Saga Kawasaki

Shozo Kawasaki, the founder opens Kawasaki Tsukiji Shipyard (Tokyo).

Founder, Shozo Kawasaki
Kawasaki's origins go back to 1878, when Shozo Kawasaki established Kawasaki Tsukiji Shipyard in Tokyo. Eighteen years later, in 1896, it was incorporated as Kawasaki Dockyard Co., Ltd.

Born in Kagoshima to a kimono merchant, Shozo Kawasaki became a tradesman at the age of 17 in Nagasaki, the only place in Japan then open to the West. He started a shipping business in Osaka at 27, which failed when his cargo ship sank during a storm. In 1869, he joined a company handling sugar from Ryukyu (currently Okinawa Prefecture), established by a Kagoshima samurai, and in 1893, researched Ryukyu sugar and sea routes to Ryukyu at the request of the Ministry of Finance. In 1894, he was appointed executive vice president of Japan Mail Steam-Powered Shipping Company, and succeeded in opening a sea route to Ryukyu and transporting sugar to mainland Japan.

Having experienced many sea accidents in his life, Kawasaki deepened his trust in Western ships because they were more spacious, stable and faster than typical Japanese ships. At the same time, he became very interested in the modern shipbuilding industry. In April 1878, supported by Masayoshi Matsukata, the Vice Minister of Finance, who was from the same province as Kawasaki, he established Kawasaki Tsukiji Shipyard on borrowed land from the government alongside the Sumidagawa River, Tsukiji Minami-Iizaka-cho (currently Tsukiji 7-chome, Chuo-ku), Tokyo, a major step forward as a shipbuilder.

Kawasaki Dockyard Co., Ltd. is incorporated. Kojiro Matsukata is appointed as the first president of the new company.

First President, Kojiro Matsukata
In 1894, seven years after the establishment of Kawasaki Dockyard, the Sino-Japanese War started and the shipbuilding industry in Japan enjoyed sudden prosperity.
Kawasaki was also very busy in receiving and finishing a rush of orders for ship repairs. Realizing the limitation of private management, Kawasaki decided to take the Company public right after the end of the war. Then close to 60 years old, without a son old enough to succeed him, Kawasaki chose Kojiro Matsukata, the third son of his business benefactor, Masayoshi Matsukata, as his successor.

Kojiro Matsukata, born in Satsuma (currently Kagoshima Prefecture) in 1865, became a secretary to Japan's prime minister during his father's administration between 1891 and 1892. In 1896, the younger Matsukata was appointed the first president of Kawasaki Dockyard Co., Ltd., and maintained this position for 32 years until 1928. By expanding business into rolling stock, aircraft and shipping, and implementing Japan's first eight-hour day system and other measures, he nurtured and grew Kawasaki into a leading heavy industrial company in Japan.

Matsukata was also known as an art collector. The National Museum of Western Art in Tokyo was established around the core of Matsukata's private collection. In addition, the Tokyo National Museum houses his extensive collection of Ukiyoe prints.

Launches Cargo-Passenger Ship Iyomaru.

Cargo-passenger ship, Iyomaru (727 GT), Kawasaki Dockyard's first ship as a publicly traded company
In 1897, Kawasaki Dockyard completed a cargo-passenger ship, Iyomaru (727 GT), its first ship after becoming a publicly traded company. During the 10 years of private management between 1886 and 1896, the Company built 80 new ships, including six steel ships such as Tamamaru (about 570 GT). Since the first steel ship was built in Japan in 1890, ship material had rapidly modernized from iron to steel. The beginning of Kawasaki Dockyard is thus the beginning of Japan's modern shipbuilding industry.

Finishes construction on Dry Dock at Kobe Shipyard.

The dry dock (currently No. 1 Dock, Kobe Shipyard) was listed as a Registered Tangible Cultural Asset of Japan in 1998.
Shozo Kawasaki had fully realized that the Company's shipyard needed a drastic increase in capacity since Kawasaki Dockyard was established in Kobe City, Hyogo Prefecture. He planned to construct a dry dock by reclaiming land next to the shipyard. In 1892, a land survey began, and in 1895, boring tests were carried out. After the incorporation of Kawasaki Dockyard, Kojiro Matsukata pursued the plan.
Construction work faced rough going due to the extremely weak foundations of the site on the Minatogawa River delta. After a couple of failures, a new technique was adopted to harden the underwater foundation by pouring concrete. Six years later in 1902, the dry dock was completed at last, costing three times as much and taking three times longer than the construction of a dock under normal conditions.

Size of the dry dock:
Length: 130 m, width: 15.7 m, depth: 5.5 m
Maximum size of ships that can be docked: 6,000 GT

The dry dock (currently No. 1 Dock, Kobe Shipyard) was listed as a Registered Tangible Cultural Asset of Japan in 1998.

Opens Hyogo Works.

In 1906 Kawasaki Dockyard neighbored the government-run Kobe railway plant to the north.
Kawasaki's first president, Kojiro Matsukata, had a strong desire to expand into new business areas. One especially promising new business would be the manufacture of railway cars. In 1906, the newly opened Hyogo Works began fabrication of locomotives, freight and passenger cars and bridge girders. This is also the year that Kawasaki began production of marine steam turbines at its dockyard.

Builds the first submarine in Japan.

Holland type submarines No. 6 and 7 under examination in dry dock
The Japanese Navy began to think about introducing submarines around 1901, and it decided to form a submarine corps soon after the start of the Russo-Japanese War. In 1904, five Holland type submarines, Submarines No. 1 to 5, were imported from the United States.

At the same time, the Navy decided to build submarines in Japan. In 1904, it awarded an order for the first two to Kawasaki. Although the Navy provided plans made by J. P. Holland, the designer of Holland type submarines, the details were left to the Company. Kawasaki devoted all its energies to building submarines that would live up to the Navy's expectations and demonstrate its capabilities as a shipbuilder to the world. It invited engineers from the United States as well as continuing to research problems even after laying the keel. In 1906, having conquered many difficulties, Kawasaki completed and delivered the first two submarines made in Japan, Submarines No. 6 and 7, to the Navy.

Builds the Yodo, Japan's first large-size warship built by a private Japanese shipyard.

Yodo, a large-size warship.
After the naval battle that decided Japan's victory in the Russo-Japanese War, the Japanese government made plans to strengthen its naval force by domestically manufacturing its large fleet vessels, all of which were previously manufactured abroad. Whereas private shipyards had received government orders for small vessels, such as early destroyers and torpedo boats, they would now also receive orders for large-size vessels. Built by Kawasaki Dockyard, the dispatch boat Yodo was the first 100-ton warship built by a private shipyard and was highly praised by naval officials. It marks the beginning of true shipbuilding by private shipyards.

Completes the first Kawasaki-made locomotive.

First Kawasaki-made Locomotive
In 1872, U.K.-made steam locomotives ran for the first time on Japan's first railway line between Shinagawa and Yokohama. Kawasaki started manufacturing rolling stock in 1907, and 4 years later produced its first steam locomotive, the Tender type locomotive (2B saturation steam type, No.6700-6704), for the Ministry of Railways. Its performance was highly acclaimed and the Ministry later praised the Company, saying that its locomotive had done even better than those made in foreign countries. Kawasaki manufactured 3,237 steam locomotives in total until 1971, greatly contributing to the development of railways in Japan.

The Aircraft Department is established at Hyogo Works.
In London at the time, Matsukata was impressed by the use of airplanes in World War I and established the Aircraft Department at the Hyogo Works in 1918. It was just a short 15 years since the Wright brothers' historic flight when airplanes were still made from wood and cloth and could only travel short distances. In 1922, the Company began manufacturing aircraft and established a new aircraft plant.
Kawasaki went on to build Japan's first metal aircraft, thereby laying the groundwork for the technological innovations of today.

Shipping division is spun off and incorporated as Kawasaki Kisen Kaisya Ltd. (K-line).
Completes the first Kawasaki-made airplane.

Kawasaki-Made Airplane - Type Otsu 1 Surveillance Airplane
In 1922, Kawasaki completed its first airplane at its Hyogo works, and conducted test flights in Sohara Village (currently Kakamigahara City), Gifu Prefecture. The Japanese Army admitted its excellence based on the test flights, and adopted it for the first military plane, the Type Otsu 1 surveillance plane. Kawasaki manufactured about 300 planes of this type until 1927.

Constructs Eitaibashi Bridge, Tokyo.

Eitaibashi Bridge across the Sumidagawa
In 1923, the Great Kanto Earthquake hit Tokyo and bridges across the Sumidagawa River collapsed. Kawasaki constructed replacement bridges such as the Kiyosubashi Bridge, Shirahigebashi Bridge and Eitaibashi Bridge, which became well known for their elaborate designs. Kawasaki utilized state-of-the-art technology for these bridges. For example, it adopted high-tensile steel (Ducol steel), made at the Company's Hyogo Works, for the first time in Japan for the upper cables of the Kiyosubashi, an elegant suspension bridge, and for the lower connections of the Eitaibashi, a massive steel arch bridge. In that era, Kawasaki received orders from the Earthquake Reconstruction Bureau and other organizations in Japan for 25 bridges in total, including the bridges mentioned above, requiring 16,000 tons of steel. Kawasaki also constructed the Kachidokibashi Bridge across Sumidagawa River. The leaf-lift (trunnion bascule) bridge is built on a model of the same type of drawbridge in Chicago. The bascules, which hold the bridge center of 44 meters, can raise to a maximum of 70 degrees, making large ship traffic possible. However, the bridge no longer opens today, due to new regulations to ease road traffic jams.

Hyogo Works is spun off and incorporated as Kawasaki Rolling Stock Manufacturing Co., Ltd.
Begins manufacture and sale of Rokkogo automobiles.

1934 - Rokkogo bus delivered to the Ministry of Railways
In 1918, Kawasaki started manufacturing trucks at Hyogo Works to meet the social needs of the day, however, production was suspended until 1929, when the Company (Kawasaki Rolling Stock Manufacturing) resumed manufacturing automobiles. In 1931, the prototype of a 1.5 ton truck was completed based on a U.S. deluxe model, and the next year Kawasaki started producing Rokkogo trucks and buses. In 1933, it also began manufacturing classy Rokkogo passenger cars for such customers as the Imperial family.

Although the Company stopped producing automobiles in 1942 by order of the Department of War, which intended to shift production capacity from automobiles to airplanes, Kawasaki pioneered Japan's automobile industry during that era.

Delivers Pashina Locomotive for Ajiago Super Express.

Pashina type steam locomotive for Ajiago Super Express - 1934
The number "1500" was painted on in commemoration of the 1500th steam locomotive made by Kawasaki
The Company (Kawasaki Rolling Stock Manufacturing) exported a large number of locomotives, passenger coaches and freight cars to China. Among them were the state-of-the-art locomotives of the day, Pashina type steam locomotives pulled the Ajiago super express linking Dalian and Changchun, China.

Aircraft division is spun off and incorporated as Kawasaki Aircraft Co., Ltd.
Adopts new Japanese company name Kawasaki Jukogyo Kabusikigaisya (i.e. Kawasaki Heavy Industries).
*The English company name Kawasaki Dockyard was changed to Kawasaki Heavy Industries in 1969, when three companies were merged.

Starts production of Hien fighter.

Type 3-1 fighter Hien
During World War II, the Company (Kawasaki Aircraft) manufactured the type 3-1 fighter Hien, the only liquid-cooled fighter developed in Japan during the war. Hien was known for its world-class performance, with a maximum speed of 610 km/h and the capability to fly in formation even at an altitude of 10,000m.

Steelmaking division is spun off and Kawasaki Steel Corporation is incorporated.
Begins production of Bell 47D helicopters.

Kawasaki-Bell 47D helicopter
Japan's aircraft industry, which mainly manufactured military airplanes, was suppressed when World War II ended in 1945. Production of aircraft was prohibited for seven years until 1952 when the Treaty of Peace with Japan became effective.
Even after the prohibition was lifted, the industry faced difficulties in restoring business due to the seven-year blank. However, Kawasaki started designing of a four-seat transporter at Gifu Works, and in 1953 completed the KAL-1 transport airplane.
In addition, Kawasaki focused on developing helicopters at Akashi Works. In 1952, the Company signed a technical agreement with Bell Aircraft Corporation (currently Bell Helicopter Textron) of the U.S., and in 1954 completed the Kawasaki-Bell 47D-1 helicopter, the first helicopter built in Japan. Kawasaki manufactured six 47D-1 helicopters for the Ground Self-Defense Force.

Kawasaki Dockyard, Kawasaki Rolling Stock Manufacturing and Kawasaki Aircraft merge to become Kawasaki Heavy Industries, Ltd.

The merger agreement is signed. From left to right: presidents Yotsumoto, Isano, and Ueda.
In the 1960s, at the beginning of Japan's high economic growth era, large-scale mergers between companies were booming, aimed at strengthening their international competitiveness, which accelerated consolidation in various industries. Amid these circumstances, Masashi Isano, president of Kawasaki Dockyard, conceived the idea of creating a great Kawasaki enterprise by merging major group companies. This was based on his long-held dream to raise the Company to a comprehensive heavy industrial enterprise providing products for endeavors on land, at sea, and in the air, which first president Kojiro Matsukata, had directed in the past.
Presidents of the three companies-Isano of Kawasaki Dockyard, Masao Ueda of Kawasaki Rolling Stock Manufacturing and Kiyoshi Yotsumoto of Kawasaki Aircraft-all desired a great Kawasaki, and signed a Merger Agreement on March 19, 1968 following discussion and negotiation. On April 1, 1969, Kawasaki Dockyard acquired the two companies, and adopted the new company name Kawasaki Heavy Industries, Ltd. (Note: In Chinese characters, Kawasaki Dockyard Co., Ltd. had already changed its name to Kawasaki Heavy Industries, Ltd. in 1937. However, its English name remained Kawasaki Dockyard until the date of the merger of the three companies.) Kawasaki Heavy Industries started with about 26,000 employees, paid-in capital of 28 billion yen, and anticipated first-year sales of 200 billion yen. Isano was named president, and Ueda and Yotsumoto were elected executive vice presidents.

Develops Kawasaki-Unimate 2000, the first Japan-made industrial robot

Kawasaki-Unimate 2000, the first Japan-made industrial robot
Kawasaki regarded the development and production of labor-saving machines and systems as an important mission, and became Japan's pioneer in the industrial robot field. In 1968, the Company (Kawasaki Aircraft) entered into a technical agreement with Unimation Inc., a U.S. company specializing in industrial robots, and began development work. In 1969, the Company succeeded in developing the Kawasaki-Unimate 2000, the first industrial robot ever produced in Japan.

Launches H1 motorcycle.

Kawasaki H1
Following the Kawasaki W series, Japan's largest motorcycle of the day, which initiated the big bike boom, the Company introduced an epoch-making new model, the H1 (2-stroke, 3-cylinder, 498 cm3) in 1969. In that era, large motorcycles were mostly produced by European makers, who dominated the U.S. market as well. However, exports of Japanese motorcycles with large engine displacements were expected to grow dramatically. Amid such an environment, the success of the H1 confirmed Kawasaki's big bike reputation and position in the U.S. market. Among the H1's outstandingly unique attributes were awesome power and high performance, an exhaust roar typical of the 3-cylinder models, which came out of the asymmetrically set mufflers (two on the right, one on the left), and two-tone coloring of white and blue.

Unveils Z1 motorcycle.

Kawasaki Z1
In 1972, the Company unveiled Japan's largest motorcycle of the day, the Kawasaki Z1, featuring an air-cooled, 4-stroke, 4-cylinder, 903 cm3, DOHC engine, which was Kawasaki's first 4-stroke engine with a state-of-the-art, unique mechanism. Code-named "New York Steak" as early as in the development stage, the Z1 became a "mouth-watering motorcycle," winning overwhelming popularity immediately after its introduction, and becoming a long-term bestseller. The Z1, a pioneer of Supersport models, not only solidified Kawasaki's reputation in large motorcycles, but remains deeply engraved in the public conscience as one of the most superlative models to date.

Merges with rolling stock company Kisha Seizo Co., Ltd., and forms Kawaju Reinetsu Service Co., Ltd.
Through its merger with Kisha Seizo Co., Ltd., the Company became Japan's leader in the rolling stock industry. That same year, it also formed Kawaju Reinetsu Service Co., Ltd. Operations also expanded into the field of municipal refuse incineration. The 20th century ushered in incredible technological advances. Kawasaki foresaw the need to apply advanced technologies and engineering expertise to large-scale projects worldwide.

Begins selling Jet Ski® watercraft

The Jet Ski WSAA personal watercraft
Kawasaki sought to develop a new product powered by a gasoline engine other than motorcycles in order to expand its consumer product business. In 1971, management decided to enter the marine recreational product field and a Marine Project Team was formed at the Company. During team discussions, the concept of a new product gradually took shape. A product in a completely new category, which enables people to enjoy waterskiing, a popular marine sport of the day, by themselves, without a boat-that became the basic concept of the Jet Ski watercraft.
In 1973, at Akashi Works, Kawasaki developed a new product (product code: WSAA) by installing a 2-stroke, 2-cylinder, 398 cm3 engine designed based on those for snowmobiles. The product was named Jet Ski, and became a registered trademark of Kawasaki. After obtaining a positive response from trial sales in the U.S., the Company began mass production. In 1975, Jet Ski production was shifted to the Lincoln Plant, Nebraska, and full-scale manufacturing of the JS400 commenced. In 1980, Kawasaki started to sell Jet Ski watercraft in Japan.

Begins production of motorcycles in the U.S.

KMM Lincoln Plant
The Company (Kawasaki Aircraft) started full-scale motorcycle business in 1960, and forged ahead in the U.S. market in the late 1960s. Motorcycle sales subsidiaries were set up in Chicago in 1966 and in New Jersey the next year. In 1968, Kawasaki Motors Corp., U.S.A. (KMC) was established by merging the two companies, and it aggressively promoted sales.
In addition to strengthening its sales network, the Company introduced successful new motorcycles such as the H1 in 1969, and the Z1 in 1972, which made Kawasaki a household name in the U.S.
In that era, strong demand for motorcycles was expected worldwide, especially in the U.S. Therefore, in 1974, KMC established a new motorcycle factory in Lincoln, Nebraska, which was the first U.S. manufacturing site for Japanese motorcycle/automobile makers. In January 1975, the new plant started producing the KZ series motorcycles, and in the same year also began producing Jet Ski® watercraft. The KMC Lincoln Plant formed a new subsidiary, Kawasaki Motors Manufacturing Corp., U.S.A. (KMM) in 1981. Today, KMM has a factory in Maryville, Missouri in addition to the Lincoln Plant, and manufactures a wide range of products such as motorcycles, ATVs, Jet Ski® watercraft, general purpose gasoline engines, industrial robots and rolling stock.

Develops GPS200 gas turbine generator.

Kawasaki GPS200, Japan's first gas tjrbine generator
Utilizing its technology and experience in aircraft jet engines, Kawasaki pioneered Japan's gas turbine generator business. In 1972, the Company started developing industrial gas turbines based on its proprietary design. In 1976, the Kawasaki GPS200, Japan's first gas turbine generator, was produced and it attained type approval under the Fire Services Act. The next year, in 1977, the GPS200 won the Minister of Construction prize, top prize at the Electric Equipment Industry Exhibition.
Kawasaki went on to expand Japan's market for gas turbine generators. The Company also developed proprietary cogeneration systems, the GPC series, in 1983.

The BK117 helicopter's first flight.

BK117 Helicopter
In 1977, Kawasaki started developing the BK117, a multipurpose twin-engine helicopter, with MBB (currently Eurocopter Deutschland GmbH) of Germany, and production began in 1982. The BK117, the first helicopter ever developed in Japan, offers a high standard of safety featuring twin engines, and easier operation using a jointless rotor system. Advanced technology also enables instrument flights even in inclement weather.

Delivers the first LNG carrier built in Japan.

LNG Carrier Golar Spirit
Kawasaki not only aggressively pursued orders for VLCCs (very large crude-oil carriers) and other oil tankers, but also conducted R&D activities to develop high-value-added ships. One example is its LNG (liquefied natural gas) carriers. In 1971, Kawasaki entered into a technical agreement with Moss Rosenberg Verft A.S. of Norway and accelerated the development of LNG Carriers. In 1981, at the Sakaide Works, the Company delivered the Golar Spirit (129,000m3, 93,815 GT), the first LNG carrier ever built in Japan.

Begins production of rolling stock in the U.S.
Begins production of construction machinery in the U.S.
Receives orders for construction work on the Akashi Kaikyo Bridge.

Akashi Kaikyo Bridge
Spanning the Strait of Akashi, the Akashi Kaikyo Bridge was the longest single span suspension bridge in the world at the time of its construction, with a total length of 3,910 meters and a distance between the two main towers of 1,990 meters. Kawasaki was the main contractor for the tower on the Awajishima Island side-283 meters tall and over 25,000 tons-which fully utilized its advanced technology for steel structures. The Company also produced and installed stiffening girders. The bridge opened in spring 1998.

Tunnel boring machines successfully complete work on the Eurotunnel.

Kawasaki tunnel boring machine (T2) pierces the Eurotunnel on May 22, 1991
In July 1987, Kawasaki received an order for two tunnel boring machines (TBMs) with diameters of 8.17 meters for the underwater railroad for the Channel Tunnel linking Great Britain and the European continent. These machines were to excavate part of the two underwater tunnels from the coast of Sangatte in Northern France to the British coast. Due to the chalk strata on the French coast partly leaking with some faults, a sudden inflow of high-pressure water was expected during construction. In addition to these complex strata 40 meters under the sea and a high water pressure of a maximum 10 atmospheres, continual high-speed boring of 16 km at 500 m per month was also required. The difficulties become clearer when compared with the commonly accepted conditions for a TBM project: several km of boring at 200 - 300 m per month under a pressure of 1 - 2 atmospheres.

Furthermore, the leadtime from contract to design, manufacture and delivery was also set at only 13 months. However, because Kawasaki is a leading manufacturer of shield machines and TBMs, it aggressively surmounted these difficulties, supported by its expertise and track record for around 1,000 of these products. It was in June 1988 that the two machines were shipped from Kawasaki's Harima Works with more than 10,000 parts and underwent test runs.

Excavation on the Tokyo Bay Aqua-line is completed by the world's largest shield machines

Shield machines being shipped from Harima Works
During the Tokyo Bay Aqua-line construction, eight shield machines were used to excavate the underwater tunnel on the Kawasaki City side. Kawasaki manufactured three shield machines out of those, with a diameter of 14.14m - the largest class in the world. 1,200 cutter bits, made of ultra-hard alloy, excavated the earth with the cutter face fully rotating once every 2.5 minutes. Completely automated machines enabled single man operation, adopting Kawasaki's proprietary automated system to assemble segments, or the blocks formed of reinforced concrete to be placed against the tunnel walls.

100th anniversary
Opens state-of-the-art, fully integrated rolling stock factory unique in the U.S.

KMM Lincoln Plant
In 2001, the Company opened the U.S.'s first fully integrated rolling stock factory inside Kawasaki Motors Manufacturing Corp. U.S.A. (KMM)'s Lincoln Plant in Nebraska, with production beginning the following year. The layout of the new factory, which occupies a 40,000 m2 structure at the KMM Lincoln Plant's 1.36 km2 facility, has fabrication and outfitting lines that stretch 480 meters and which integrate body fabrication, testing, painting and outfitting in a single stream from entrance to exit. Because the factory uses rubber-wheeled and air-lift trucks to maneuver production cars within the factory, the factory floor is completely flat and free of rails. These features make the new factory more efficient and flexible, not only by facilitating the flow of production cars, components, and other materials, but also by making it easy to rearrange the factory layout based on the type of car to be manufactured next.

Introduces an internal company system and an executive officer system.
Kawasaki Shipbuilding Corporation and Kawasaki Precision Machinery Ltd. are established as wholly owned subsidiaries.
Ships first 700T train to Taiwan High Speed Rail

The 700T train for Taiwan High Speed Rail
The Taiwan Shinkansen Corporation (TSC), comprising seven Japanese companies including Kawasaki, shipped the Taiwan High Speed Rail Corporation its first 12-car high-speed train. Taiwan High Speed Rail is the first overseas project to use Japan's Shinkansen technology, and the 700T-model train is the first Shinkansen train ever shipped overseas. The 700T, based on the 700-series Shinkansen train jointly developed by Central Japan Railway Company and Western Japan Railway Company, has been optimally configured for Taiwanese geography, climate, legal regulations, and so forth. It has a maximum speed of 300 km/h and will connect Taipei and Kaohsiung (345 km) in as little as 1.5 hours. While TSC has received orders beyond rolling stock for signaling systems, track, and so forth, Kawasaki was the primary contracting company for rolling stock and has manufactured 30 trains (360 cars) together with Nippon Sharyo Ltd. and Hitachi Ltd.

Kawasaki Plant Systems, Ltd. (K Plant) is established as a wholly owned subsidiary.
Kawasaki Environmental Engineering, Ltd. (KEE) is established as a wholly owned subsidiray.
K Plant and KEE merge to form new K Plant.
Rolls out test planes for the XP-1 fixed-wing maritime patrol aircraft and XC-2 transport aircraft

The XP-1 fixed-wing maritime patrol aircraft

The XC-2 transport aircraft
In 2007, test planes for fixed-wing maritime patrol aircraft (XP-1) and transport aircraft (XC-2) were rolled out at its Gifu Works. In 2001 Kawasaki had been designated the primary contractor for the XP-1 and XC-2 by the Ministry of Defense. The project to develop the XP-1 and XC-2, initiated by the Ministry of Defense in 2001, was the first domestic program to develop large-size aircraft since the C-1 forty years earlier, and the first-ever Japanese effort to work on two such aircraft simultaneously. Following testing of both aircraft at the Gifu Works, Kawasaki delivered the XP-1 to the Ministry of Defense in 2008, and the XC-2 in 2010.

KCM Corporation is established as a wholly owned subsidiary.
Kawasaki Shipbuilding Corporation, Kawasaki Precision Machinery Limited (KPM) and Kawasaki Plant Systems, Ltd. (K Plant) are re-merged into Kawasaki Heavy Industries, Ltd.
Established Medicaroid Corporation, a marketing company for the development of medical robots, jointly with SYSMEX CORPORATION.
All KCM Corporation shares transferred to the Hitachi Construction Machinery Group.