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Business

Toray wins big Boeing contract

May 31, 2004 | APPEARED IN VOLUME 82, ISSUE 22

Toray Industries has signed an 18-year contract with Boeing to supply carbon fiber for the 7E7 jet, now under development. Each aircraft will require about 30 metric tons of carbon fiber, a light material that will help maximize fuel efficiency. Boeing expects to produce 1,500 7E7s during the contract period, bringing Toray $2.95 billion in sales. To supply Boeing, Toray will invest about $145 million to build a plant in Alabama that will help increase its carbon fiber capacity to 11,000 metric tons per year by 2006, about half of current world capacity.

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