TOKYO • Japanese heavy machinery maker IHI Corp yesterday said workers did not check properly some aircraft engines, the latest quality control issue to dent the reputation of the country's manufacturing sector.
Shares of IHI, which makes engine components found on Airbus and Boeing jets, fell as much as 5.2 per cent after the company confirmed that the Transport Ministry had inspected its aircraft engine business and determined there had been inappropriate checks.
IHI is investigating how many engines were involved and over what period, said a company spokesman. The probe is centred on its Western Tokyo plant, which services the V2500, CF34 and PW1100G engines.
IHI's website shows the V2500 has been installed on Airbus A-319, A-320 and A-321 jets, while the PW1100G powers the A-320 neo. Kyodo reported that IHI has told ANA Holdings and Japan Airlines there were no safety issues on parts serviced by the company.
IHI's disclosure follows failings at other domestic manufacturers. Nissan Motor and Subaru have acknowledged faulty vehicle inspections, while Kobe Steel has admitted to falsifying product quality.
"This news is likely to raise a number of red flags on corporate governance," Citigroup analyst Graeme McDonald wrote in a note. "... It could make observers wonder whether the importance of inspection and product quality has slipped down the agenda."