IATA Warns Supply Chain Disruptions May Cost Airlines $11 Billion in 2025

Surge in Private Aviation Activity Across Greece The use of private aircraft throughout Europe has been steadily increasing, propelled by affluent individuals and businesses seeking enhanced flexibility and convenience. On average, 2,065 private flights were recorded daily across the continent last year, with Greek airports witnessing a particularly significant rise, especially during the peak summer months. Rising Demand and Key Destinations Over the summer season alone, Greece saw more than 8,000 private flights, both domestic and international, intensifying existing air traffic congestion. Between June and August this year, 3,324 private flights departed from Greek airports to international destinations, representing a 12% increase compared to the previous year. Major hubs for private jet and air taxi services include Athens, Rhodes, Corfu, Mykonos, Santorini, Iraklio, Paros, and Kalamata, which have become focal points for this expanding sector. Regulatory and Environmental Challenges The rapid expansion of private aviation in Greece has prompted increased scrutiny from regulatory authorities, who are raising concerns about airspace management and safety standards. Environmental issues are also coming to the forefront, as the growth in private jet traffic contributes to elevated carbon emissions. These developments have led to calls for stricter regulations and the adoption of more sustainable practices within the industry. Impact on Traditional Airlines and Tourism Traditional airlines and airport operators are closely monitoring the surge in private flights, recognizing the potential for heightened competition over premium travel services and airport resources. In response, some industry players are enhancing their service offerings or revising pricing strategies to maintain their appeal among high-end travelers. This shift in the aviation landscape may also have broader implications for tourism, as luxury travel options become increasingly accessible and varied. As private aviation continues to expand across Greece, stakeholders must navigate the complex balance between accommodating growth and addressing the accompanying regulatory, environmental, and competitive challenges.

FTAI Aviation and Finnair Forge Multi-Year Engine Exchange Partnership **New York and Helsinki, October 13, 2025** – FTAI Aviation Ltd. (NASDAQ: FTAI) has formalized a multi-year Perpetual Power Agreement with Finnair Plc, encompassing 36 CFM56-5B engines. This strategic collaboration replaces traditional engine shop visits with an engine exchange model, designed to enhance Finnair’s fleet flexibility, operational reliability, and maintenance cost predictability. Advancing Fleet Maintenance Through Engine Exchange FTAI’s Perpetual Power Program offers a tailored approach to engine fleet management by minimizing the need for costly and time-consuming shop visits. By guaranteeing engine availability and utilizing FTAI’s in-house maintenance capabilities, the program supports Finnair’s objectives of improving operational efficiency and controlling maintenance expenditures. David Moreno, Chief Operating Officer at FTAI Aviation, highlighted the program’s benefits, stating, “Perpetual Power is about cost savings and flexibility. Instead of being dependent on long, expensive overhauls, airlines can rely on FTAI for immediate engine exchange solutions that save money and keep their fleets operating at optimal utilization.” Christine Rovelli, Chief Revenue Officer at Finnair, underscored the strategic importance of the agreement, noting, “This agreement with FTAI strengthens our ability to adapt as our fleet evolves. By securing access to a flexible engine program, we can better manage maintenance costs, improve reliability, and continue to deliver a reliable product to our customers.” Industry Context and Challenges Ahead The partnership reflects a broader industry trend toward flexible and sustainable maintenance solutions. FTAI’s engine exchange model aligns with airlines’ increasing focus on optimizing fleet management while reducing environmental impact. This agreement may also influence competitive dynamics, encouraging other market players to enhance their engine exchange offerings or maintenance services. Nonetheless, the collaboration faces challenges, including the integration of new engine models, ensuring timely engine availability, and the implementation of comprehensive maintenance and training programs. Successfully navigating these complexities will be essential for both companies to fully capitalize on the advantages of the Perpetual Power Program. Investor response to the deal has been positive, with heightened interest in FTAI Aviation reflecting the strategic value of the partnership. As airlines and lessors seek innovative solutions to manage operational costs and meet sustainability goals, such agreements are poised to shape the future landscape of aircraft propulsion services. Company Profiles FTAI Aviation Ltd. is a leading provider of aftermarket power solutions for CFM56 and V2500 engines, which power many of the world’s most widely used commercial aircraft. Its Maintenance, Repair and Exchange (MRE) product delivers cost savings and operational flexibility through the lease, sale, and exchange of refurbished serviceable engines and modules. Additionally, FTAI manages and co-invests in on-lease narrowbody aircraft alongside institutional investors via its Strategic Capital Initiative. Finnair Plc is a network airline specializing in passenger and cargo connections between Asia, North America, and Europe. It is the only airline offering year-round direct flights to Lapland and has been recognized as the Best Airline in Northern Europe by Skytrax for 15 consecutive years. Finnair is a member of the oneworld alliance, with shares publicly traded on Nasdaq Helsinki.

United Airlines and the Airbus A350: What Went Wrong? United Airlines, known for operating one of the world’s largest widebody fleets exclusively composed of Boeing aircraft, has experienced a protracted and uncertain relationship with Airbus’s flagship widebody, the A350. Despite placing its initial order for the A350 in 2009, the airline has yet to integrate the aircraft into its fleet, more than 15 years later. This delay reflects a complex history of shifting commitments and evolving strategic considerations. A History of Shifting Orders United’s engagement with the A350 began with an order for 25 A350-900s, the smaller variant of the aircraft, in 2009. Four years later, in 2013, the airline increased its commitment to 35 aircraft, converting the order to the larger A350-1000 model. However, in 2017, United reversed course, reverting to the A350-900 and expanding the order to 45 aircraft, a figure that remains unchanged today. The A350 was initially slated to enter service with United in 2022, but repeated delays have pushed the expected delivery date back to at least 2030, with uncertainty persisting over whether the aircraft will be delivered at all. Fleet Strategy Amid Industry Shifts United’s hesitation regarding the A350 coincides with significant transformations within the commercial aviation sector. The airline is approaching a critical decision point on how to replace its aging Boeing 777-200 fleet. With a substantial number of Boeing 787-9s already on order, the A350-900 remains a potential option. However, United may once again revise its order, possibly increasing the number of aircraft or switching back to the larger A350-1000 variant to better align with evolving network demands, particularly on high-density international routes. At the same time, United faces intensifying competition from Airbus’s A320 family. The A320 series has recently surpassed the Boeing 737 as the most delivered commercial jet, driven by its versatility and the success of long-range variants such as the A321LR. This shift is influencing fleet strategies across the industry and could affect United’s market position, especially as airlines seek more flexible and fuel-efficient aircraft capable of serving both short- and long-haul routes. Competitor Moves and Market Dynamics Other major carriers are also reevaluating their widebody fleets in response to changing market dynamics. Lufthansa, for instance, plans to streamline its long-haul operations by retiring six aircraft types, including the A340, and concentrating on the A350 and Boeing 787. This strategy may reshape competitive dynamics on key international routes. Similarly, Emirates is expressing interest in larger versions of both the Boeing 777X and Airbus A350, reflecting a broader industry trend toward more efficient, next-generation long-haul aircraft. The Future of United’s Widebody Fleet United currently operates 19 Boeing 777-200s, each configured to seat up to 364 passengers in a two-class layout. As the world’s largest operator of this model, the airline faces increasing pressure to modernize its widebody fleet. Whether the A350 will ultimately join United’s lineup remains uncertain. The decision will be influenced by ongoing industry trends, competitive pressures, and the airline’s imperative to balance operational efficiency with network flexibility. As the commercial aviation landscape continues to evolve, United’s forthcoming decisions regarding the A350 will be closely observed, serving not only as a fleet update but also as an indicator of how legacy carriers are adapting to a rapidly changing market environment.

Bombardier Confirms Comlux as Global 8000 Customer with 2026 Delivery Bombardier has officially announced that Comlux, a prominent business aviation company, will take delivery of the Global 8000 aircraft in 2026. The confirmation was made during the NBAA-BACE 2025 event in Las Vegas, marking a significant milestone for both companies. This development underscores Bombardier’s sustained commitment to innovation within the ultra-long-range business jet market. The Global 8000: A New Benchmark in Ultra-Long-Range Business Jets The Global 8000 is recognized as the world’s fastest purpose-built business jet, boasting a range of 8,000 nautical miles. It is engineered to provide seamless connectivity between major global cities, combining advanced technology with a refined cabin experience. The aircraft aims to establish new standards in performance, comfort, and efficiency, catering to the demands of discerning travelers. Éric Martel, President and CEO of Bombardier, emphasized the strategic alignment between the aircraft and Comlux’s clientele. He stated, “The Bombardier Global 8000 jet offers the perfect balance of ultra-long-range performance and refined passenger experience—an ideal fit for Comlux’s discerning clientele. As our valued business relationship continues to grow, the Global 8000 aircraft will deliver its exceptional performance and signature smooth ride to Comlux’s customers around the world.” Andrea Zanetto, CEO of Comlux Aviation, highlighted the aircraft’s role in enhancing the company’s charter services. He noted, “The Bombardier Global 8000 aircraft integrates perfectly into our long-range fleet, in between our wide-body fleet and our Global 6500 fleet. At Comlux, we offer comfort in ownership and luxury in flight. This aircraft allows us to offer ultra-long-range solutions and marks the beginning of an exciting new chapter as we continue to attract more clients for the operation of Global 7500 and Global 8000.” Market Context and Support Infrastructure The addition of the Global 8000 to Comlux’s fleet comes amid intensifying competition in the ultra-long-range business jet segment. Bombardier faces ongoing challenges to maintain the aircraft’s leading speed and range capabilities, particularly against competitors such as Airbus’s ACJ TwoTwenty. Industry analysts suggest that Bombardier’s confirmation of Comlux as a customer may stimulate greater market interest in its ultra-long-range offerings, while encouraging rivals to enhance their own products. Supporting the Global 8000’s entry into service, GE Aerospace is supplying Passport engines, which are critical to the aircraft’s performance and reliability. Furthermore, Bombardier is expanding its maintenance, repair, and overhaul (MRO) network, including new facilities in Fort Wayne, Indiana, to provide comprehensive support for the Global 8000 and its operators. As the Global 8000 prepares for delivery, its adoption by leading operators such as Comlux signals robust demand for advanced, long-range business jets. Bombardier’s ongoing investments in technology, customer support, and service infrastructure position the company to meet evolving market expectations and sustain its competitive advantage in the global business aviation sector.

Why Airbus Is Developing a New Version of the A220 Airbus has announced a significant interior upgrade for its single-aisle A220 aircraft, introducing the acclaimed Airspace cabin concept. This enhancement aims to bring the A220 in line with other contemporary Airbus models such as the A350, A330neo, and A320neo by incorporating lighter, larger overhead storage bins, improved lighting systems, and an overall elevated passenger experience. The Airspace cabin upgrade is scheduled to debut in 2026, with retrofit options for existing A220 aircraft planned for subsequent years. In addition, Airbus revealed plans for a higher-capacity A220-300 variant, capable of seating 160 passengers—an increase of 10 seats—expected to enter service in 2027. Enhancing Passenger Experience and Airline Efficiency The Airspace cabin is designed to create a more relaxing and visually appealing environment for passengers while simultaneously improving operational efficiency for airlines. One of the key features includes highly customizable under-bin LED lighting, offering up to 16 million color options. This allows airlines to tailor the cabin ambiance to enhance passenger comfort and reinforce brand identity. Airbus asserts that these lighting systems can contribute to reducing jet lag by as much as four hours. The A220 already stands out for having the largest windows in its class, measuring 11 by 16 inches—surpassing even those on the Boeing 777. The Airspace design further accentuates these windows with tapered surrounds, maximizing the influx of natural light and providing passengers with expansive, eye-level views. A notable improvement in the upgrade is the introduction of Airspace XL overhead bins, which are 20% lighter and offer 15% more storage capacity compared to previous designs. These bins also feature simplified mechanisms that facilitate faster turnaround times at airports, thereby enhancing airline operational efficiency. Navigating Technical and Market Challenges Despite these advancements, the A220 program continues to face challenges, particularly related to the Pratt & Whitney PW1500G engines. Reliability issues have affected some operators, with Air Austral recently retiring its A220-300 fleet due to persistent engine problems. Nonetheless, market interest in the A220 remains robust. Airlines such as Animawings are expanding their A220-300 fleets, while Croatia Airlines has introduced the A220-100, underscoring ongoing confidence in the aircraft’s capabilities. Competition within the segment is intensifying, notably from Embraer’s E2 series, which currently outperforms the A220 in utilization rates. This competitive pressure underscores the importance for Airbus to address reliability concerns and continue enhancing the A220’s appeal to airlines. The A220’s Modern Foundation Originally launched as the Bombardier C Series, the A220 entered commercial service in 2016 before Airbus acquired a majority stake and rebranded the aircraft in 2018. The A220-100 variant was first operated by Swiss Global Air Lines, while the A220-300 began service with airBaltic. The aircraft incorporates advanced technologies such as fly-by-wire controls, a carbon composite wing, and an aluminum-lithium fuselage, all contributing to its notable fuel efficiency and performance. Looking Ahead With the forthcoming Airspace cabin upgrade and the introduction of a higher-capacity variant, Airbus aims to strengthen the A220’s position in the competitive single-aisle market. While technical challenges remain, continued investment in passenger comfort and operational efficiency is expected to sustain the aircraft’s attractiveness to both airlines and travelers.

Verijet Receiver Files for Chapter 7 Bankruptcy in the U.S. The receiver for Verijet, a company specializing in jet printing technology and private aviation services, has filed for Chapter 7 bankruptcy in the United States Bankruptcy Court for the Southern District of Florida. The filing, submitted on October 9, reveals that Verijet holds approximately $2.5 million in assets against liabilities totaling $38.7 million, underscoring the company’s severe financial distress and the impending liquidation of its remaining assets. Financial Position and Key Assets Verijet’s assets are primarily linked to an insurance claim against Cirrus Aircraft, stemming from the crash of a 5.2-year-old Vision Jet G2 (N15VJ) shortly after takeoff from Indianapolis Regional Airport on November 25, 2022. The accident caused significant damage, leaving the insurance claim as one of the company’s principal remaining assets. On the liabilities side, Verijet faces 234 unsecured claims, including 81 jet card customers owed a combined $10.5 million. The largest individual claim amounts to $728,000. Other creditors include aircraft lessors, maintenance and repair providers, fixed-base operators, fuel suppliers, original equipment manufacturers, and various aviation-related firms. Company History and Operational Decline Founded by Richard Kane, who passed away in September 2025, Verijet initially obtained its Part 135 certificate in August 2020 and experienced rapid growth, expanding its fleet to 20 Vision Jet aircraft by early 2023. Kane had envisioned growing the fleet to over 130 aircraft. However, mounting legal and financial challenges forced the company to downsize significantly, reducing its fleet to just five jets by the end of 2023. As of July 2025, Verijet’s Part 135 certificate covered a Vision Jet G2 stationed in Las Vegas and two Vision Jet G2+ aircraft, with only one remaining active and flying intermittently. Implications for the Industry The Chapter 7 bankruptcy filing represents a major development for both the jet printing technology sector and the private aviation market. The liquidation process will likely result in the sale of Verijet’s assets and may lead to job losses among its workforce. Customers and suppliers face potential disruptions due to the sudden cessation of operations, while competitors might seize the opportunity to expand their market share, particularly if Verijet had previously held a significant position in the industry. Market reactions to the bankruptcy are expected to be mixed. Investors may respond negatively, potentially affecting the stock prices of comparable companies within the sector. The abrupt shutdown also raises broader concerns about the financial stability of other firms operating in the jet printing and private aviation markets. As Verijet’s assets are liquidated and its operations wind down, industry stakeholders will be closely monitoring how competitors, customers, and investors adjust to the company’s exit from the market.

Army Reviews Supply Chain Risks to Ensure MV-75 Aircraft Delivery by 2027 The U.S. Army is intensifying its efforts to address supply chain vulnerabilities as it aims to deliver the prototype of its Future Long-Range Assault Aircraft, the MV-75, by fiscal year 2027. Brigadier General David Phillips, program executive officer for Army aviation, revealed that the Army has conducted a thorough assessment of its suppliers to ensure the ambitious timeline remains feasible. This comprehensive review spans a wide range of components, from landing gear to engine manufacturers, with Army officials actively engaging suppliers to verify their capacity to scale production. Production Timeline and Supply Chain Challenges Despite calls from senior Army leadership to accelerate the MV-75’s deployment, the service’s plan to commence production of the advanced tiltrotor in fiscal year 2028 remains unchanged. Textron’s Bell, which secured the contract in late 2022 over a Lockheed Martin Sikorsky-Boeing consortium, is spearheading the development. Brig. Gen. Phillips emphasized the critical importance of an energized and coordinated supply chain, noting that all parties must work collaboratively to meet the schedule. While the supply chain is demonstrating readiness to accelerate, it continues to represent the highest risk to the program’s timeline. Accelerating a major procurement program inherently involves risks, but Army aviation leaders and Bell contend that advances in digital design, engineering, and a robust technology demonstration have mitigated many challenges. The program has benefited from over 200 hours of flight testing with the V-280 Valor tiltrotor, which has informed development and reduced uncertainties. Phillips stated, “We intend to deliver the prototype aircraft in FY27—earlier is better—and then in FY28, go into production. The goals are realistic; they don’t come without some risk.” The Army plans to complete the critical design review in 2026, after which hardware production will intensify. Bell has already begun manufacturing numerous components and has chosen to produce the aircraft’s fuselage in-house at its Wichita, Kansas facility. Training and Requirements Integrity Training infrastructure is progressing alongside production efforts. The U.S. Marine Corps recently delivered an MV-22 tiltrotor to Fort Rucker, Alabama, where Army aviators are training on simulators and conducting joint flights with Marine crews. Major General Clair Gill, commander of the Army Aviation Center of Excellence, highlighted this collaborative training approach as a key element in preparing pilots for the MV-75. Despite the accelerated timeline, Army officials stress that no requirements have been compromised. Brigadier General Cain Baker, who oversees the service’s future vertical lift initiatives, affirmed that the program is not trading any capabilities for speed. Critical priorities such as the right to repair, modular open system architecture, speed, range, and sustainability remain firmly in place. Bell has committed fully to meeting these stringent requirements. Market Dynamics and Strategic Implications The Army’s focus on maintaining rigorous standards comes amid a shifting military aviation landscape influenced by the MV-75 program. Ongoing negotiations between Sikorsky and the Army regarding Black Hawk helicopters, alongside Boeing’s recent entry into the large vertical takeoff and landing unmanned aerial system (VTOL UAS) market with its CxR concept, underscore increasing competition. These developments are likely to impact supply chain strategies and the Army’s evolving approach to command and control systems, which now prioritize rapid iteration and adaptability. As the Army advances toward delivering the MV-75 on schedule, the interplay between supply chain readiness, technological innovation, and market competition will remain pivotal to the program’s ultimate success.

Virgin Atlantic Appoints Corneel Koster as CEO, Succeeding Shai Weiss Virgin Atlantic has announced that Corneel Koster will succeed Shai Weiss as Chief Executive Officer, effective January 1, 2026. Currently serving as the airline’s Chief Customer and Operating Officer, Koster’s appointment marks a significant leadership transition as Virgin Atlantic aims to strengthen its position in the highly competitive international aviation market. Extensive Industry Experience and Leadership Corneel Koster brings over 30 years of experience in the aviation sector, having held senior positions at Delta Air Lines, Aeroméxico, and KLM. Since rejoining Virgin Atlantic in 2019, he has been a key figure on the Board and as Chief Customer Officer, guiding the airline through the unprecedented challenges posed by the COVID-19 pandemic. His leadership has been central to the airline’s operational resilience and digital transformation efforts, helping to navigate one of the most turbulent periods in Virgin Atlantic’s history. Shai Weiss, who has led the airline since 2019, has overseen a period of remarkable recovery and growth. Under his stewardship, Virgin Atlantic returned to profitability and achieved record performance in 2024. Weiss’s tenure was marked by a focus on strengthening the airline’s internal culture and elevating its brand, culminating in a Five-Star rating from the Airline Passenger Experience Association (APEX) and recognition as Newsweek’s No.1 Most Loved Workplace. His efforts positioned Virgin Atlantic as a premium flag carrier with a robust foundation for future expansion. Challenges and Future Direction As Koster prepares to assume the CEO role, he faces the dual challenge of maintaining operational stability and advancing the airline’s digital modernization amid ongoing post-pandemic recovery. Industry analysts will be closely monitoring how he applies his extensive crisis management experience to sustain Virgin Atlantic’s growth trajectory. The leadership change occurs amid intensified competition, with other carriers such as Gulf Air also undergoing executive transitions, potentially creating opportunities and risks within the sector. Koster’s strategic vision emphasizes expanding Virgin Atlantic’s global reach and enhancing its service offerings while preserving the airline’s reputation for customer excellence and its distinctive challenger spirit. He has played a pivotal role in key initiatives, including the introduction of the A330neo aircraft and the airline’s broader digital transformation agenda, signaling his commitment to building on Weiss’s legacy. Sir Richard Branson, Virgin Atlantic’s founder, commended Weiss for his exceptional leadership during a challenging era and expressed confidence in Koster’s ability to steer the airline toward a promising future. As Virgin Atlantic embarks on this new chapter, the focus remains firmly on innovation, customer experience, and sustaining its status as a leading transatlantic carrier.

FL Technics Emphasizes Agility as Key Advantage for Independent MROs The global commercial aviation fleet is experiencing significant growth, with projections estimating an increase from 28,400 aircraft currently to 36,400 by 2034. This expansion is driving heightened demand for heavy maintenance services, where rapid turnaround times (TaT) and uncompromised quality are critical. In this dynamic environment, independent maintenance, repair, and overhaul (MRO) providers are emerging as preferred partners, capitalizing on their agility and client-centric approach to differentiate themselves from traditional operators. Independent MROs Responding to Industry Challenges Žilvinas Lapinskas, CEO of FL Technics Group—a global MRO provider currently developing the first independent heavy maintenance hangar in the Dominican Republic—notes that airlines increasingly prioritize partners capable of delivering both speed and adaptability. This expectation extends beyond technical proficiency to include contractual flexibility. Lapinskas explains that direct access to management within independent MROs facilitates faster decision-making, reduces slot confirmation times, and accelerates approvals for repairs and parts procurement. Unlike airline- or government-operated MROs, independents are not constrained by internal fleet priorities or bureaucratic processes, enabling them to serve external clients with greater responsiveness. The industry is currently contending with a maintenance backlog, partly due to airlines postponing scheduled work. Lapinskas observes that bureaucracy often impedes timely service in major airline-owned MROs, which must adhere to extensive procedures and prioritize their own fleets. In contrast, independent providers have no home fleet obligations, allowing them to prioritize external clients equally and deliver more expedient maintenance solutions. Strategic Expansion and Operational Efficiency Independent MROs are increasingly viewed as collaborative partners within the aviation ecosystem. When their own facilities reach capacity, even major airlines turn to independents for flexible and reliable support. FL Technics emphasizes a human-centered service model and operational flexibility as core strengths. The company’s new Punta Cana facility will specialize in heavy maintenance for Airbus A320 and Boeing 737 family aircraft, enabling tailored solutions rather than generic service offerings. Reducing turnaround time remains a central objective for MRO providers, requiring efficient parts management, a skilled workforce, and meticulous planning. Independent MROs, unencumbered by internal orders, are often better positioned to optimize these factors. FL Technics plans to allocate up to 500 man-hours per bay daily at its Punta Cana site, employing proven strategies to enhance staff skills and maximize operational efficiency. Navigating Regional Challenges and Competitive Landscape As FL Technics expands in the Caribbean, it faces several challenges, including competition from established regional MRO providers, regulatory compliance complexities, and the need to secure a qualified workforce to meet operational demands. The company anticipates increased scrutiny from aviation authorities and potential shifts in client preferences favoring more established providers. Competitors may respond by enhancing their service offerings or expanding geographically to maintain market share. Despite these obstacles, FL Technics remains confident that its independent and agile business model, combined with a strategic location and focus on specialized aircraft types, will position it as a preferred partner for airlines seeking faster and more flexible maintenance solutions.

AFI KLM E&M Secures Engine Maintenance Contract with Shenzhen and Kunming Airlines Air France Industries KLM Engineering & Maintenance (AFI KLM E&M) has renewed and expanded its partnership with Shenzhen Airlines and its subsidiary Kunming Airlines through a newly awarded three-year engine maintenance agreement. Effective from 2025 to 2027, the contract encompasses comprehensive maintenance services for the widely used CFM56-7B engines, reinforcing AFI KLM E&M’s position as a key player in the global aircraft maintenance sector. Strengthening a Decade-Long Partnership Shenzhen Airlines, headquartered in Guangdong Province, ranks as the fifth largest airline in mainland China, operating a fleet exceeding 200 aircraft. Its extensive network connects major Chinese cities with international destinations including Hong Kong, Macao, Taiwan, the United Kingdom, Spain, Qatar, Japan, South Korea, and Southeast Asia. AFI KLM E&M has been servicing Shenzhen Airlines’ CFM56-7B engines for over ten years, a relationship now further solidified by this renewed agreement. Under the terms of the contract, all engine maintenance will be conducted at KLM’s renowned Engine Facilities in Amsterdam. This arrangement leverages AFI KLM E&M’s advanced technical expertise and deep experience with the CFM56-7B engine model. Tommaso Auriemma, Vice President of Sales Asia Pacific at AFI KLM E&M, highlighted the company’s commitment to delivering reliable, high-quality maintenance services tailored to the evolving operational demands of its airline partners. He noted that, amid challenges such as fleet optimization and peak engine removal cycles, the company’s slot management and global Aircraft on Ground (AOG) support will ensure Shenzhen and Kunming Airlines maintain the highest standards of safety and operational efficiency. Wu Jun, Vice President of Shenzhen Airlines, described the selection of AFI KLM E&M as a primary supplier for CFM56-7B engine repairs as a strategic decision aimed at enhancing fleet reliability and operational performance. He expressed confidence that AFI KLM E&M’s extensive maintenance experience and global service capabilities would support the airline’s growth objectives while safeguarding passenger safety. Navigating a Competitive MRO Landscape This agreement arrives amid intensifying competition within the engine maintenance, repair, and overhaul (MRO) sector. Established providers such as EAP have recently broadened their service portfolios to include major engine models, heightening competitive pressures. While some airlines are attracted to lower-cost maintenance options, others prioritize the reputation and proven reliability of long-standing MRO providers. In response, industry players are expected to enhance their service offerings to retain and attract clients like Shenzhen and Kunming Airlines. As AFI KLM E&M continues to strengthen its presence in the Asia-Pacific region, its ability to provide flexible, high-quality maintenance solutions will be critical in a market where both cost efficiency and service reputation significantly influence airline procurement decisions.