The Defense Agency has selected Kawasaki Heavy Industries Ltd. to be the main developer of a new Air Self-Defense Force transport plane and a new Maritime Self-Defense Force patrol plane, agency officials said Monday.

The agency based its decision on five criteria, including cost and development concepts, agency officials said.

The expected expenditure for the planes will be about 340 billion yen, with the first prototypes expected to fly around 2006 and deployment expected in 2007, the officials said.

The agency envisions buying about 40 planes for the ASDF and 80 for the MSDF, they said, adding that three other companies are expected to join in development of the vertical tail assemblies for the planes, the officials said.

A top Defense Agency official hinted at a plan to develop major parts, such as the main wings for ASDF and MSDF planes, with a private airline company or companies so they can also be used for private passenger planes.

"Such development, if realized, would help push down development costs for both the government and the private sector," the official said.