Aircraft Orders & Deliveries
FedEx Adds First Converted ATR 72-600 Freighter to Fleet
FedEx modernizes regional cargo ops with fuel-efficient converted ATR 72-600 freighter offering 40% lower fuel use and 30% reduced CO2 emissions.
In a significant move for the regional air cargo industry, FedEx Express has committed to purchasing the world’s first passenger-to-freighter (P2F) converted ATR 72-600 aircraft. The aircraft, originally designed for passenger service, has undergone a comprehensive conversion to meet the specific demands of freight logistics. This initiative, led by ACIA Aero Leasing and executed by Empire Aerospace, marks a strategic milestone for FedEx as it seeks to modernize its regional fleet amidst shifting market dynamics and growing e-commerce volumes.
Scheduled for delivery in December 2025, this aircraft represents FedEx’s first acquisition of a converted freighter since 2016 and its first converted ATR since 2011. The move underscores FedEx’s broader commitment to cost-efficiency, sustainability, and operational flexibility in its feeder network operations. As the largest operator of ATR freighters globally, FedEx’s adoption of this converted model could signal a wider industry shift toward P2F conversions as a viable alternative to new-build freighters.
With proprietary modifications including a large cargo door, reinforced flooring, and compatibility with standard Unit Load Devices (ULDs), the converted ATR 72-600 is tailored to the specific needs of FedEx’s regional network. This development not only enhances FedEx’s capacity but also extends the service life of existing aircraft, offering a sustainable and economical solution for short-haul cargo operations.
The conversion of the ATR 72-600 from a passenger aircraft to a freighter involves extensive structural and systems modifications. ACIA Aero Leasing launched this speculative program in 2024, with Empire Aerospace, a sister company of Empire Airlines, handling the physical transformation. The process, which takes between four to seven months, includes the installation of a 3.45×1.95 meter forward large cargo door, a rear flip door, and a reinforced cargo floor capable of supporting a 9.2-tonne payload.
Additional enhancements include the integration of vertical restraint nets for bulk cargo, lateral track systems for containerized freight, and Class E fireproofing for the cargo compartment. These features ensure the aircraft is compliant with regulatory requirements and optimized for FedEx’s high-frequency, short-haul operations. The aircraft is also designed to accommodate up to seven LD3 containers or five 88×108-inch pallets, aligning with industry-standard cargo handling systems.
One of the standout features of this conversion is its cold-weather capability. Modified engine bleed air systems allow for reliable performance in temperatures as low as -40°C, making the aircraft suitable for operations in extreme environments such as Alaska and Northern Canada. Updated avionics, including enhanced ground proximity warning systems and optimized weight-and-balance software, further tailor the aircraft for efficient cargo operations.
“FedEx’s selection of our converted 72-600LCD reflects their demand for next-generation regional freighters with enhanced capabilities.”, Mark Dunnachie, SVP Commercial, ACIA Aero Leasing
FedEx’s decision to incorporate a converted ATR 72-600 into its fleet is part of a broader strategy to modernize and optimize its regional aircraft operations. The company currently operates the largest ATR freighter fleet in the world, consisting of 24 factory-built ATR 72-600Fs, 19 ATR 72-200s, and 16 ATR 42s. These aircraft are primarily used in feeder networks across North America and Europe, operated by regional partners such as Empire Airlines and ASL Airlines Ireland.
The converted ATR 72-600 will replace older ATR 72-200 models, which are less fuel-efficient and lack modern cargo capabilities. This transition supports FedEx’s ongoing efforts to align capacity with evolving demand patterns, particularly in the wake of the COVID-19 pandemic, which reshaped global logistics and accelerated the growth of e-commerce. The aircraft’s 900-nautical-mile range and ability to operate from short runways make it ideal for serving smaller markets that are not economically viable for larger jets. Financially, the conversion offers significant advantages. Compared to new-build freighters, the converted ATR 72-600 costs approximately 60–70% less and extends the airframe’s service life by 15–20 years. With fuel consumption 40% lower per ton-mile than comparable regional jets, the aircraft provides an estimated $450,000 in annual fuel savings per unit, enhancing FedEx’s cost-efficiency and environmental sustainability.
The global market for passenger-to-freighter conversions is experiencing rapid growth, driven by increasing e-commerce demand and the retirement of aging aircraft. According to industry analysts, the P2F market is projected to reach $6.4 billion by 2032, growing at a compound annual growth rate of 11.1%. Regional turboprops like the ATR 72 are particularly well-suited for conversion due to their robust design, high-wing configuration, and operational versatility.
In North America, express carriers such as FedEx and UPS are leading the charge in fleet modernization through conversions. The ATR platform dominates the regional P2F segment, holding a 68% market share. Regulatory agencies like the FAA and EASA have also streamlined certification processes, reducing conversion timelines and making the process more cost-effective for operators.
ACIA Aero Leasing has emerged as a key player in this space, delivering multiple ATR freighters in under two years and initiating discussions with other global operators for additional conversions. The success of FedEx’s initiative could serve as a catalyst for broader adoption of ATR 72-600 conversions across the industry.
Once delivered, the converted ATR 72-600 is expected to be deployed in FedEx’s Memphis or Cologne hubs, serving high-density regional routes such as Memphis-Chicago or Cologne-Amsterdam. These routes benefit from the aircraft’s quick turnaround capabilities, enabled by the rear flip door and front cargo loading system, which reduce ground time to approximately 35 minutes.
The aircraft will also support peak season operations, providing additional capacity during periods of high demand without necessitating permanent fleet expansion. Secondary markets, which previously relied on truck transport, will gain access to faster air services, improving delivery times and customer satisfaction.
From an environmental perspective, the aircraft aligns with FedEx’s goal of achieving carbon neutrality by 2040. With 30% lower CO2 emissions compared to jet-powered freighters, the ATR 72-600 conversion contributes to the company’s broader sustainability objectives while maintaining operational efficiency.
FedEx’s acquisition of the world’s first converted ATR 72-600 freighter represents a forward-thinking approach to fleet management and regional logistics. By leveraging the cost and operational benefits of P2F conversions, FedEx is enhancing its agility in a rapidly evolving market while maintaining its leadership in regional cargo transport. As the air cargo industry continues to adapt to new economic realities and environmental imperatives, FedEx’s strategic investment in converted aircraft could pave the way for broader adoption of similar solutions. The successful integration of this aircraft into FedEx’s network will be closely watched by industry stakeholders, potentially setting new standards for regional air freight operations.
What is the ATR 72-600 conversion? It is a passenger aircraft modified to carry freight, including structural changes like a large cargo door and reinforced flooring.
Why did FedEx choose a converted aircraft over a new one? Converted aircraft offer significant cost savings and faster deployment compared to new-build freighters.
Who performed the conversion for FedEx? The conversion was done by Empire Aerospace, under a program initiated by ACIA Aero Leasing.
When will the aircraft be delivered? The converted ATR 72-600 is expected to be delivered by December 2025.
How does this fit into FedEx’s sustainability goals? The aircraft emits 30% less CO2 than comparable jets, supporting FedEx’s goal of carbon neutrality by 2040.
FedEx Acquires the World’s First Converted ATR 72-600 Freighter
Technical Innovations in the ATR 72-600 Conversion
FedEx’s Strategic Fleet Modernization
The Growing Passenger-to-Freighter Market
Operational Deployment and Network Impact
Conclusion
FAQ
Sources
Photo Credit: FedEx
Aircraft Orders & Deliveries
China Airlines Orders Five Additional Airbus A350-1000 Aircraft
China Airlines adds five Airbus A350-1000s to its fleet, enhancing capacity on transpacific and European routes with deliveries from 2026.
This article is based on an official press release from Airbus and additional industry data regarding fleet modernization.
China Airlines (CAL) has officially signed a firm orders for five additional Airbus A350-1000 aircraft, signaling a continued commitment to modernizing its long-haul operations. Announced on December 18, 2025, this agreement increases the Taiwan-based carrier’s total backlog for the A350-1000 variant to 15 aircraft. The move is part of a broader strategy to replace aging widebody jets and enhance capacity on high-density routes connecting Asia with North America and Europe.
According to the official statement released by Airbus, these new aircraft will join the airline’s existing fleet of 15 A350-900s. The decision to expand the A350-1000 order book underscores the operator’s reliance on the A350 family’s commonality, which allows for streamlined pilot training and maintenance procedures. Deliveries for the newly ordered jets are scheduled to commence in 2026 and continue through 2029.
The deal also highlights the competitive landscape of widebody aviation in the Asia-Pacific region. By securing these additional units, China Airlines aims to deploy its flagship product on slot-constrained routes where maximizing passenger count per movement is critical. The aircraft will be powered by Rolls-Royce Trent XWB-97 engines, known for their efficiency in long-range operations.
China Airlines plans to utilize the A350-1000 primarily for its most prestigious long-haul markets. Industry reports indicate that the aircraft will be deployed on key transpacific routes to New York (JFK), Los Angeles (LAX), Seattle (SEA), and Ontario, California (ONT), as well as European hubs like London Heathrow (LHR). The A350-1000 offers significantly higher capacity than the -900 variant, making it a strategic asset for airports with limited landing slots.
Coinciding with these deliveries, the airline is preparing to unveil a major upgrade to its onboard product. Sources familiar with the carrier’s fleet planning suggest a new cabin design will debut in 2027. This retrofit is expected to feature business class suites with closing doors, 4K entertainment screens, and wireless charging capabilities, aiming to rival premium competitors such as Singapore Airlines and Cathay Pacific.
The interior aesthetic will likely continue the carrier’s “Oriental aesthetics” theme, utilizing persimmon wood-grain finishes and mood lighting to evoke a boutique hotel atmosphere. While the current A350-900 seats 306 passengers, the larger -1000 variant is projected to accommodate between 350 and 400 passengers, providing a substantial boost in premium economy and economy seat inventory.
Both China Airlines and Airbus executives emphasized the efficiency and passenger comfort benefits of the A350-1000. In the official press release, Kao Shing-Hwang, Chairman of China Airlines, noted the alignment of this order with the carrier’s sustainability and service goals. “Expanding our A350-1000 fleet marks another important step in our long-term growth strategy. The A350’s exceptional efficiency and passenger comfort align with our goals to modernize our fleet, enhance long-haul competitiveness, and deliver an elevated travel experience to our customers.”
Kao Shing-Hwang, Chairman of China Airlines
Benoit de Saint-Exupéry, Airbus EVP Sales, added that the repeat order validates the aircraft’s performance in the heavy widebody segment.
“This follow-on order is a strong vote of confidence in the A350-1000 as the right aircraft for China Airlines’ future network ambitions. Its next-generation efficiency, range, and cabin comfort brings even greater value to the airline and its passengers.”
Benoit de Saint-Exupéry, Airbus Sales
This order reinforces a “split fleet” procurement strategy that has become increasingly common among major global carriers. While China Airlines has committed to the Boeing 777X for specific high-volume trunk routes and the 787 Dreamliner for regional replacement, the expansion of the A350-1000 fleet secures Airbus’s position as the backbone of the airline’s medium-to-large widebody operations.
From a financial perspective, based on 2025 list prices of approximately $366.5 million per unit, the deal holds a theoretical face value of roughly $1.83 billion, though actual acquisition costs are typically 40-50% lower after standard industry discounts. Environmentally, the shift is significant; the A350-1000 offers a 25% reduction in fuel burn compared to the previous generation aircraft it replaces, such as the Boeing 747-400 freighters and older passenger jets. This efficiency gain is a critical component of the airline’s roadmap to achieving Net Zero carbon emissions by 2050.
China Airlines Bolsters Long-Haul Capacity with Additional A350-1000 Order
Strategic Deployment and Cabin Innovation
Next-Generation Passenger Experience
Executive Commentary
AirPro News Analysis
Sources
Photo Credit: Airbus
Aircraft Orders & Deliveries
Natilus Launches India Subsidiary and Secures SpiceJet Aircraft Order
Natilus expands into India with a Mumbai subsidiary and a 100-aircraft order from SpiceJet for its Horizon blended-wing body plane.
This article is based on an official press release from Natilus.
Natilus, a U.S.-based aerospace manufacturers specializing in Blended-Wing Body (BWB) Commercial-Aircraft, has officially announced its expansion into the Indian aviation market. According to the company’s press release, the move includes the debut of a new subsidiary, Natilus India, headquartered in Mumbai. This strategic expansion is designed to address the growing demand in one of the world’s fastest-developing aviation sectors.
Coinciding with the launch of the new subsidiary, Natilus announced a significant commercial agreement with Indian low-cost carrier SpiceJet. The Airlines has committed to purchasing 100 units of Natilus’s “Horizon” passenger aircraft. The company noted that this transaction is subject to the successful Certification of the aircraft, which is currently in the development phase.
The establishment of Natilus India represents a direct effort to localize operations within a key global market. In its announcement, Natilus confirmed the appointment of Ravi Bhatia as the Regional Director for the new subsidiary. Bhatia’s role will focus on overseeing in-country operations, managing regulatory engagement with Indian aviation authorities, and fostering industrial Partnerships.
The company stated that this move aligns with India’s “Make in India” initiative. By establishing a physical presence in Mumbai, Natilus aims to source components and engineering services locally, integrating Indian manufacturing capabilities into its global Supply-Chain.
The purchase order from SpiceJet marks a pivotal moment for the “Horizon” program. If completed, this deal would position SpiceJet as an early adopter of BWB technology in the region. The “Horizon” is Natilus’s flagship passenger model, designed to seat between 200 and 240 passengers.
According to performance data released by Natilus, the aircraft is engineered to replace traditional narrowbody fleets, such as the Boeing 737 and Airbus A320 families, with a range of approximately 3,500 nautical miles.
Natilus is distinguishing itself from traditional aerospace manufacturers through its focus on the Blended-Wing Body design. Unlike the conventional “tube-and-wing” architecture, the BWB design integrates the fuselage and wings into a single lifting body. In its official communications, Natilus claims this aerodynamic shift offers significant efficiency gains:
While the announcement signals strong momentum for Natilus, the timeline and regulatory hurdles remain significant factors. The “Horizon” aircraft is expected to enter service in the early 2030s, meaning the realization of the SpiceJet order is likely a decade away. Furthermore, the deal is explicitly “subject to certification.” Natilus is currently pursuing FAA Part 25 certification in the United States, which must be achieved before the Directorate General of Civil Aviation (DGCA) in India can validate the aircraft for local operations.
For SpiceJet, this commitment appears to be a long-term strategic bet on efficiency. The airline, which has faced recent financial volatility, is looking to future-proof its fleet against rising fuel costs. By locking in orders for an aircraft that promises 50% lower operating costs, the carrier is signaling a focus on long-term profitability despite current market challenges.
The move also places Natilus in direct competition with other BWB developers, such as JetZero, which has secured backing from major U.S. carriers. However, by establishing a dedicated subsidiary in India, Natilus is attempting to secure a “first-mover” advantage in the Asian market, which industry forecasts suggest will require over 2,200 new aircraft by 2040.
Natilus Launches India Subsidiary; Secures Commitment for 100 Aircraft from SpiceJet
Strategic Expansion and Leadership
The SpiceJet Commitment
Technological Innovation: The Blended-Wing Body
AirPro News Analysis: Market Context and Risks
Sources
Photo Credit: Natilus
Aircraft Orders & Deliveries
Star Air in Talks for $1 Billion Embraer E2 Jet Fleet Expansion
Star Air is negotiating a $1 billion deal to acquire up to 20 Embraer E2 jets, marking Embraer’s first direct E2 commercial order in India with deliveries from 2028.
This article summarizes reporting by Bloomberg and journalists Mihir Mishra and Siddharth Philip. And publicly available datas.
Star Air, recognized as India’s largest private regional carrier, is reportedly in advanced discussions to acquire up to 20 aircraft from Brazilian aerospace manufacturer Embraer SA. According to reporting by Bloomberg, the potential deal is valued at approximately $1 billion based on list prices, marking a significant potential breakthrough for Embraer in the competitive Indian aviation market.
If finalized, this acquisition would represent the first direct commercial order for Embraer’s new E2 generation jets by an Indian airline. The move signals a strategic shift for Star Air, which currently operates a fleet of leased Embraer aircraft, toward asset ownership and long-term capacity expansion.
According to sources familiar with the matter cited by Bloomberg, the negotiations center on the Embraer E-Jet E2 family, specifically the E195-E2 or E190-E2 models. These aircraft are designed to bridge the gap between smaller turboprops and larger narrowbody jets like the Airbus A320, offering capacity for up to 146 passengers.
Industry reports indicate the deal is likely structured to include:
This potential order aligns with Star Air’s broader “Vision 2030” strategy. As reported by the Economic Times and other outlets in November 2025, the airline aims to expand its fleet to 50 aircraft by the end of the decade. Currently, the carrier operates an all-Embraer fleet consisting of 50-seater ERJ 145s and dual-class E175s.
The scale of this acquisition requires substantial capital, and Star Air has been actively strengthening its balance sheet to support such expansion. The airline is the aviation arm of the Sanjay Ghodawat Group (SGG), a diversified conglomerate with interests ranging from consumer products to energy.
In November 2025, Star Air successfully raised INR 150 crore (approximately $18 million) in a Series B funding round. This round attracted marquee investors, including Micro Labs Ltd and Deepak Agarwal. Furthermore, the airline has indicated plans to raise an additional INR 200 crore by the 2026-27 fiscal year to fund pre-delivery payments and operational scaling.
For Embraer, securing a firm order from Star Air would be a critical validation of its “Profit Hunter” marketing campaign in South Asia. While the manufacturer supplies aircraft to the Indian Air Force and the Border Security Force, it has historically struggled to break the commercial duopoly held by Airbus and Boeing in the region. To address this, Embraer opened a new corporate office in New Delhi in October 2025. This localized presence appears to be yielding results, as the manufacturer positions the E2 jet as the ideal solution for India’s regional connectivity scheme, UDAN (Ude Desh ka Aam Nagarik).
The Case for “Right-Sizing” in Indian Aviation
At AirPro News, we view this potential transaction as a pivotal moment for the concept of “right-sizing” in the Indian market. For years, Indian carriers have relied heavily on 180-seat Airbus A320s or Boeing 737s. While efficient on trunk routes (e.g., Delhi to Mumbai), these aircraft are often too large to operate profitably on thinner regional routes connecting Tier-2 and Tier-3 cities.
Conversely, turboprops like the ATR-72 are efficient but slower and lack the range for longer regional sectors. The Embraer E2 family sits in the middle, offering jet speeds and ranges with a seat capacity (100–146) that lowers the financial risk per flight. If Star Air proceeds with this order, it validates the business case that profitability in India is not solely about filling the largest possible plane, but about matching capacity to demand.
What is the value of the Star Air and Embraer deal?
The deal is estimated to be worth approximately $1 billion based on list prices, though final transaction prices are usually lower.
Which aircraft is Star Air buying?
The airline is considering the Embraer E-Jet E2 family, likely the E195-E2 or E190-E2 models. When will the new aircraft be delivered?
Deliveries are expected to begin in the fiscal year ending March 2028.
Is Star Air a public company?
No, Star Air is a private regional carrier and part of the Sanjay Ghodawat Group. However, it has raised external capital through Series B funding.
Star Air in Talks for $1 Billion Embraer Fleet Expansion
Details of the Proposed Acquisition
Deal Structure and Timeline
Financial Backing and Strategic Context
Embraer’s Push into India
AirPro News Analysis
Frequently Asked Questions
Sources
Photo Credit: Embraer E195-E2
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