Connect with us

MRO & Manufacturing

IAG and CFM International Agree on LEAP Premier MRO in Madrid

IAG and CFM International designate Iberia Maintenance as LEAP Premier MRO provider at La Muñoza, Madrid, starting LEAP engine maintenance in 2027.

Published

on

This article is based on an official press release from CFM International.

IAG and CFM International Forge Strategic LEAP Premier MRO Agreement in Madrid

On April 20, 2026, International Airlines Group (IAG) and CFM International officially announced a new licensing agreement that designates Iberia Maintenance as a CFM LEAP Premier MRO (Maintenance, Repair, and Overhaul) provider. The comprehensive agreement covers both the LEAP-1A and LEAP-1B engines, which currently power the majority of the Airbus A320neo family and all Boeing 737 MAX aircraft.

According to the official press release, Iberia’s engine shop in La Muñoza, located near Madrid-Barajas Airport, will serve as a strategic European hub for this expanding MRO activity. The facility, which boasts more than 50 years of operational experience, is scheduled to induct its first LEAP engines in the first quarter of 2027.

We understand from supplementary industry research that this move is designed to capture third-party revenue in a rapidly growing aftermarket, while simultaneously allowing CFM to expand its global maintenance capacity ahead of a forecasted surge in engine shop visits over the coming decade.

Expanding the Global MRO Ecosystem

The Role of La Muñoza and IAG Engine Tech

The agreement integrates IAG into CFM’s open MRO ecosystem, a structure that allows Premier MRO licensees to compete directly with CFM’s own shops and other third-party providers. The press release notes that this open ecosystem is designed to foster competition, helping airline operators optimize maintenance costs, secure faster turnaround times, and maintain higher residual values for their engines.

To oversee this expanding business sector, supplementary research indicates that IAG has launched a new entity named “IAG Engine Tech,” which will base its operations at the La Muñoza facility. While the shop is initially positioned to support European operators and IAG’s own fleets, its capabilities will progressively expand to service airlines worldwide.

“Becoming a CFM LEAP Premier MRO provider places IAG and Iberia in a strategic position to develop a business with strong growth and profitability potential,” stated Marco Sansavini, CEO of Iberia, in the press release.

Strategic Context: Flight Plan 2030 and Fleet Renewal

Iberia’s Long-Term Vision

This MRO agreement serves as a cornerstone of Iberia’s broader strategic roadmap, known as “Flight Plan 2030.” According to industry research, the plan, unveiled in June 2025, outlines a €6 billion investment aimed at transforming the airline and targeting an annual profitability margin of 13.5% to 15%. A key component of this roadmap is the development of “Ciudad Iberia” at La Muñoza, which will transform the area into a cutting-edge aeronautical innovation center.

The partnership builds on a long-standing relationship between IAG, Iberia, and CFM. The press release highlights that the companies have collaborated on overhauling legacy CFM56 engines since 1992. Furthermore, Iberia served as the global launch operator for the Airbus A321XLR in October 2024, a narrowbody aircraft exclusively powered by CFM LEAP-1A engines in Iberia’s fleet.

“We’re forecasting CFM LEAP shop visits to increase significantly by the end of this decade as the fleet continues to expand,” noted Gaël Méheust, president and CEO of CFM International, in the company’s statement.

Meeting Surging Industry Demand

The LEAP Engine Backlog

The aviation industry is currently navigating a severe shortage of engine maintenance capacity. According to the CFM press release, LEAP engines currently power more than 4,600 aircraft globally. Supplementary industry estimates reveal an immense backlog of over 8,600 to 10,000 engines on orders.

As the in-service fleet ages, the demand for maintenance is expected to rise sharply. Industry research projects that LEAP engine shop visits will quadruple from approximately 500 in 2025 to roughly 2,000 per year by 2030. Furthermore, the global civil aircraft MRO market is projected to reach a valuation of US$ 124.4 billion by 2034, underscoring the lucrative nature of this sector.

AirPro News analysis

At AirPro News, we view this agreement as a critical strategic pivot for both IAG and CFM International. For IAG, the creation of “IAG Engine Tech” and the acquisition of Premier MRO status effectively transitions Iberia’s maintenance arm from an internal cost center into a major profit driver. By opening its doors to third-party airlines globally, IAG is positioning itself to capitalize on the massive backlog in global engine maintenance, thereby diversifying its revenue streams beyond traditional passenger ticket sales.

For CFM International, partnering with a major airline group like IAG is a pragmatic approach to rapidly scaling its global maintenance footprint. This strategy allows CFM to increase capacity without bearing the sole capital expenditure of building new facilities from the ground up. Ultimately, the addition of a major European hub for LEAP engine maintenance should help alleviate the current strain on the global MRO supply chain, offering airlines more competitive pricing and potentially faster turnaround times for critical engine overhauls.

Frequently Asked Questions (FAQ)

  • What is a CFM Premier MRO license?
    According to CFM International, a Premier MRO license grants providers the highest level of training, support, and access to proprietary overhaul and repair technology for LEAP engines, allowing them to compete within CFM’s open MRO ecosystem.
  • When will the La Muñoza facility begin LEAP maintenance?
    The official press release states that initial LEAP engine inductions are planned for the first quarter of 2027.
  • Which engines are covered under this agreement?
    The agreement covers both the LEAP-1A (which powers the Airbus A320neo family) and the LEAP-1B (which powers the Boeing 737 MAX family).

Sources

Photo Credit: CFM International

Continue Reading
Click to comment

Leave a Reply

MRO & Manufacturing

Air India Awards Lufthansa Technik A350 APU MRO Contract

Air India selects Lufthansa Technik for multi-year MRO of 40 Honeywell HGT1700 APUs on its Airbus A350 fleet.

Published

on

Air India (AI) has selected Lufthansa Technik for the exclusive maintenance, repair, and overhaul (MRO) of the auxiliary power units (APUs) on its new fleet of Airbus A350 aircraft. The multi-year agreement, announced on June 9, 2026, covers 40 Honeywell HGT1700 APUs and deepens an existing technical partnership between the two companies.

The contract secures dedicated engineering support for the Indian flag carrier as it expands its long-haul operations. According to a press release issued by Lufthansa Technik, all maintenance services will be performed at the company’s specialized APU workshops located in Hamburg, Germany.

Expanding the technical partnership

Air India is the first operator of the Airbus A350 in India. The airline is utilizing the widebody aircraft to support a broader fleet transformation and international route expansion. The Honeywell HGT1700 APU is designed exclusively for the Airbus A350, and Lufthansa Technik serves as an official authorized warranty and maintenance provider for this specific model.

The new APU contract builds upon an established relationship between the operator and the maintenance provider. Lufthansa Technik currently operates an ongoing component support program for Air India’s Boeing 777 fleet.

“As India’s first Airbus A350 operator, we require a maintenance partner with extensive technical expertise and a strong track record in supporting next-generation aircraft systems,” said Jeremy Yew Jin Kit, Senior Vice President of Engineering and Maintenance at Air India. “Lufthansa Technik’s capabilities in maintaining HGT1700 APUs provide us with the confidence and reliability needed to support our expanding A350 operations.”

Authorized maintenance capabilities

Under the terms of the agreement, Lufthansa Technik will provide spare APU support and engineering services alongside the core MRO work. The Hamburg facility is equipped to handle the specific technical requirements of the HGT1700 system, ensuring the airline has access to certified repairs and replacement parts.

“Having delivered exceptional component support on Air India’s Boeing 777 fleet, we are delighted to further expand our collaboration to include the Airbus A350 fleet,” said Johanna Koch, Vice President Corporate Sales Asia Pacific at Lufthansa Technik. “As Air India continues its transformation journey, we are proud to be a trusted partner at their side.”

AirPro News analysis

Securing reliable MRO support for the Airbus A350 is a critical step for Air India as it scales its widebody operations. By consolidating its APU maintenance with an authorized Honeywell service provider, the airline mitigates supply chain risks and ensures operational reliability for its flagship aircraft. We view this contract as a logical extension of Air India’s strategy to partner with established global tier-one suppliers during its rapid fleet modernization phase, rather than attempting to build specialized in-house capabilities for new systems immediately.

Sources: Lufthansa Technik

Photo Credit: Lufthansa Technik

Continue Reading

MRO & Manufacturing

Bombardier Expands Singapore MRO Facility at Seletar Park

Bombardier nearly doubles its Asia-Pacific MRO footprint with a new 250,000-sq-ft Singapore facility backed by $78M USD.

Published

on

Bombardier will nearly double its maintenance, repair, and overhaul (MRO) footprint in the Asia-Pacific region by adding a 250,000-square-foot facility at Singapore’s Seletar Aerospace Park. The expansion aims to support a growing regional fleet and a record corporate order backlog.

In a press release issued on June 9, 2026, the Canadian aircraft manufacturer detailed plans for the new site. The project is supported by a $100 million SGD (approximately $78 million USD) investment from a local developer. The expansion is expected to create 200 highly skilled aerospace jobs and enhance the company’s regional capabilities in aircraft recompletion, component repair, and round-the-clock support.

Expanding Asia-Pacific maintenance capabilities

Construction on the new facility is scheduled to begin in the second half of 2026. Operations are anticipated to commence in the second half of 2028.

The current Singapore Service Centre opened in 2014. It employs 300 local staff, including approximately 250 licensed engineers and technicians. This existing workforce supports roughly 2,000 aircraft annually.

Paul Sislian, Bombardier Executive Vice President of Aircraft Sales and Aftermarket Services, noted the facility’s role in the region.

“Our Singapore Service Centre has long been a cornerstone of service and support excellence in Asia-Pacific, supporting approximately 2,000 aircraft annually as regional demand continues to grow,” Sislian stated.

Strategic partnerships and digitalization

The expansion involves collaboration with several Singaporean entities, including JTC and the Singapore Economic Development Board (EDB).

Cindy Koh, Executive Vice President of the EDB, indicated that the investment will add new MRO and recompletion capabilities for next-generation business aircraft while entrenching Singapore’s status as a premier aerospace hub.

Christine Wong, Assistant CEO of JTC, added that the development reinforces the position of Seletar Aerospace Park as a leading business aviation center.

Bombardier also announced it has joined the A*STAR Advanced Remanufacturing and Technology Centre (A*STAR ARTC) industry consortium as an Anchor Member. This partnership is designed to accelerate the integration of artificial intelligence, automation, and digitalization into the manufacturer’s MRO operations.

Market drivers and fleet growth

The infrastructure investment aligns with broader market growth for the manufacturer. According to reporting by The Edge Singapore, Bombardier reported a record order backlog exceeding $20 billion USD in April 2026.

The publication noted that up to 10 percent of this order book originates from the Asia-Pacific region. This backlog is driven by demand from high-net-worth individuals and shared-ownership operators.

The introduction of the flagship Bombardier Global 8000 has also prompted the company to strengthen its global support network.

Addressing the expansion, Sislian told The Edge Singapore that the company sees continued growth and that the facility increase was the right solution to handle rising aircraft utilization.

AirPro News analysis

We view Bombardier’s decision to double its Singapore footprint as a necessary step to capture high-margin aftermarket revenue in a region where business aviation utilization is climbing. By anchoring its Asia-Pacific MRO operations in Seletar Aerospace Park, the manufacturer leverages Singapore’s established supply chain and skilled labor pool. The integration with A*STAR ARTC also suggests a strategic pivot toward predictive maintenance and automated component repair, which will be critical for servicing the ultra-long-range Global 8000 fleet efficiently.

Sources: Bombardier

Photo Credit: Bombardier

Continue Reading

MRO & Manufacturing

West Star Aviation Posts 84% AOG Rate After DCJet Acquisition

West Star Aviation achieved a record 84% AOG acceptance rate in May 2026 after acquiring DCJet and expanding its technician network.

Published

on

MRO (Maintenance, Repair, and Overhaul) provider West Star Aviation achieved a record 84% acceptance rate for Aircraft on Ground (AOG) requests in May 2026, following a strategic expansion of its technician workforce.

In a press release issued on June 5, 2026, the company attributed the capacity increase to its March 3, 2026, acquisition of DCJet. The integration expanded West Star Aviation’s dedicated AOG network to over 250 technicians, up from 200, positioning the firm to handle higher volumes of unscheduled maintenance events ahead of the summer travel season.

DCJet acquisition drives network expansion

The March acquisition of DCJet added five new locations to West Star Aviation’s nationwide footprint: Dulles International Airport (IAD), Chicago Midway International Airport (MDW), Orlando International Airport (MCO), Boeing Field (BFI), and Luis Muñoz Marín International Airport (SJU).

The expanded workforce is supported by a 24/7/365 AOG control center staffed by 12 controllers. This centralized coordination allows the MRO provider to dispatch technicians, tooling, and ground support equipment across its network to minimize operator downtime.

Gary Lee, Vice President of AOG at West Star Aviation, stated that the added resources are essential for meeting customer needs during critical periods of high demand.

“With access to tooling and GSE across our network, we’re poised to respond quickly, safely, and effectively wherever our customers need us,” Lee said in the release.

Infrastructure growth and satellite facilities

The AOG capacity improvements coincide with broader infrastructure investments by the company, which employs over 3,000 professionals and has 79 years of industry experience.

On June 2, 2026, West Star Aviation announced the opening of its fifth satellite location at Addison Airport in Texas. The new 40,000-square-foot hangar provides scheduled and unscheduled maintenance, AOG support, and avionics upgrades specifically targeting the Dallas metroplex.

Stephen Maiden, CEO of West Star Aviation, noted that the DCJet integration strengthens the company’s ability to support business aviation operators with faster response times, greater coordination, and increased technical depth in the field.

AirPro News analysis

The business aviation sector relies heavily on rapid AOG response to maintain dispatch reliability, particularly during peak travel months. By acquiring an established AOG provider like DCJet rather than attempting to scale organically, West Star Aviation has immediately secured both trained personnel and strategic airport access. The reported 84% acceptance rate in May 2026 indicates that the integration is already yielding operational dividends. We expect MRO consolidation to continue as larger providers seek to capture regional market share and alleviate industry-wide technician shortages through strategic acquisitions.

Sources: West Star Aviation

Photo Credit: West Star Aviation

Continue Reading
Every coffee directly supports the work behind the headlines.

Support AirPro News!

Advertisement

Follow Us

newsletter

Latest

Categories

Tags

Every coffee directly supports the work behind the headlines.

Support AirPro News!

Popular News