ATR Looks to Future with Hybrid Aircraft and Steady Growth
Often overshadowed by its more famous neighbor Airbus, Toulouse-based ATR (Avions de Transport Régional) continues to quietly lead the global regional turboprop market. Founded in 1981 as a 50-50 joint venture between Airbus and Italian aerospace firm Leonardo, ATR has built a reputation for durable, fuel-efficient aircraft that dominate short-haul routes worldwide. With 200 customers across 100 countries, the manufacturer has emerged as a global player with deep roots in the Asia-Pacific region, supported by major hubs in Singapore and Miami in addition to its Toulouse base.
ATR’s Sales Director for Asia-Pacific, Jean-Daniel Kosowski, emphasized the company’s strategic presence in Singapore, where a regional support and sales office has operated since 1988. The manufacturer currently supports over 500 aircraft across Asia-Pacific alone, serving 80 customers. Kosowski highlighted the adaptability and low operating costs of ATR’s flagship aircraft—the ATR42 and ATR72—as key to its long-term success. Though these aircraft appear largely unchanged since their 1980s debut, modern upgrades such as digital cockpits, improved engines, and redesigned cabins keep them competitive.
Initially designed for short-haul, low-density markets, ATR’s turboprops have evolved to serve a broader range of missions and operators, including major names like IndiGo and FedEx. Kosowski likens the aircraft to a Swiss Army knife, capable of flying nearly anywhere with unmatched fuel efficiency and ruggedness. In fact, ATR holds a 75% market share in the regional turboprop sector, far outpacing competitors such as the now-discontinued Bombardier Q400.
The market environment has shifted drastically since ATR’s early days. Where once a multitude of regional manufacturers competed—Dornier, Fokker, Saab, and others—ATR now operates in a much smaller field. The rise and fall of regional jets like the Bombardier CRJ and Embraer ERJ further thinned competition. Kosowski noted that the true competition for ATR today is not other aircraft but alternative transportation, particularly on short routes where travelers may opt for cars, buses, or trains. With only 3% of global short-distance travel currently by air, ATR sees growth opportunity in capturing more of that segment.
As demand for sustainable aviation grows, ATR is looking ahead. The company is currently developing a hybrid-electric aircraft called EVO, targeting entry into service by 2030. Kosowski explained that the new propulsion system must offer meaningful cost and emission reductions to meet ATR’s stringent design goals. In the meantime, ATR is adding business class options and Starlink Wi-Fi to current models to meet evolving passenger expectations.
Despite supply chain challenges slowing deliveries, ATR posted $1.2 billion in revenue for 2024 and recorded 56 new orders, a 40% increase over the previous year. As the manufacturer pushes forward with innovation in hybrid aviation and regional connectivity, its legacy of efficiency, reliability, and global adaptability positions it well to lead the next chapter of regional flight.
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