EU approves British, Italian, Japanese joint venture for combat aircraft

By Melike Pala

BRUSSELS (AA) - The European Commission has approved the establishment of a joint venture between Britain’s BAE Systems (Holdings) Limited, Italy's Leonardo S.p.A. and Japan Aircraft Industrial Enhancement Co. Ltd. to govern the production of a multi-role combat aircraft.

The joint venture will develop the next-generation fighter jet for the governments of Italy, the UK and Japan, with potential sales to other countries in the future, the commission said Monday in a statement.

The joint venture will serve as the prime contractor and lead systems integrator for the Global Combat Air Program, aimed at developing a sixth-generation multi-role combat aircraft.

The commission's decision came after a routine review within a 35-day timeframe confirming that the joint venture does not hinder effective competition in the European Economic Area (EEA).