Deutsche Aircraft Reports Q4 2025 Milestones: Leipzig FAL Topping-Out and Engine Delivery

Deutsche Aircraft has released its Q4 2025 Quarterly Newsletter, outlining significant industrial and program advancements as the company pivots toward heavy industrialization and testing in 2026. According to the update released on December 17, 2025, the manufacturer has achieved key structural milestones at its Leipzig facility and received the first engines for its D328eco test program.

The newsletter highlights a transition from design phases to physical infrastructure and hardware integration. With the structural shell of the Final Assembly Line (FAL) complete and the supply chain delivering critical components, Deutsche Aircraft is positioning itself for the maiden flight of the D328eco in the coming year.

Industrialization at Leipzig/Halle Airport

A central focus of the Q4 update is the progress at the new Final Assembly Line (FAL) in Leipzig. On November 14, 2025, the company celebrated the “Richtfest”, or topping-out ceremony, marking the completion of the facility’s structural shell. This site is designated as the production hub for the 40-seat D328eco turboprop.

According to Deutsche Aircraft, the building handover is scheduled for the end of 2025, after which the installation of production equipment will commence. The facility represents an investment of approximately €100 million and is designed to support a production rate of up to 48 aircraft per year once fully operational.

Logistics Automation Partnership

To support the ramp-up, Deutsche Aircraft announced a strategic partnership with Jungheinrich to implement an automated logistics center within the FAL. The manufacturer states that this collaboration will introduce advanced storage solutions, including a “PowerCube” system and an automated narrow-aisle warehouse (AutoVNA). These systems are intended to maximize operational efficiency while aligning with the company’s carbon-neutral production goals.

D328eco Program and Engineering Updates

Beyond infrastructure, the newsletter detailed critical hardware arrivals. On November 17, 2025, Deutsche Aircraft took delivery of the first PW127XT-S developmental engines from Pratt & Whitney Canada. These engines are slated for installation on the TAC 1 (Test Aircraft 1), a crucial step toward ground runs and the prototype’s first flight, which is scheduled for 2026.

To bolster its engineering capabilities during the certification phase, the company has also formalized agreements with two major partners:

• Akkodis: Appointed as a Tier-1 supplier to assist with systems development, integration, and certification.
• Expleo: Signed a cooperation agreement to provide supplementary engineering services and reinforce the supply chain.

Global Market Engagement

Throughout the fourth quarter, Deutsche Aircraft intensified its marketing efforts in key regions requiring regional connectivity. On November 5, 2025, the company hosted the “Wings of Opportunity” summit in New Delhi. In collaboration with the Aerospace India Association, Cyient, and Dynamatic Technologies, the manufacturer pitched the D328eco as a solution for India’s UDAN regional connectivity scheme. The aircraft’s performance in hot-and-high conditions was highlighted as a key differentiator for serving Tier-2 and Tier-3 cities.

Simultaneously, the aircraft was presented at the ATAC Conference & Tradeshow in Canada, targeting operators who provide essential links to remote communities.

AirPro News Analysis

While the Q4 2025 newsletter emphasizes immediate industrial achievements, industry context remains vital for understanding the program’s broader trajectory. In mid-2025, Deutsche Aircraft revised the Entry into Service (EIS) target for the D328eco to Q4 2027, a shift from earlier 2026 projections. This adjustment was attributed to regulatory certification changes and global supply chain pressures.

The arrival of the PW127XT-S engines and the completion of the Leipzig facility shell are necessary prerequisites to meeting this revised timeline. The upcoming year, 2026, will be a stress test for the program as it moves from static completion to dynamic flight testing with the TAC 1 prototype.

Leadership Appointments

The company also announced several key personnel changes aimed at preparing for operational readiness:

• Alexander Tesch has been appointed VP of Customer Support & Service.
• Ernst-Georg Schröder takes the role of Final Assembly Line Manager to oversee the Leipzig ramp-up.
• Florian Luithlen has been promoted to Director of Training, focusing on simulator solutions.

Frequently Asked Questions

When is the D328eco expected to enter service?

Current targets place the Entry into Service (EIS) in Q4 2027.

What is the D328eco?

It is a 40-seat regional turboprop based on the legacy Dornier 328, featuring new Pratt & Whitney PW127XT-S engines, a Garmin G5000 Prime flight deck, and a stretched fuselage.

Where will the aircraft be built?

The aircraft will be assembled at a new Final Assembly Line (FAL) at Leipzig/Halle Airport in Germany.

Sources

• Deutsche Aircraft

This article is based on an official press release from AerFin.

AerFin Acquires Third Ex-JAL Boeing 777-300ER in 2025 to Boost Global Parts Inventory

On December 16, 2025, UK-based aviation aftermarket specialist AerFin announced the acquisition of a Boeing 777-300ER, marking its third purchase of this aircraft type from Japan Airlines (JAL) this year. The transaction underscores a strategic push to secure high-quality Used Serviceable Material (USM) for the global aftermarket, specifically targeting the airframe and GE90 engine components that remain in high demand.

According to the company’s official statement, this latest acquisition completes a significant year of investment in the widebody segment. The aircraft will be disassembled to harvest components, supporting a strained global supply chain where operators are extending the lives of existing fleets due to delays in new aircraft deliveries.

Strategic Expansion of the 777 Portfolio

AerFin’s acquisition strategy in 2025 has heavily favored the Boeing 777-300ER platform, specifically assets previously operated by Japan Airlines. This consistent sourcing allows AerFin to offer a uniform standard of components to its customer base.

The timeline of these acquisitions highlights an aggressive expansion:

• May 2025: AerFin completed the teardown of its first ex-JAL B777-300ER of the year.
• September 2025: The company took delivery of a second unit, designating it for disassembly in the United States to support Americas and Asia-Pacific markets.
• December 2025: The third acquisition was finalized, securing a steady pipeline of GE90-115B engine material and airframe parts heading into 2026.

Auvinash Narayen, Chief Investment Officer at AerFin, emphasized the company’s commitment to this specific asset class in the press release:

“Purchasing another 777-300ER to our portfolio reflects our continued confidence in the asset and the operators who rely on it. Our global footprint and material stock provide the resilience our customers need to plan ahead with certainty.”

, Auvinash Narayen, CIO, AerFin

Market Context: The Demand for USM

The decision to acquire and tear down these aircraft is driven by specific anomalies in the current aviation market. Industry analysis indicates that delays in the certification and delivery of the Boeing 777X have forced major international carriers to extend the operational service lives of their existing 777-300ER fleets.

Supply Chain Constraints

As these older aircraft fly longer than originally planned, they require heavier maintenance and more frequent component replacements. Simultaneously, the production of new spare parts has faced global bottlenecks. Companies like AerFin bridge this gap by harvesting “Used Serviceable Material” (USM), certified parts removed from retired aircraft, which offers a faster and often more cost-effective solution than waiting for new OEM components.

Rising Asset Values

Securing these assets has become increasingly competitive. According to market intelligence from IBA and other industry observers referenced in sector reports, the market value for B777-300ERs and their engines has risen significantly throughout 2025. Some data suggests a jump of nearly 78% in half-life market values compared to previous years. AerFin’s ability to close three such deals in a single year suggests strong capital backing and effective relationship management with top-tier operators like JAL.

AirPro News Analysis

Why Japan Airlines?
From an editorial perspective, we note that AerFin’s specific focus on ex-Japan Airlines inventory is likely a calculated quality control measure. JAL is renowned in the industry for rigorous maintenance standards. Components harvested from their retired fleets typically command a premium in the aftermarket because they are less likely to suffer from unusual wear or deferred maintenance issues compared to assets from less regulated operators.

The “Hat-Trick” Strategy
By securing three identical airframes from the same operator, AerFin achieves economies of scale in its teardown operations. It also allows them to offer “matched” sets of components to airlines, which simplifies integration for maintenance, repair, and overhaul (MRO) providers. This move positions AerFin not just as a parts trader, but as a critical infrastructure partner for airlines struggling to keep their long-haul fleets airborne amid OEMs delays.

Frequently Asked Questions

What is USM in aviation?
USM stands for Used Serviceable Material. It refers to aircraft parts that have been removed from a retired airframe or engine, inspected, repaired if necessary, and recertified for use on an active aircraft.

Why is the GE90 engine significant?
The Boeing 777-300ER is powered exclusively by the GE90-115B engine. It is one of the most powerful and complex commercial jet engines in service. As the 777 fleet ages, demand for GE90 spare parts (blades, disks, and accessories) has surged, making them highly valuable assets for teardown companies.

Where will the aircraft be disassembled?
While the specific location for the December acquisition was not detailed in the immediate release, previous units acquired by AerFin in 2025 were disassembled in the United States (specifically New Mexico) to facilitate distribution across the Americas and Asia-Pacific regions.

Sources

• AerFin Press Release
• Aviation Business News
• IBA Data

AAR to Acquire Aircraft Reconfig Technologies for $35 Million, Boosting Engineering Authority

AAR CORP. (NYSE: AIR), a major provider of aviation services to commercial and government operators, has announced a definitive agreement to acquire Aircraft Reconfig Technologies (ART) from ZIM Aircraft Cabin Solutions. The all-cash transaction is valued at $35 million and is expected to close in the fourth quarter of AAR’s Fiscal Year 2026, subject to customary regulatory approvals.

The Acquisitions represents a strategic move by the Wood Dale, Illinois-based company to vertically integrate its repair and engineering capabilities. By purchasing ART, AAR gains significant in-house authority to design, engineer, and certify aircraft modifications, reducing reliance on external partners for complex cabin retrofits.

Strategic Expansion of Engineering Capabilities

According to the company’s announcement, the deal is designed to be accretive to both margins and earnings. The primary asset in the transaction is ART’s status as an FAA Organization Designation Authorization (ODA) holder. This designation allows the engineering firm to issue Supplemental Type Certificates (STCs) and certify its own designs, a critical bottleneck in the aviation modification industry.

ART, based in Greensboro, North Carolina, employs approximately 100 people and specializes in aircraft interior engineering. The firm was previously a division of HAECO Cabin Solutions before being acquired by ZIM in 2023. For ZIM, the divestiture allows the company to focus on its core business of manufacturing aircraft seats, while AAR absorbs the service-heavy engineering unit to bolster its Maintenance, Repair, and Overhaul (MRO) offerings.

Executive Commentary

AAR executives emphasized that the acquisition is about moving up the value chain to offer proprietary solutions rather than just labor.

“This acquisition will elevate AAR’s engineering and in-house certification services to drive proprietary solutions as part of our broader MRO offering.”

, John M. Holmes, Chairman, President & CEO of AAR

Tom Hoferer, Senior Vice President of Repair & Engineering at AAR, noted that the addition of ART allows the company to capture a larger share of the modification market.

“This acquisition will add incremental engineering capabilities that will further differentiate AAR and enable us to expand our total accessible market.”

, Tom Hoferer, Senior VP of Repair & Engineering, AAR

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AirPro News Analysis: The “MRO Super Cycle”

The timing of this acquisition aligns with broader trends in the global aviation market. The industry is currently experiencing what analysts call an “MRO Super Cycle.” Due to significant Delivery delays of new aircraft from major Manufacturers like Boeing and Airbus, airlines are forced to fly older aircraft longer than anticipated. To keep these aging fleets competitive and comfortable for passengers, carriers are investing heavily in cabin refurbishment and densification projects.

In this constrained environment, speed is a competitive advantage. By acquiring ART and its FAA ODA status, AAR effectively buys the ability to approve its own engineering work. This vertical integration allows the company to offer a “one-stop-shop” for interior retrofits, handling everything from the initial design to the final certification and installation. This capability is particularly valuable when supply chain shortages require MROs to engineer custom repair solutions rather than waiting for OEM parts.

For AAR, this moves the company beyond standard repair work into higher-margin engineering services, allowing them to develop and own the intellectual property for specific modification schemes.

Transaction Details

• Buyer: AAR CORP. (via its subsidiary AAR Aircraft Services, Inc.)
• Target: Aircraft Reconfig Technologies (ART)
• Seller: ZIM Aircraft Cabin Solutions
• Transaction Value: $35 million (all-cash)
• Location: Greensboro, North Carolina

Sources

• PR Newswire / Yahoo Finance