Mitsubishi Heavy Industries Ltd. said Wednesday it has signed an accord with Rolls-Royce PLC to jointly develop a new engine for the Boeing 7E7 midsize jet.

Mitsubishi Heavy will take charge of the design and manufacture of a combustor module and other core parts of the Trent 1000, assuming 7 percent of the engine program, the company said.

The Rolls-Royce Trent 1000 is one of two engines selected by Boeing for the 7E7 Dreamliner, which is set to enter into service in 2008.