Collins Aerospace and Etihad Airways Engineering LLC announced a joint venture on July 21, 2026, to establish a dedicated nacelle and thrust reverser maintenance facility in Abu Dhabi, United Arab Emirates.

The agreement, formalized during the 2026 Farnborough International Airshow, will double the Middle East maintenance, repair, and overhaul (MRO) footprint for Collins Aerospace, an RTX Corporation business. According to the company’s press release, the partnership targets the growing regional and international demand for widebody aftermarket support, specifically for Airbus A350 and Boeing 787 fleets.

Expanding Middle East MRO capabilities

Collins Aerospace will relocate its existing United Arab Emirates nacelle operations to the new site. The joint venture will occupy a 3,250-square-meter dedicated facility within Etihad Engineering’s broader 550,000-square-meter aviation maintenance center adjacent to Zayed International Airport (AUH). Operations at the new site are scheduled to begin in the first quarter of 2027.

PJ Titone, Vice President and General Manager of Advanced Structures for Collins Aerospace, stated that co-locating with Etihad Engineering’s heavy maintenance facility allows the company to deliver enhanced service levels to the region’s aviation market.

“This joint venture expands our global MRO footprint and supports the rising number of commercial aircraft equipped with Collins nacelles helping carriers across the region reduce costs and improve turnaround times,” Titone said.

Building on prior agreements

The formal joint venture follows a preliminary agreement signed on March 1, 2023, when the two organizations initially outlined plans to establish a nacelle center of excellence in Abu Dhabi. Etihad Airways Engineering operates as part of the Abu Dhabi Aviation group.

Mahmood Al Hameli, Group Chief Executive Officer of Abu Dhabi Aviation, noted the strategic fit of the partnership. He stated the new capability aligns with the group’s long-term commitment to organic growth through capability enhancement and the development of local expertise.

AirPro News analysis

We view this joint venture as a logical consolidation of widebody maintenance infrastructure in the Middle-East. The region serves as a primary global hub for Airbus A350 and Boeing 787 operations, driven by major carriers operating high-utilization schedules. By embedding original equipment manufacturer (OEM) nacelle capabilities directly within a major airline-affiliated MRO provider, both Collins Aerospace and Etihad Engineering position themselves to capture a larger share of the widebody aftermarket. Financial terms and specific ownership stakes for the joint venture have not been disclosed.

Sources: RTX

AIP Capital and Bridgepoint Group have agreed to purchase 11 CFM International LEAP-1B spare engines to support global Boeing 737 MAX family aircraft operations, with deliveries scheduled between 2027 and 2029.

Announced on July 21, 2026, during the Farnborough International Airshow, the transaction expands the investment firms’ existing aviation asset portfolio. According to a press release issued by GE Aerospace, the acquisition is designed to provide airlines, operators, and maintenance, repair, and overhaul (MRO) providers with critical spare engine capacity.

Expanding the spare engine portfolio

The July 2026 agreement builds on a previous transaction executed in 2024, during which AIP Capital and Bridgepoint Group acquired an initial batch of 10 CFM LEAP-1B spare engines. AIP Capital and its affiliates currently manage approximately $6.6 billion in total assets.

“This order reflects another milestone in both our partnership and strategy with CFM. We are excited to continue expanding upon our successful relationship with CFM and recognize the reliability, fuel efficiency, and performance of the LEAP engine family,” said Mathew Adamo, Managing Partner at AIP Capital.

LEAP-1B fleet upgrades and operational support

CFM International, a 50/50 joint venture between GE Aerospace and Safran Aircraft Engines, has delivered more than 10,000 LEAP engines across all variants to date. The manufacturer is currently implementing hardware upgrades across the global LEAP fleet to improve operational longevity.

These upgrades include a high-pressure turbine (HPT) durability kit designed to extend the engine’s time on wing. CFM International is also deploying a reverse bleed system (RBS) intended to reduce the overall maintenance burden for airline operators.

“We are proud to deepen our relationship with AIP Capital and Bridgepoint,” said Gaël Méheust, President and CEO of CFM International. “This agreement bolsters our shared mission to reduce aviation’s environmental impact while providing industry-leading reliability and exceptional service and support.”

AirPro News analysis

The acquisition of additional LEAP-1B spare engines by major aviation investment firms highlights the ongoing industry demand for operational redundancy. As airlines navigate supply chain constraints and scheduled maintenance intervals for new-generation narrowbody engines, access to a robust pool of spare powerplants is essential for maintaining schedule reliability. We view this investment as a direct response to the high utilization rates of the Boeing 737 MAX fleet and the corresponding need for MRO support capacity.

Sources: GE Aerospace

CFM International has secured regulatory approval from the Federal Aviation Administration (FAA) and the European Union Aviation Safety Agency (EASA) for a high-pressure turbine durability kit designed for the LEAP-1B engine. The manufacturer also achieved initial engine-level certification for a new reverse bleed system, targeting significant reductions in maintenance burdens for Boeing 737 MAX operators.

Announced in a press release on July 18, 2026, during the Farnborough International Airshow, the hardware upgrades are engineered to double the engine’s time on wing in severe operating environments. CFM International expects a full production cutover for the durability hardware by early 2027.

Engineering enhancements for harsh environments

The LEAP-1B serves as the exclusive powerplant for the Boeing 737 MAX family. The newly certified high-pressure turbine (HPT) durability kit is specifically tailored to benefit operators flying in hot and harsh climates, such as India and the Middle East, where engine core components face accelerated wear from environmental particulates and high temperatures.

Concurrently, the reverse bleed system (RBS) introduces a specialized cooling mechanism designed to minimize the need for on-wing fuel nozzle replacements. According to CFM International, this system aligns the LEAP-1B’s on-wing maintenance requirements with the historical reliability standards of the legacy CFM56 engine.

These technologies are already seeing widespread adoption on the Airbus A320neo’s LEAP-1A variant. The manufacturer reports that 70 percent of the active LEAP-1A fleet currently operates with the RBS, while 40 percent flies with the HPT durability kit installed.

Production milestones and leasing demand

The certification announcement coincides with major production and operational milestones for the joint venture between GE Aerospace and Safran Aircraft Engines. The LEAP fleet has now accumulated 100 million engine flight hours in commercial service.

CFM International recently delivered its 10,000th LEAP engine. The program reached this Delivery milestone in 10 years, a pace significantly faster than the 17 years required for the predecessor CFM56 program to achieve the same volume.

“These systems will increase time between shop visits while also reducing maintenance burden, especially for customers in severe environments,” said Gaël Méheust, President and CEO of CFM International. “This means customers will benefit from longer time on wing in addition to the exceptional efficiency, reliability, and utilization that LEAP engines already deliver.”

Demand for the LEAP family remains robust among aircraft lessors. During the week of July 20, 2026, BOC Aviation finalized a firm Orders for up to 300 LEAP engines, split between the LEAP-1A and LEAP-1B. Additionally, AIP Capital and Bridgepoint Group agreed to purchase 11 LEAP-1B spare engines, while BBAM Limited Partnership signed an agreement to acquire 30 LEAP spare engines across both variants.

AirPro News analysis

We view the certification of the LEAP-1B durability kit and reverse bleed system as a critical step in maturing the Boeing 737 MAX powerplant. Airlines globally are navigating constrained maintenance, repair, and overhaul (MRO) networks alongside a shortage of spare engines. By doubling the time on wing in severe environments and reducing line maintenance interventions like fuel nozzle replacements, CFM International is directly addressing the primary operational pain points for airlines in high-growth markets. Achieving parity with the CFM56’s legendary time-on-wing metrics is essential for the long-term economic proposition of the LEAP program.

Sources: GE Aerospace (CFM secures certification)