Why the Once-Thriving U.S. Light Aircraft Industry Is Now on the Brink of Disappearance
This essay explores the collapse of the once-dominant U.S. light aircraft industry, which once controlled 90 percent of the global market.
Drawing on a column by Masayuki Takayama, it examines how relentless litigation, rather than technological decline, hollowed out iconic manufacturers such as Cessna and Piper, ultimately destroying an entire industrial ecosystem.
April 10, 2017.
I have repeatedly stated that Masayuki Takayama is a one-of-a-kind journalist in the postwar world.
At the end of Shukan Shincho there is his famous column, and not a few readers start the magazine from the back, reading his column first.
His essay in this week’s issue once again proves the correctness of my assessment.
The Country That Destroyed Toshiba.
When I was stationed at the Haneda press club, Frank Sinatra once flew in on a private jet.
It was a small jet made by Gulfstream Aerospace, and actor Tatsuya Mihashi was there to greet him by the aircraft.
At that time, the United States controlled 90 percent of the global light aircraft market, with well-known manufacturers such as Cessna, Piper Aircraft, and Beech Aircraft lining the field.
Twenty years later, by a twist of fate, I was assigned as a correspondent in Los Angeles.
That area was home to a considerable number of aircraft manufacturers and parts suppliers, including those for light aircraft.
When I asked which companies were selling well at the time, I received an unbelievable reply:
“Cessna has stopped production.”
“Piper has filed for Chapter 11—bankruptcy.”
“Gulfstream should have gone under as well.”
Among them, Piper’s situation was particularly tragic.
At its peak, it employed several hundred workers and produced 5,200 aircraft annually.
Now it has just 45 employees and produces only seven aircraft a year.
Several companies that went bankrupt, such as de Havilland and Short, were bought up by the Canadian railway company Bombardier, which now manufactures small passenger aircraft.
“The collection of failed companies makes you wonder whether their planes can even fly properly,” was the response I heard.
That premonition has since proven entirely accurate, as accidents have been occurring one after another.
So why is it that the once-flourishing U.S. light aircraft industry is now on the verge of extinction?
“It’s lawsuits,” explained Ron Swanda of the U.S. Light Aircraft Manufacturers Association.
To be continued.
