Latest news with #KantaroKomiya
Yahoo
7 days ago
- Business
- Yahoo
Japan's reusable rocket startup ISC eyes US test launch in December
By Kantaro Komiya YOKOHAMA (Reuters) -A Tokyo-based rocket startup said on Wednesday it will test-launch a prototype in the United States in December using an American engine, aiming to achieve the first U.S.-Japan joint commercial launch and address Japan's rocket shortage. The global race for commercial launch vehicles has been driven by SpaceX, which on Tuesday conducted a ninth test for its fully-reusable Starship. U.S. rivals including Blue Origin and companies in China and Europe also have reusable launcher plans. But Japan lacks cost-competitive launchers at home, which the government sees as a bottleneck in its efforts to double the domestic space industry's size to 8 trillion yen ($55.4 billion by the early 2030s. Innovative Space Carrier (ISC) said its ASCA 1.0 reusable launcher will conduct a 100-metre (109-yard) flight and landing test in Spaceport America in New Mexico, using a Hadley rocket engine from U.S.-manufacturer Ursa Major. Starting at a low altitude, ISC will repeat "ninja training-like" tests towards the goal of building an orbital launch vehicle by 2028 to cater to emerging Japanese satellite makers, ISC chief executive Kojiro Hatada told a press conference. "Japan's space industry needs its own space transportation there's no need to do everything ourselves to achieve it," he said at partner JFE Engineering's factory near Tokyo. Founded in 2022 by former government official Hatada, ISC has signed partnerships including with the British 3D printer firm WAAM3D to fast-track the launcher development. ISC has secured Japanese government's rocket development subsidies along with Space One and Toyota-backed Interstellar Technologies. It aims to lower the per-launch cost of a rocket capable of lifting a 100kg (220.46 lb) satellite to space to 500 million yen in the long run, Hatada said. Ursa Major's Hadley engine has been used by U.S. company Stratolaunch for hypersonic vehicle tests and been granted a U.S. export control permit so that it can be equipped on an ISC rocket. With ISC, "we look forward to continuing the partnership to further safe, cost-effective access to space," Ursa Major Chief Growth Officer Ben Nicholson said in an emailed statement. ($1 = 144.3400 yen)
Yahoo
22-05-2025
- Business
- Yahoo
Exclusive-US-China trade truce may ease Komatsu's tariff pain by $140 million, CEO says
By Kantaro Komiya and Miho Uranaka TOKYO (Reuters) -Komatsu should see a nearly 20 billion yen ($140 million) mitigation in the impact of U.S. tariffs on its bottom line after the U.S.-China trade truce last week, the Japanese company's CEO said, suggesting its outlook for lower profits may not be as bad as feared. With more than one-quarter of Komatsu's sales coming from North America, the reduction in the tariff impact - a roughly 20% easing in its forecast of a 94.3 billion yen hit from the tariffs - would have an outsized effect on its profit outlook. In an interview with Reuters on Wednesday, Takuya Imayoshi, the head of the world's second-largest construction and mining machinery maker, did not say it is officially revising its forecast last month of a 27% drop in current-year profit as a result of U.S. President Donald Trump's tariffs. But the 90-day pause of extra U.S. tariffs on Chinese imports may mitigate the impact on Komatsu, which buys Chinese steel for its American-made machines, he said. "Countries' retaliatory tariffs haven't been like what we previously feared, so the negative impact on our performance appears limited," he said. The company forecast operating profit would be 478 billion yen for the business year to March 2026 because of the tariffs and a stronger yen, a far more conservative outlook than the consensus of analysts' estimates compiled by LSEG for operating profit of 597.5 billion yen, down only 9% from the previous year. Still, Imayoshi remained cautious on Komatsu's outlook, saying "if tariff rates are adjusted with countries, the impact will likely settle within the previously made estimate." Despite the easing of Chinese tariffs, about half of Komatsu products sold in the U.S. are manufactured overseas and imported, such as construction machines from Japan, Brazil and Thailand, which remain subject to higher levies. SUPPLY SHIFTS Komatsu would consider shifts such as bypassing U.S. warehouses when exporting spare parts to Canada or Latin America, and rebasing the production of U.S.-bound items from China to Thailand in case the higher U.S. tariff rates on China at the end of the 90-day truce, Imayoshi said. But "it's never the case" that the tariffs can make manufacturing in the U.S. cost-competitive and drive Komatsu to ramp up U.S. production, he said, citing U.S. steel prices that are more than double those of China. Overall, tariffs will have little impact on its competition with Caterpillar, the world's biggest heavy equipment maker, and other rivals because they have similar global supply-chain structures, he said. However, Komatsu will watch how other companies pass on tariff costs, he added. Caterpillar last month estimated additional tariff-related costs at between $250 million and $350 million in the April-June quarter. Caterpillar shares are down 4.8% year-to-date, while Komatsu is up 1.5%. CHINESE RIVALS Imayoshi, who led Komatsu's China office for three years from 2021, said competition with Chinese construction machinery makers is becoming as demanding as with Caterpillar. Komatsu "still leads in durability and reliability, but they have largely caught up in offering decent performance at lower initial costs - in electrification, they are actually ahead," Imayoshi said. Electrification and solutions for software-defined and autonomous vehicles require technologies from outside Komatsu, he said, suggesting these fields are a consideration for an acquisition after its 2023 purchase of Detroit-based battery startup ABS. The company has not made major purchases since buying U.S. mining equipment manufacturer Joy Global for $2.9 billion in 2017. In a mid-term business plan announced last month, Komatsu added a free cash flow target of 1 trillion yen in the next three years. "We plan to spend it while maintaining balance between investments and shareholder returns, and it can also be directed toward acquisitions if opportunities arise," Imayoshi said. "Financial structure-wise, we have considerable leeway." ($1 = 143.3000 yen) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22-05-2025
- Business
- Yahoo
Exclusive-US-China trade truce may ease Komatsu's tariff pain by $140 million, CEO says
By Kantaro Komiya and Miho Uranaka TOKYO (Reuters) -Komatsu should see a nearly 20 billion yen ($140 million) mitigation in the impact of U.S. tariffs on its bottom line after the U.S.-China trade truce last week, the Japanese company's CEO said, suggesting its outlook for lower profits may not be as bad as feared. With more than one-quarter of Komatsu's sales coming from North America, the reduction in the tariff impact - a roughly 20% easing in its forecast of a 94.3 billion yen hit from the tariffs - would have an outsized effect on its profit outlook. In an interview with Reuters on Wednesday, Takuya Imayoshi, the head of the world's second-largest construction and mining machinery maker, did not say it is officially revising its forecast last month of a 27% drop in current-year profit as a result of U.S. President Donald Trump's tariffs. But the 90-day pause of extra U.S. tariffs on Chinese imports may mitigate the impact on Komatsu, which buys Chinese steel for its American-made machines, he said. "Countries' retaliatory tariffs haven't been like what we previously feared, so the negative impact on our performance appears limited," he said. The company forecast operating profit would be 478 billion yen for the business year to March 2026 because of the tariffs and a stronger yen, a far more conservative outlook than the consensus of analysts' estimates compiled by LSEG for operating profit of 597.5 billion yen, down only 9% from the previous year. Still, Imayoshi remained cautious on Komatsu's outlook, saying "if tariff rates are adjusted with countries, the impact will likely settle within the previously made estimate." Despite the easing of Chinese tariffs, about half of Komatsu products sold in the U.S. are manufactured overseas and imported, such as construction machines from Japan, Brazil and Thailand, which remain subject to higher levies. SUPPLY SHIFTS Komatsu would consider shifts such as bypassing U.S. warehouses when exporting spare parts to Canada or Latin America, and rebasing the production of U.S.-bound items from China to Thailand in case the higher U.S. tariff rates on China at the end of the 90-day truce, Imayoshi said. But "it's never the case" that the tariffs can make manufacturing in the U.S. cost-competitive and drive Komatsu to ramp up U.S. production, he said, citing U.S. steel prices that are more than double those of China. Overall, tariffs will have little impact on its competition with Caterpillar, the world's biggest heavy equipment maker, and other rivals because they have similar global supply-chain structures, he said. However, Komatsu will watch how other companies pass on tariff costs, he added. Caterpillar last month estimated additional tariff-related costs at between $250 million and $350 million in the April-June quarter. Caterpillar shares are down 4.8% year-to-date, while Komatsu is up 1.5%. CHINESE RIVALS Imayoshi, who led Komatsu's China office for three years from 2021, said competition with Chinese construction machinery makers is becoming as demanding as with Caterpillar. Komatsu "still leads in durability and reliability, but they have largely caught up in offering decent performance at lower initial costs - in electrification, they are actually ahead," Imayoshi said. Electrification and solutions for software-defined and autonomous vehicles require technologies from outside Komatsu, he said, suggesting these fields are a consideration for an acquisition after its 2023 purchase of Detroit-based battery startup ABS. The company has not made major purchases since buying U.S. mining equipment manufacturer Joy Global for $2.9 billion in 2017. In a mid-term business plan announced last month, Komatsu added a free cash flow target of 1 trillion yen in the next three years. "We plan to spend it while maintaining balance between investments and shareholder returns, and it can also be directed toward acquisitions if opportunities arise," Imayoshi said. "Financial structure-wise, we have considerable leeway." ($1 = 143.3000 yen) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-03-2025
- Automotive
- Yahoo
Analysis-Trump auto tariffs take aim at a pillar of Asian economies
By Hyunjoo Jin and Kantaro Komiya SEOUL/TOKYO (Reuters) - For Japan and South Korea, tariffs announced by U.S. President Donald Trump represent a blow to domestic car industries that are both economic pillars and sources of national pride. Shares in companies such as Japan's Toyota and Honda and South Korea's Hyundai Motor and Kia Corp fell, wiping off some $16.5 billion in value, after Trump on Wednesday unveiled a 25% tariff on imported cars and light trucks to take effect on April 3. On the streets of Tokyo and Seoul, and in "motor city" Gwangju, people were concerned the levies would have a far-reaching impact, speaking to the singular role the car industry has played in the post-war economic rise of the two U.S. allies. While car production helped transform Germany, Italy and France after World War Two, its influence in Asia has been even more profound. Automakers form the nucleus of vast networks of group companies that impact almost every facet of working life in the two countries. In Japan, where the industry accounts for roughly 3% of gross domestic product, it is the automakers - particularly Toyota - that set the precedent for national wage increases through annual talks between unions and management. The auto supply chain totalled around 60,000 companies as of May last year, according to research firm Teikoku Databank. The industry is broadly responsible for the employment of more than 5 million people, or 8% of the entire workforce, according to the Japan Automobile Manufacturers Association. South Korea's car industry is its biggest employer, and cars and automotive parts account for 14% of exports. About half go to the United States. "The auto industry is the first thing that comes to mind for most people when you mention manufacturing," said Hiroshi Kojima, a 56-year-old businessman at a materials company who spoke to Reuters in central Tokyo. "I am worried this could have a big impact on the economy and hit production of Japan's manufacturers." UNCERTAINTY IN MOTOR CITY In Gwangju, South Korea, home to the factories that export Kia's Sportage, Soul and Seltos crossovers to the United States, "we are concerned about production volume and jobs," said a worker at a Kia supplier, who spoke on condition of anonymity. He told Reuters his factory planned to keep staffing Saturday shifts in April, but that demand looked uncertain. U.S. automaker General Motors has factories in South Korea that export more than 80% of vehicles produced, including Chevrolet Trax and Trailblazer crossovers to the United States. They are likely to be hit harder than plants of South Korean rivals, which produce more cars for the domestic market. "We are nervous," one union worker told Reuters, also speaking on condition of anonymity. He said management previously told the union that 2025 production would be in line with last year, and has not so far updated its targets. "We are very concerned about the absence of the South Korean president who can address tariff issues. This is not something that we can control," the worker said, referring to the political turmoil that started in December when now-impeached President Yoon Suk Yeol briefly declared martial law. South Korea's industry minister Ahn Duk-geun met with executives from automakers and suppliers on Thursday and expressed concern about the impact of tariffs, especially for auto parts makers. He promised measures by April to minimise the impact, including boosting domestic investments and demand. Japanese Prime Minister Shigeru Ishiba said Tokyo would put "all options on the table" and noted that Japan is the top source of foreign investment into the United States, something the government has been stressing to Washington. In 2023 Japan exported 4.4 million vehicles, including trucks and buses, with one-third going to the United States. The tariffs hit a key part of most global automakers' supply chains - Mexico, where for years they have built up lower-cost production bases. Mexico is the top vehicle exporter to the United States, accounting for 2.5 million light vehicles in 2023, according to the Mexican Automotive Industry Association. Nissan took a 10% share of that, the largest among Asian carmakers but less than General Motors, Stellantis and Ford. JOB WORRIES For 57-year-old waitress Etsuko Fukada, the tariffs highlighted the difficult dynamics of Japan's relationship with the United States. She said Tokyo was unlikely to speak out because of its reliance on Washington for its military defence. The auto industry has become even more important as Japan's influence in other areas - such as consumer electronics and microchips - has waned in recent years. Automakers are still seen as top destinations for new graduates and competition for white-collar jobs can be fierce. Mayu Morikawa, a 24-year-old graduate student looking for work, said the tariffs made her fear for her own prospects and those of a friend who had just started at work at a carmaker. In South Korea, Hyun Sang-jin said the tariffs could threaten many people's quality of life, given Hyundai's pivotal role in the country. "I think this will lead to a big drop in jobs," the Seoul resident said. Sign in to access your portfolio
Yahoo
21-03-2025
- Business
- Yahoo
Japan's space debris firm Astroscale to tie up with India's Digantara, Bellatrix Aerospace
By Kantaro Komiya and Nivedita Bhattacharjee TOKYO/BENGALURU (Reuters) - Japan's Astroscale, a company specialised in removing orbital junk, has agreed with Bengaluru-based space companies Digantara and Bellatrix Aerospace to collaborate on technology and services, it said on Friday. The tie-ups will "hopefully" result in an orbital services bid for Indian clients "in one to two years", which would mark Astroscale's first operations in Asia-Pacific outside its home, its Japan unit president Eddie Kato said. "India has been on our top list of possible markets" with established space capabilities, where Astroscale's on-orbit servicing technology would meet demand, Kato told Reuters. Astroscale is also interested in South Korea, Taiwan, Indonesia and Australia, he added. "India's space policy used to be rather protectionist, but we've seen very rapid moves, to bolster ties with the United States and liberalise the market for commercial actors - even fostering them," Kato said. The agreement did not contain any monetary terms. India has opened the country's space sector beyond the state-owned Indian Space Research Organisation (ISRO) to private players and created a 10 billion rupee ($116 million) fund to support startups. At home, Astroscale is working with the Japan Aerospace Exploration Agency (JAXA) to demonstrate a commercial debris removal mission in 2027. It has also won orders from the U.S. Space Force and space agencies of Britain and France, which include experimental services to extend a satellite's lifespan. As the number of orbiting satellites increases, potential collisions could create more than $500 million in risk over the next five years, according to an industry estimate. Digantara provides space situational awareness services to monitor orbital objects and has contracts with multiple U.S. defence agencies. Bellatrix Aerospace manufactures satellite propulsion systems. With the partners, Astroscale would first provide on-orbit services for Indian government clients, Kato said. The partnership would "help unlock new market opportunities across both established and emerging space economies," Digantara's Vice President Shreyas Mirji said in a statement. It "marks a significant step for us as we venture into the Japanese market," said Bellatrix chief executive Rohan M Ganapathy. The move was the latest of budding tie-ups between Japanese and Indian space companies, such as between moon explorer ispace and rocket maker Skyroot, as well as SKY Perfect JSAT-affiliated Orbital Lasers and robotics firm InspeCity. The Indian and Japanese governments will hold their third round of "space dialogue" policy talks in Tokyo in coming days, officials say.
