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SunExpress and Lufthansa Technik Sign Five-Year Engine MRO Agreement

SunExpress and Lufthansa Technik enter a five-year contract for maintenance of Boeing 737 CFM56-7B and LEAP-1B engines from 2026 to 2031.

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This article is based on an official press release from Lufthansa Technik and additional industry data.

SunExpress and Lufthansa Technik Seal “Cross-Generational” Engine Support Deal

SunExpress, the joint venture airline established by Turkish Airlines and Lufthansa, has officially secured the long-term operational stability of its Boeing 737 fleet through a new five-year agreement with Lufthansa Technik. Announced on January 15, 2026, the exclusive contract covers maintenance, repair, and overhaul (MRO) services for both the carrier’s legacy and next-generation engine types.

According to the joint announcement, the agreement spans from 2026 through 2031. It is designed to address the complex “dual-fleet” requirements of modern aviation, covering the CFM56-7B engines that power the airline’s established Boeing 737-800 Next Generation (NG) fleet, as well as the LEAP-1B engines utilized by its expanding Boeing 737-8 (MAX) fleet.

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This strategic move ensures that SunExpress retains access to premium MRO slots during a period of high industry demand. The work will primarily be conducted at Lufthansa Technik’s main engine workshops in Hamburg, Germany, with additional support provided by XEOS, a specialized facility in Poland.

Scope of the Five-Year Agreement

The contract represents a comprehensive support package tailored to an airline in the midst of a significant fleet transition. Lufthansa Technik has confirmed that the scope of work includes full overhauls, performance restoration shop visits, and “quick turn” surgical repairs designed to minimize downtime.

Supporting the Legacy Fleet

Despite the industry’s gradual shift toward newer aircraft, the CFM56-7B remains a workhorse for SunExpress. With global supply chain issues delaying the delivery of new jets across the sector, airlines are flying older aircraft longer than originally planned. This agreement secures critical shop capacity for the CFM56-7B, ensuring the 737-800 fleet remains reliable through the end of the decade.

Enabling the Next Generation

Simultaneously, the deal covers the LEAP-1B engines for the Boeing 737 MAX. As SunExpress integrates these more fuel-efficient aircraft, having ordered up to 90 MAX jets in late 2023, the need for specialized next-gen maintenance is rising. Lufthansa Technik noted that this agreement validates their early investment in LEAP capabilities, including the ramp-up of operations at their XEOS facility in Środa Śląska, Poland.

Executive Commentary

Both companies emphasized the strategic importance of securing maintenance capacity for both engine generations simultaneously. Cemil Sayar, Chief Operating Officer of SunExpress, highlighted the focus on reliability.

“This strategic partnership reinforces our commitment to maintaining the highest standards of reliability and performance across our Boeing 737 fleet. By covering both our legacy CFM56-7B engines and the latest-generation LEAP-1B engines, the agreement supports our fleet development while ensuring high-quality MRO services.”

, Cemil Sayar, COO of SunExpress

Harald Gloy, COO of Lufthansa Technik, noted the unique market dynamics requiring support for overlapping technologies.

“The rollover to the latest-generation types such as the LEAP-1B engine is progressing steadily, but its venerable CFM56-7B predecessor is also still going strong and creating demand for MRO capacity. Thus, we are pleased that we can offer SunExpress our enormous expertise for both generations of Boeing 737 powerplants.”

, Harald Gloy, COO of Lufthansa Technik

Strategic Context

AirPro News Analysis: The Dual-Fleet Challenge

At AirPro News, we observe that this agreement underscores a critical trend in the 2026 aviation landscape: the “dual-fleet” challenge. Airlines are no longer simply swapping old planes for new ones; they are operating them in parallel for extended periods due to manufacturer delivery delays.

Industry data suggests that shop visits for the legacy CFM56-7B are peaking, with forecasts predicting approximately 1,900 visits annually through 2026. By locking in a five-year exclusive deal with a top-tier provider like Lufthansa Technik, SunExpress is effectively insulating itself from the capacity crunches affecting the broader MRO market. Furthermore, the inclusion of the LEAP-1B engines ensures that the airline’s sustainability goals, driven by the 15-20% fuel efficiency gains of the MAX fleet, are not compromised by maintenance bottlenecks.

Company Backgrounds

SunExpress was founded in 1989 as a joint venture between Turkish Airlines and Lufthansa. It operates as a leisure carrier connecting Europe with Turkey and other holiday destinations. As of early 2026, the airline operates an all-Boeing fleet comprising over 60 737-800s and a rapidly growing number of 737-8 MAX aircraft, targeting a total fleet size of approximately 150 aircraft in the coming decade.

Lufthansa Technik is the world’s leading provider of aircraft maintenance, repair, and overhaul services. A subsidiary of the Lufthansa Group, the company reported revenues of approximately €6.5 billion in 2023. While it shares a parent company with SunExpress, this agreement is a commercial contract that reinforces Lufthansa Technik’s competitive position in the open MRO market.

Frequently Asked Questions

What engines are covered by this agreement?

The agreement covers the CFM56-7B (powering the Boeing 737-800 NG) and the LEAP-1B (powering the Boeing 737-8 MAX).

Where will the maintenance take place?

The primary work will be conducted at Lufthansa Technik’s facilities in Hamburg, Germany. Overflow and specialized LEAP work may also be handled at the XEOS facility in Poland.

How long does the contract last?

The exclusive agreement is valid for five years, running from 2026 through 2031.

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Photo Credit: Lufthansa Technik

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MRO & Manufacturing

Cirrus Aircraft Opens 60000 Sq Ft Duluth Warehousing Center

Cirrus Aircraft expands logistics capacity with a new 60,000-sq-ft warehousing center in Duluth, MN to support SR Series and Vision Jet production.

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Cirrus Aircraft Opens 60000 Sq Ft Duluth Warehousing Center

Cirrus Aircraft has opened a new 60,000-square-foot warehousing center in Duluth, Minnesota, expanding its logistics and parts processing capacity to support increasing aircraft production rates.

The facility addresses the growing need for manufacturing space as demand for the SR Series and Vision Jet continues to rise. The announcement, detailed in a company press release in October 2026, marks the latest in a series of infrastructure investments by the manufacturer across the upper Midwest.

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Expanding logistics to support production

The new Duluth Warehousing Center is designed to streamline the flow of materials into the primary manufacturing lines. By dedicating 60,000 square feet specifically to aircraft parts storage and processing, Cirrus Aircraft aims to optimize its supply chain and reduce bottlenecks on the factory floor.

As production volumes for the SR Series piston aircraft and the single-engine Vision Jet increase, the logistical requirements for staging and preparing components have grown proportionally. The dedicated warehousing space allows the manufacturer to hold more inventory on hand, buffering against supply chain disruptions and ensuring a steady feed of processed parts to the assembly stations.

A multi-year infrastructure investment strategy

The Duluth Warehousing Center is part of a broader capital expenditure program aimed at scaling Cirrus Aircraft operations across its primary manufacturing footprint. The company has systematically expanded its facilities to bring more testing, design, and production capacity in-house.

Just days prior to the Duluth warehousing announcement, Cirrus confirmed a 30,000-square-foot expansion of its manufacturing facility in Grand Forks, North Dakota, on October 13, 2026. That project is specifically targeted at increasing composite parts production for the new TRAC10 flight training aircraft.

In Duluth, the warehousing center joins several other recently completed projects. In September 2023, the company opened a 189,000-square-foot Innovation Center on a 39-acre site at the Duluth International Airport (KDLH) to house next-generation product development. This followed the 2022 expansion of the Duluth Paint and Finish Facility, which brought that specialized operation to 86,000 square feet.

To support the physical expansion, Cirrus has also invested in workforce development. In June 2026, the manufacturer opened a new Talent Center in the Hermantown and Duluth area. The facility serves as a hub for recruiting and technical training, supporting a stated goal of adding over 240 team members to the local workforce between 2026 and 2027.

Meeting sustained general aviation demand

The general aviation market has experienced sustained demand over the past several years, prompting original equipment manufacturers to accelerate production and certification cycles. For Cirrus Aircraft, which was founded in 1984 and is known for pioneering the Cirrus Airframe Parachute System (CAPS), the backlog of orders has necessitated a larger industrial footprint.

By increasing parts storage capacity and expanding composite manufacturing capabilities simultaneously, the company is positioning its supply chain to handle higher delivery volumes. The sequential investments in Duluth and Grand Forks indicate a strategy focused on vertical integration and localized control over the production process.

Photo Credit: Cirrus Aircraft

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MRO & Manufacturing

Milestone Aviation Extends 11 Airbus H225 Leases With ACHI

Milestone Aviation and Air Center Helicopters extend leases on 11 H225s through June 2033 for government and expeditionary missions.

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Milestone Aviation Extends 11 Airbus H225 Leases With ACHI

Milestone Aviation Group Limited and Air Center Helicopters, Inc. (ACHI) have secured the long-term operation of 11 Airbus H225 heavy-lift helicopters through lease extensions running into the next decade. The agreements, announced on October 15, 2026, ensure the continued deployment of the aircraft for expeditionary airlift, government support, and space mission recovery operations.

In a press release detailing the transaction, Milestone, an AerCap Holdings N.V. company, confirmed the extensions will commence in May 2027 and run through June 2033. The deal solidifies the fleet strategy for Fort Worth, Texas-based ACHI, which currently stands as the largest operator of the H225 platform in the Americas.

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Securing heavy-lift capacity

ACHI utilizes the Airbus H225 for complex, mission-critical operations worldwide. The heavy-lift helicopters are deployed for vertical replenishment (VERTREP), casualty evacuation (CASEVAC), medical evacuation (MEDEVAC), and specialized recovery activities supporting space missions. These operations require aircraft capable of lifting substantial payloads over long distances in austere environments.

The lease extensions provide ACHI with operational certainty for its core fleet assets over the next six years. Chris Dalton, Chief Operating Officer at ACHI, emphasized the importance of the lessor relationship in maintaining the company’s service capabilities.

Air Center’s relationship with Milestone is vital to our success, and we are reassured that these latest lease amendments will enable us to continue to provide unparalleled performance to our customers with the uniquely capable H225 aircraft. Milestone’s flexibility and cooperation make them a vital strategic partner, and securing this continued partnership keeps Air Center’s most critical assets in place through all of our current contract terms and beyond.

Sebastien Moulin, Chief Commercial Officer for Milestone Aviation Group, noted that the agreement underscores the continued value of the H225 platform in supporting demanding operations. He highlighted ACHI’s reputation as a trusted provider of aviation services and expressed satisfaction in strengthening the long-standing relationship between the two companies.

Evolution of the Air Center fleet

The relationship between Milestone and ACHI regarding these specific airframes dates back to February 10, 2021, when the initial lease agreement for the 11 helicopters was announced. At that time, Milestone and Airbus Helicopters collaborated with ACHI to repurpose the aircraft for utility, training, and transport missions under United States government contracts. Deliveries of the initial batch took place throughout 2021 and 2022, establishing the foundation for the operator’s current heavy-lift capabilities.

ACHI has since expanded its reliance on the heavy-lift platform. By February 2024, the operator’s H225 fleet had grown to 18 aircraft. To support this expanded fleet, ACHI signed a five-year Airbus HCare In-Service contract on February 28, 2024, securing parts-by-the-hour support directly from the manufacturer.

Milestone Aviation Group maintains a massive global footprint in the rotorcraft leasing market. As of December 31, 2025, the company owned or had on order 335 helicopters, according to filings with the U.S. Securities and Exchange Commission.

Repurposing the H225 platform

The Airbus H225, formerly known as the Eurocopter EC225 Super Puma, was originally designed as a heavy-lift passenger transport helicopter and was heavily utilized by the offshore oil and gas industry. Following a market downturn in the offshore sector and a fatal 2016 accident in Norway that led to a temporary grounding of the type, the global H225 fleet faced significant operational shifts.

Lessors and operators adapted by transitioning the heavy-lift assets into new roles. Companies like Milestone successfully placed repurposed H225s with operators like ACHI, shifting the aircraft from offshore crew transport to utility, military, and government contracting missions where their payload, range, and all-weather capabilities remain highly valued.

AirPro News analysis

We view this lease extension as a strong indicator of the successful second life of the Airbus H225 platform. The transition of these heavy-lift helicopters from the offshore oil and gas sector to specialized utility and government roles required significant coordination between lessors, the manufacturer, and operators. By securing these 11 airframes through 2033, Air Center Helicopters is signaling long-term confidence in the H225’s reliability for demanding expeditionary missions. For Milestone Aviation, locking in a six-year extension validates the strategy of repurposing legacy offshore assets into stable, government-backed contracting markets.

Photo Credit: Milestone Aviation Group

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HAECO and Cathay Pacific Renew Boeing 777 Landing Gear Deal

HAECO Group and Cathay Pacific renew their Boeing 777 landing gear overhaul agreement, continuing a partnership active since 2010.

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HAECO and Cathay Pacific Renew Boeing 777 Landing Gear Deal

Hong Kong Aircraft Engineering Company Limited (HAECO Group) and Cathay Pacific Airways Limited have renewed their maintenance partnership covering exchange and overhaul services for the carrier’s Boeing 777 landing gear.

Announced in a press release on October 14, 2026, the agreement secures dedicated maintenance capacity for a critical component of Cathay Pacific’s long-haul operations. The arrangement leverages HAECO’s regional footprint, dividing specialized overhaul tasks and physical component replacement between facilities in the China Mainland and Hong Kong to reduce logistical overhead.

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Operational integration and fleet support

Under the terms of the agreement, HAECO Landing Gear Services in Xiamen performs the teardown, inspection, and overhaul of the Boeing 777 gear assemblies. The physical removal and installation of the gear on the aircraft take place during scheduled base maintenance visits at HAECO facilities in either Hong Kong or Xiamen.

This integrated approach is designed to streamline maintenance workflows and improve the rotation efficiency of spare landing gear. For an operator like Cathay Pacific, which relies on a fleet of 35 Boeing 777-300ER aircraft for its high-capacity and long-haul routes, minimizing downtime during heavy maintenance is a primary operational objective.

Keith Brown, Director Engineering at Cathay Pacific, highlighted the operational benefits of the integrated service model.

Beyond the core services, we value the broader support and customer care that come with HAECO Landing Gear Services being part of the HAECO Group. This agreement provides important overhaul and exchange support while maintaining the high standards of safety, quality and operational performance that our operation depends on.

A decades-long corporate relationship

The commercial ties between HAECO and Cathay Pacific are foundational to both organizations, dating back to HAECO’s establishment in 1950. The relationship is underpinned by shared corporate ownership. Swire Pacific Limited, a Hong Kong-based conglomerate, wholly owns HAECO and maintains a 45 percent controlling stake in Cathay Pacific.

While airframe and line maintenance have been constants, the specialized landing gear partnership was formalized in 2010. That year, HAECO Landing Gear Services completed its first overhaul for a Cathay Pacific Boeing 747. Over the subsequent 16 years, the program expanded to support multiple widebody types, including the Boeing 747-400, the Boeing 747-400ERF freighter, the Boeing 777-300, and the Boeing 777-300ER.

To date, HAECO has completed more than 200 landing gear deliveries under this specific partnership framework.

Gerald Steinhoff, Chief Commercial Officer at HAECO Group, noted the longevity of the arrangement in the company’s release. “This landing gear overhaul programme reflects the confidence built through consistent performance and close collaboration, as well as our shared commitment to safety and operational excellence,” Steinhoff stated.

Broader expansion in the Asia-Pacific MRO market

The Cathay Pacific renewal follows a series of recent contract acquisitions for HAECO as the maintenance, repair, and overhaul (MRO) provider expands its footprint in the Asia-Pacific region.

On September 24, 2026, HAECO secured a new landing gear overhaul agreement with Japanese carrier All Nippon Airways (ANA). A day prior, on September 23, 2026, the company announced an expanded engine services partnership with Garuda Indonesia covering maintenance for the GE Aerospace GE90 turbofan, the exclusive powerplant for the Boeing 777-300ER.

These agreements highlight the scale of HAECO’s current operations. The MRO provider employs approximately 15,000 staff globally across 14 operating companies, with facilities spanning Hong Kong, the Chinese Mainland, Europe, and the Americas.

Photo Credit: HAECO Group

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