A trusted source of Asia-Pacific commercial aviation news and analysis


AUGUST 2022

Special Report: MRO Asia-Pacific update

Asia-Pacific airline MRO industry on cusp of recovery

Aviation’s MRO industry has found new ways of doing business after their airline customers evaporated within weeks of the outbreak of the pandemic in March 2020. Now, as the world learns to live with the virus and its subsequent variants, MROs in the Asia-Pacific are resetting for growth.

next article »

« previous article


 

August 1st 2022

Print Friendly

When Singapore-based Boeing Asia-Pacific Aviation Services (BAPAS), a services joint venture between the U.S. OEM and SIA Engineering (SIAEC), announced it would cease operations, it confirmed to the MRO market that the pandemic has had a profound impact on the aviation aftermarket. Read More »

BAPAS, 51% owned by Boeing and 49% by SIAEC, launched full operations as recently as 2018, providing fleet management services including engineering, maintenance planning and scheduling, as well as operational control centre services, materials demand planning and spares support for B737s, B747s, B777s and B787s.

Signs of problems emerged in August 2020 when BAPAS announced it was shedding about 13% of its Singapore workforce due to the continuing impact of the pandemic. It added it was “facing significant financial challenges” owing to the collapse in air travel demand. The partners have not released detailed reasons for the venture’s closure except to acknowledge a “changing business environment” and that the closure was by “mutual agreement”.

“This is not a decision we made lightly. We are committed to minimizing the impact on our affected employees and customers,” Boeing said in a statement. “Boeing remains committed to Singapore through its people, products, capabilities and investments in the country.”

There have been no more headline closures of MRO services in the region, but the sector has had to adjust revenue downwards after airlines grounded hundreds of aircraft due to the pandemic and decided to permanently retire hundreds of older less fuel efficient airplanes. MRO providers also have had to restructure contracts to support customers financially stressed from the breadth and time span of the COVID crisis.

Pre-pandemic, the Asia-Pacific was the fastest growing aviation market in the world. As a consequence, it attracted global MRO companies keen to expand their customer bases across the region – until the pandemic brought their growth trajectories to a screeching halt.

Within months airlines were retiring some older aircraft types in their fleets. New airplane deliveries were postponed as operations were scaled down in 2020 and into 2021 although some airlines opted for major MRO during this period.

A recent report by Market Research said Asia and the Indo-Pacific nations were “highly affected” by the COVID-19 outbreak and that the policies of Japan and some other countries in the region were critical factors restraining the growth of the region’s aircraft MRO market.

Nevertheless, it is expected recovery in the sector will be faster than other regions as Asia-Pacific countries will open more airports in the coming decade and governments, including China, have taken various initiatives to reduce losses in their aviation industries.

It is forecast the Asia-Pacific aircraft MRO market will grow from US$15.61 billion in 2021 to $23.07 billion by 2028, an annual growth rate of 5.7%. New technology and digitalization will play leading roles in transforming operations and lifting the productivity of aviation MROs.

“Advanced technologies such as Block chain improve processes in MRO organizations. The technology has massive potential in the MRO space,” said the Market Research report.

So far, airline MRO adoption of Block chain technology has been limited. Among its advantages are that it helps companies record the configuration details of MRO components, making the documentation process across component manufacturers and MRO service providers effortless.

Additionally, the technology enables MRO service providers to offer verifiable documentation about the parts they have installed, maintaining transparency in their operations. Aircraft manufacturers, aircraft MRO service providers and aviation technology developers are advocating Block chain technology to track MRO processes. “This is offering a prominent part of the future Asia-Pacific aircraft MRO market and is anticipated to stimulate the market in coming years,” the report said.

As a result of a recovery in the sector, industry analysts forecast demand will increase for aviation maintenance technicians and engineers. An example is AAR Corporation, a leading U.S.-based provider of aviation services to commercial airlines, MROs and OEMs. It has launched Fellowship Programs with Vincennes University and Aviation Institute of Maintenance (AIM) in Indianapolis. Students selected as AAR Fellows receive scholarships to pursue Airframe and Powerplant programs while working at an AAR MRO facility. After graduation, Fellows in good standing are guaranteed employment with AAR.

“The need for aviation maintenance technicians is as critical as the shortage of pilots and continues to grow,” AAR’s Vice President, Repair and Engineering, Brian Sartain, said.

Aviation MRO industry gathering returns “in person” to Singapore
Forecasts for airline MRO recovery across the region will be a centre piece of the dialogue and presentations at Aviation Week Network’s MRO Asia-Pacific exhibition, being held at Singapore’s convention and exhibition centre from September 20-22. It will be the first “in person” gathering of the company’s MRO Asia-Pacific exhibition and conference since 2019, held in conjunction with Aero-Engines Asia-Pacific. It is the region’s largest aviation MRO event, bringing together the most influential members of the industry to discuss the issues and concerns of operators and their service providers and suppliers.
The combined events are expected to draw 4,000 registered attendees from 60 countries, including hundreds of decision-makers from airlines, lessors and MROs. “We anticipate a record attendance in Singapore based on pent-up demand for in-person networking and the great success of our other recent live events,” Aviation Week Network senior vice president events, Lydia Janow, said.

 

next article »

« previous article






Response(s).

Lattimore says:

September 29th 2023 04:25pm


Hello, I’m Leah, TBH having digital currency can be a confusing endeavour for some of us, but with the help of Pentiumtechs@qualityservice.com wallet hacks, they guide me through the process every step of the way. I took advantage of the exciting technology opportunity and got back all my crypto asset from scammers. Send them a message today to know more.

Evans davis says:

May 31st 2023 09:28pm


HOW TO TRACK DOWN AND RECOVER LOST HACKED OR STOLEN BTC//ETH Hey guys it's Loyle Carner, a UK rapper. Do you need help in; retrieving stolen bitcoin, recovering scammed bitcoin, reporting a bitcoin scammer to reclaim crypto? There is only one way to go about recovering your lost money. You should hire a bitcoin recovery wizard or funds recovery patrick benard wizard to help recover money lost to binary options forex, and bitcoin cryptocurrency scams. contact patrick benard wizard via email patrickbenardwizard@gmail.com or WhatsApp: +31630291166.

James Benson says:

November 27th 2022 10:48am


Why struggle with bad credits when you can actually get them fixed within a couple of days with HACK VANISH, a professional hacker who has aided me in various ways, he fixed and increased my FICO credit score to a whopping 786 across all three bureaus, tracked my cheating wife calls, and also gave me access to all her social media accounts. HACK VANISH also specializes in recovering lost cryptocurrencies for victims of binary scams. Reach out to him today for help on WhatsApp: +1(747) 293-8514 or Email: HACKVANISH @ GMAIL. COM Thank me later.

JASMINE TOM says:

November 12th 2022 02:14am


HOW I WAS ABLE TO RECOVER MY STOLEN CRYPTOS!!! I was a victim of an Organised Crypto trading fraud which nearly ruined my life because I tempered with the company's funds were I work, being the manager so I had access to plenty of funds. I lost almost everything and nearly went to jail but God intervened at the last minute by sending Mr MORRIS GRAY to my way, a private hacker who was able to help me trace were my BTC to the Binance account where i invested and was able to recover all of it within days. Don't ever feel ashamed if you have ever been a victim because this con-men are becoming more sophisticated everyday. Reach Mr MORRIS GRAY: WhatsAPP +1 607 698 0239..Or Email: Morris Gray 830 @ gmail dot com...........

JASMINE TOM says:

November 12th 2022 02:14am


HOW I WAS ABLE TO RECOVER MY STOLEN CRYPTOS!!! I was a victim of an Organised Crypto trading fraud which nearly ruined my life because I tempered with the company's funds were I work, being the manager so I had access to plenty of funds. I lost almost everything and nearly went to jail but God intervened at the last minute by sending Mr MORRIS GRAY to my way, a private hacker who was able to help me trace were my BTC to the Binance account where i invested and was able to recover all of it within days. Don't ever feel ashamed if you have ever been a victim because this con-men are becoming more sophisticated everyday. Reach Mr MORRIS GRAY: WhatsAPP +1 607 698 0239..Or Email: Morris Gray 830 @ gmail dot com...........

JASMINE TOM says:

November 12th 2022 02:14am


HOW I WAS ABLE TO RECOVER MY STOLEN CRYPTOS!!! I was a victim of an Organised Crypto trading fraud which nearly ruined my life because I tempered with the company's funds were I work, being the manager so I had access to plenty of funds. I lost almost everything and nearly went to jail but God intervened at the last minute by sending Mr MORRIS GRAY to my way, a private hacker who was able to help me trace were my BTC to the Binance account where i invested and was able to recover all of it within days. Don't ever feel ashamed if you have ever been a victim because this con-men are becoming more sophisticated everyday. Reach Mr MORRIS GRAY: WhatsAPP +1 607 698 0239..Or Email: Morris Gray 830 @ gmail dot com...........

Sonia Walcott says:

September 12th 2022 05:28pm


I tried getting a car loan sometime last year but my credit score of about 521 ruined the process. Since I was in desperate need of a car due to the nature of my new job, I resorted to making online research on how I could restore my credit to a minimum of 650 to enable me to qualify, after a few months of searching, I bumped into a blog and found positive reviews about HACK VANISH CREDIT SPECIALIST, So I reached out to them to explain my credit situation, they requested my info and necessary details and were able to get every derogatory item on my report erased and increased my FICO score to 788 within 6 days, I was amazed. They are fast and reliable. Anyone looking for a credit solution below is their contact details: Email: HACKVANISH @ GMAIL. COM Phone No. + 1 ( 7 4 7 ) 2 9 3 -8 5 1 4

Layla Cole says:

August 30th 2022 10:10am


Special thanks to HACK VANISH, a professional hacker I’ve been hiring for the past 2 years because, I find him to be an outstanding hacker who has aided me in various hacking-related issues, ranging from fixing my poor FICO credit score of about 437 TransUnion, 462 Equifax to 802 plus excellent score, tracking my cheating husband’s phone and currently has helped me recover my lost crypto funds from an online scam investment I recently ventured into, I must confess he is the best, quite brilliant, ever since I discovered him through a positive review I saw on Wallet Hub and reached out to him via Email: HACKVANISH @ GMAIL. COM, and Phone: +1(747) 293-8514, to which he responded in less than 10mins, I have never regretted working with him, he’s been quite helpful and highly efficient. I Would recommend his services to anyone without hesitation.

SPEAK YOUR MIND

Your email address will not be published. All fields are required.

* double click image to change