Corporate HQ in Hiroshima: a local champion– Spin off from Mazda– Hard coatings (PVD/CVD/PPD/DLC)

• Acquired coating expertise on rotary engine sealing?– Machine tools

• Specialize in H and V internal grinding

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There are other competencies….There are other competencies….

• Ishii Hyoki– Electronics fabrication. Specialty in displays and HMI

• Mukai– In-situ grinding/polishing of NC machine spindles

• Mitsubishi Rayon– Composite materials

• Primary fabrication including PAN carbon

• Shikibo– Preforming including 3D weaving

• Shinkawa– Vibration sensing products and services

• Used on industrial GTE and aero test systems but not on-aircraft

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Attempts are being made to involve MazdaAttempts are being made to involve Mazda

• R&D department• They presented developments in injection moulding

– Improve mechanical properties (esp. impact resistance)– Use in place of compression moulding– High volume application on auto interiors

• Potential auto-aero cross-over areas:– Interiors: Fire/smoke/toxicity?– Automation and robotics?– Tooling and manufacturing engineering?– ??

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Where are we in the RIT process?Where are we in the RIT process?

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This RIT program is now in year 2 of 3This RIT program is now in year 2 of 3• Year 1:

1. Visit to Montreal in October 2009• Hosted by CRIAQ with AQA• University/research focus

– Included “industrial advisor” … IHI employee• Decision to focus initially on targeted R&D

– Based on CRIAQ International model..– Start with Universities and perhaps AMTC

2. Visit to Hiroshima in March 2010– CRIAQ (André). Our leader– AMTC (CFTA) Helmi Attia– Coordinator

• Seminar: presentations by Hiroshima companies and visitors• Visits to IHI, two IHI suppliers, MHI and Mazda• Visit to University of Hiroshima (second exchange)

3. One day opportunity visit by Philippe Bocher, ETS

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Next steps during year 2 include industryNext steps during year 2 include industry

• Implement initial R&D activities– Perhaps short-term student and researcher exchanges– With University of Hiroshima– Get to know each other

• Ensure industrial relevance of focus• Create awareness in Quebec industry and identify interest

– OEMs for market pull– SME community (this event plus follow-up)

• Planned visit by Hiroshima delegation to Montreal– October or November 2010– Including industry

• Planned visit to Hiroshima in early 2011– Including industry

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For more photographs contact:For more photographs contact:

……………AndréHe out-photographed the JapaneseAnd the photos are very valuable for relationship building with “visually-oriented” Japan.

André has also developed contacts in Japan outside of Hiroshima

Contacts:JETRO Toronto:Tyson Garbe416 861 0000 local 227Tyson_Garbe@jetro.go.jp

In Montreal:Keith Meredith, Aeroinsight514 695 6921keithm@aeroinsight.com

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ExtrasExtras

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A RIT is:A RIT is:• Japan national program with regional/city focus

– Primary objective is benefit to SMEs– Also focus on technology development

• Typical RIT has three year life• Participating Japanese organizations:

– Ministry of Economy, Trade and Industry (METI)• Provides funding

– Japan External Trade Organization (JETRO)• International trade and investment• Administers program in Japan and in-country• JETRO office in Toronto

– Strong interest from City of Hiroshima led by Mayor

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IHI detailsIHI details• JAEC has 23% ownership.

– IHI has around 60% of the JAEC workpackages– Substantially responsible for the fan and fan casing.

• JAEC has a 15% RRSP participation in the GEnx. – IAE has 13% of that 15%. – Work package includes LPT, long shafts and HPC airfoils.

• CF34-8, -10– LPT, fan rotor, HPC blades,

• GE90– LPT rotor, long shafts

• RR Trent 500/800/900– Shafts, IPC disks, LPT and IPT blades

• PW4077– LP shaft