Airplane Engine Repair Market Booms as Supply Shortages Persist

The global shortage of airplane engines, exacerbated by parts and labor scarcities, has led to a surge in the business of repairing older engines. With new airplane deliveries from Boeing and Airbus facing delays and a notable engine recall, repair shops are busier than ever. The industry, once a $31 billion sector before the pandemic, has now ballooned to a $58 billion enterprise this year, according to Alton Aviation Consultancy.

GE Aerospace, along with hundreds of smaller specialists servicing engines from Pratt & Whitney and Rolls-Royce, is finding robust growth in this market. American Airlines, aiming to mitigate delays, has ramped up its in-house engine overhauls. At its Tulsa International Airport facility, the largest of its kind, the airline has increased its overhaul capacity by 60% compared to last year, now handling over 16 engines per month. This self-sufficiency is part of American’s strategy to control its operational destiny, as stated by COO David Seymour.

This increase in maintenance demand stems largely from the industry’s slow recovery post-pandemic, which saw a reduction in skilled workforce and postponed maintenance activities. Now, as travel demand rebounds, airlines are rushing to prepare their aging fleets, leading to prolonged and expensive overhauls.

Furthermore, supply chain issues continue to plague manufacturers like Airbus and Boeing, forcing airlines to rely even more on older jets. The delayed delivery of new, fuel-efficient models has only intensified the need for engine overhauls, further stressing the industry’s capacity.

The ongoing challenges are exemplified by American Airlines, which has strategically increased its overhaul capabilities to reduce dependency on external shops, where engine overhauls can take up to five times longer. This strategic shift not only streamlines operations but also positions American Airlines to better manage future supply disruptions.

Related news: https://airguide.info/category/air-travel-business/aircraft-finance/aircraft-supplier/

Sources: AirGuide Business airguide.info, bing.com, cnbc.com