TOKYO (CBS.MW) -- Honda Motor on Tuesday announced plans to enter the piston-engine business for small airplanes by joining hands with Alabama-based Teledyne Continental Motors.

The announcement marks Honda's first foray into the commercial aviation engine market after Japan's No.2 automobile maker launched research of turbo-ban engines in 1986.

Honda (HMC: news, chart, profile) and Teledyne Continental, a subsidiary of Teledyne Technologies (TDY: news, chart, profile), will begin a market feasibility study for next-generation piston aviation engines for two- to four-seat airplanes with a view towards marketing such products in the U.S.

Taking advantage of piston technology amassed through manufacturing motorcycles, Honda spent the last two years developing lighter engines with higher fuel efficiency.

Over the next several months, they will evaluate potential business opportunities to work together toward marketing, servicing and manufacturing, and identifying potential product launch customers for such engines, Honda said in a statement.

A Honda spokesperson declined to provide further details of the engines, but said similar models would be priced at $18,000 to $30,000.

The U.S. small airplane market, the biggest in the world, has seen annual demand for planes at 2,000 to 3,000 units and that for engines at about 10,000 units.

Honda is one of the world's leading manufacturers of engines, with production of more than 15 million units last year.

Honda's shares (JP:7267: news, chart, profile) closed down 70 yen, or 1.6 percent, at 4,360 yen.

Shares of Teledyne Technologies ended Monday's session down 25 cents, or 1.96 percent, at $12.50.

 

Teledyne and Honda to Study Business Opportunities for Next Generation Aircraft Piston Engines
Monday March 3, 9:00 pm ET

LOS ANGELES--(BUSINESS WIRE)--March 3, 2003--Teledyne Technologies Incorporated (NYSE:TDY - News) announced today that Teledyne Continental Motors, Inc., and Honda Motor Co., Ltd. (NYSE:HMC - News) will begin a joint feasibility study for a next-generation piston aviation engine currently in development by Honda. Over the next several months, the joint study will evaluate potential business opportunities for both parties to work together toward marketing, servicing, manufacturing and identifying potential product launch customers for these engines for the general aviation market.
The announcement follows approximately two years of cooperation between the two companies on the testing of a prototype Honda-designed aviation piston engine at the Mobile, Alabama facility of Teledyne Continental Motors (TCM). Honda's piston aviation engine technologies derive from its research and development of motorcycles and automobiles. With support in the development process based on TCM's aviation expertise and know-how, Honda has developed a prototype piston aviation engine that has achieved the technical potential for being significantly advanced over currently available engines in terms of weight, fuel efficiency, power output and emissions. Honda, TCM and Teledyne have agreed to conduct a joint feasibility study as the next step in their relationship.

General aviation powerplants include piston, turboprop, and turbofan engines. In addition to previously announced research on turbofan engines, Honda has also been researching and developing more cost-effective aircraft piston engines since 2000.

 

they are doing the reverse of BMW. BMW started off making planes and switched to cars after WWII when they were forced to.

 

Wow this is good to hear. The idea of Honda airplanes sounds cool. As far as Honda making commercial airplanes... that is unlikely. With the two giants Boeing and Airbus, there is no room for anyone else to enter the market. But I'd like to see what a Honda commercial airliner would look like. And why would anyone be afraid to fly on a Boeing?? They're the only US manufacturer that makes a QUALITY product hehe. :fawk: