GE Engines Drive Recovery Amid Rising Cargo Demand

GE Engines Propel Aviation Recovery Amid Rising Cargo Demand

The aviation engine sector is witnessing a notable recovery as global air cargo demand strengthens, with General Electric (GE) engines playing a central role in this resurgence. Industry leaders are set to convene at Aviation Week’s Aero-Engines Europe conference in Amsterdam on September 10-11 to examine the evolving trends and technological advancements shaping the market. Despite persistent supply chain disruptions, data on engine utilization underscores the resilience of GE-powered aircraft, particularly within the cargo segment.

Strong Performance of GE Engines in Cargo Aviation

GE’s CF6 engine has been a cornerstone of the sector’s rebound. Throughout the pandemic, aircraft equipped with CF6 engines—mainly freighters—experienced a comparatively modest decline in utilization. In July 2019, CF6 engines powered a substantial fleet including over 300 Boeing 767 freighters, more than 125 Boeing 747 freighters, nearly 100 MD-10/11s, and 70 Airbus A300 freighters. By July 2024, the number of CF6-powered cargo aircraft had increased, with utilization rates recovering to over 80% of pre-pandemic levels. This recovery highlights the cargo market’s critical role in sustaining engine demand.

Similarly, the GE90 engine, which powers the Boeing 777 freighter, returned to full pre-pandemic utilization by early 2024. The GENX engine, used on the 747-8F and increasingly on new Boeing 787 deliveries, achieved 100% of its 2019 utilization as early as the beginning of 2022. Continued deliveries of GENX-powered aircraft have further strengthened GE’s position in the ongoing recovery. Nonetheless, GE and other manufacturers continue to face supply chain challenges that constrain production rates and delay engine deliveries, tempering the pace of recovery.

Challenges for Competitors Amid Durability and Utilization Issues

Competitors have encountered significant obstacles in regaining market momentum. Pratt & Whitney’s PW4000 engine, which powered over 200 cargo and nearly 500 passenger aircraft in July 2019, suffered a sharp decline in utilization following an uncontained engine failure in early 2021. Although the fleet began to recover after FAA clearance in May 2022, lingering durability concerns have affected market confidence.

Rolls-Royce’s Trent engines, primarily installed on passenger aircraft such as the Airbus A350 and Boeing 787 Dreamliner, experienced a steep drop in utilization during the pandemic due to diminished international travel. By July 2024, utilization had rebounded to approximately 90% of July 2019 levels, reflecting the gradual return of long-haul passenger demand. However, ongoing durability challenges continue to impede Rolls-Royce’s full recovery in the market.

Outlook for the Aviation Engine Market

The aviation engine industry has demonstrated a robust recovery from the widespread disruptions caused by the pandemic, with GE engines leading the resurgence in the cargo sector and newer aircraft models like the Boeing 787 contributing to renewed demand. Despite this progress, persistent supply chain constraints and durability issues among competitors have resulted in a cautiously optimistic outlook. As stakeholders gather in Amsterdam, the focus will remain on addressing these challenges to maintain momentum in the sector’s recovery.