MRO & Manufacturing
Malaysia Aviation Group Signs 7 MRO Partnerships at MRO Asia-Pacific 2026
MAG announces seven MRO agreements with Airbus, Boeing, Thales, and others to strengthen supply chains and expand MAB Engineering Services.
Malaysia Aviation Group (MAG) has secured seven strategic partnerships with major aerospace manufacturers and service providers to strengthen its maintenance, repair, and overhaul (MRO) capabilities and expand its third-party engineering business.
Announced on October 9, 2026, at the MRO Asia-Pacific event in Singapore, the agreements involve Airbus, Boeing, Thales, and other key industry players. The initiative aims to enhance fleet reliability for MAG’s own airlines while positioning its MAB Engineering Services division as a growing MRO provider in the Asia-Pacific region.
The partnerships bring together a mix of original equipment manufacturers (OEMs) and logistics providers. The seven partners are Thales, Airbus Flight Hour Services, Air France Industries KLM Engineering & Maintenance (AFI KLM E&M), The Boeing Company, Collins Aerospace, CEVA Logistics, and Batik Air Malaysia.
In a press release issued by MAG, the company emphasized that the agreements are designed to build operational resilience against ongoing industry challenges.
“The past year has continued to be a challenging one for the aviation industry, volatility in fuel prices and other pressures that have a direct impact on our operations and financial performance,” said Captain Nasaruddin A. Bakar, President and Group Chief Executive Officer of MAG. “These realities make it even more important that we remain disciplined in how we run the business and where we invest.” The agreements build on recent individual contracts, such as a long-term component support agreement signed on September 24, 2026, between AFI KLM E&M and Malaysia Airlines for the carrier’s Airbus A350 fleet. During the MRO Asia-Pacific event, Malaysia Airlines also renewed its Integrated Materials Management (IMM) services agreement with Boeing Global Services for a five-year term to support day-to-day fleet operations.
The new partnerships align with MAG’s broader strategy to scale its wholly owned MRO arm, MAB Engineering Services (MABES). Based at Kuala Lumpur International Airport (KUL), MABES operates within MAG’s integrated Aviation Services profit center and has been actively expanding its capacity to serve external airline customers.
Earlier in the year, MABES secured European Union Aviation Safety Agency (EASA) A350 Line Maintenance approval in February 2026. That same month, the engineering division signed a five-year partnership with Boeing at the Singapore Airshow to expand MRO capabilities across the Asia-Pacific region.
Physical capacity has also increased. On May 6, 2026, MAB Engineering doubled its maintenance footprint at Sultan Abdul Aziz Shah Airport (SZB) with the commissioning of Hangar 4.
Bakar noted that the group’s focus extends beyond standalone maintenance. “These partnerships bring together global expertise, technical capabilities and supply chain support with our own engineering strengths, enabling us to better support our airlines while also creating opportunities to grow our MRO business,” he stated. MAG’s simultaneous announcement of seven major partnerships highlights a dual-track strategy common among expanding airline groups: securing internal supply lines while monetizing excess engineering capacity. By locking in long-term agreements with primary OEMs like Airbus and Boeing, alongside component specialists like Thales and Collins Aerospace, MAG is insulating its own fleet from the persistent supply chain bottlenecks plaguing the global aftermarket. Concurrently, leveraging these OEM relationships enhances MABES’s credibility as it competes for third-party maintenance contracts in the high-growth Asia-Pacific MRO market.
Securing the supply chain
MAB Engineering’s regional expansion
AirPro News analysis
Photo Credit: Malaysia Aviation Group
MRO & Manufacturing
FTAI Aviation and United Airlines Expand CFM56-7B Exchange Program
FTAI Aviation and United Airlines sign a multi-year CFM56-7B engine exchange deal covering the carrier’s Boeing 737 NG fleet.
FTAI Aviation Ltd. and United Airlines (UA) signed a multi-year Maintenance, Repair and Exchange (MRE) agreement on October 8, 2026, covering CFM International CFM56-7B engines for the carrier’s Boeing 737 Next Generation (NG) fleet.
Announced in a company press release, the arrangement allows the airline to bypass traditional engine shop visits. Under the program, FTAI delivers a serviceable engine ahead of a scheduled removal and purchases the unserviceable engine from the operator. This model provides predictable maintenance costs and reduces aircraft downtime.
The October 2026 agreement expands an existing relationship between the two companies. FTAI and United previously established an engine exchange program for the carrier’s aircraft powered by IAE V2500 engines. The initial group of CFM56-7B engines exchanged under the new MRE program began processing in 2026.
United operates one of the largest Boeing 737 NG fleets globally. The aircraft family is exclusively powered by the CFM56-7B.
Mike Leskinen, Executive Vice President and Chief Financial Officer of United, stated the agreement is an important step forward in the maintenance program for the Boeing 737 NG fleet.
“This growing relationship will help us improve utilization for this important part of our fleet as we fly more customers to more destinations,” Leskinen said. Joe Adams, Chairman and Chief Executive Officer of FTAI, noted that the agreement allows the airline to keep its aircraft flying while FTAI absorbs the shop visit process. Adams described the selection by United as a meaningful endorsement of the engine exchange program.
To support the expansion of its MRE programs, FTAI has actively increased its inventory of mature narrowbody assets. On September 28, 2026, the company announced the acquisition of 27 Boeing 737-700 aircraft from Canadian operator WestJet.
Ten of those aircraft were acquired off-lease specifically to support FTAI’s Aerospace Products business. The acquisition increases the company’s supply of CFM56-7B engines and modules available for its exchange customers.
FTAI has also moved to secure guaranteed maintenance capacity to process the unserviceable engines it acquires. On September 23, 2026, the company expanded a strategic collaboration with PT Garuda Maintenance Facility Aero Asia Tbk (GMF). The five-year agreement secures engine maintenance capacity for CFM56-5B and CFM56-7B engines in the Asia-Pacific region, ensuring FTAI can repair and return engines to its serviceable pool. Headquartered in New York, FTAI Aviation combines asset ownership with an aftermarket business focused on mature narrowbody aircraft and engines. The company targets the CFM56 and IAE V2500 platforms, acquiring unserviceable engines, repairing them through its Maintenance, Repair, and Overhaul (MRO) network, and providing them to airlines as serviceable replacements.
The CFM56-7B is one of the most widely used commercial jet engines in the global fleet. As the Boeing 737 NG family ages and approaches major maintenance intervals, operators face significant downtime and costs associated with traditional engine overhauls.
Over the term of the multi-year agreement, FTAI and United will jointly plan deliveries against the airline’s removal schedule as additional CFM56-7B engines come due for maintenance.
We view FTAI’s expanding relationship with United as a strong indicator of how major carriers are adapting to ongoing constraints in the global MRO sector. Traditional engine shop visits currently face extended turnaround times due to supply chain bottlenecks and material shortages. By shifting from a traditional overhaul model to a direct exchange model for mature engine types, airlines can effectively eliminate shop visit turnaround time from their fleet planning variables. FTAI’s strategy of aggressively acquiring end-of-life aircraft, such as the recent WestJet Boeing 737-700 transaction, ensures it controls the feedstock necessary to guarantee serviceable engine availability for tier-one operators.
Expanding the exchange model
Securing the supply chain
The CFM56 aftermarket landscape
AirPro News analysis
Photo Credit: GE Aerospace
MRO & Manufacturing
Bombardier Opens 11th Line Maintenance Station in Sydney
Bombardier launched a new Line Maintenance Station in Sydney on Oct. 8, 2026, expanding its Asia-Pacific aftermarket network to 11 facilities.
Bombardier has expanded its Asia-Pacific aftermarket footprint with the opening of a new Line Maintenance Station in Sydney, Australia, bringing the Canadian aerospace manufacturer’s global network of such facilities to 11.
Announced on October 8, 2026, the Sydney location provides Aircraft on Ground (AOG) support, unscheduled line maintenance, and select scheduled maintenance for the company’s Learjet, Challenger, and Global business jet families. The facility complements Bombardier’s existing Australian service infrastructure, which includes a line maintenance station in Perth and a major service centre in Melbourne, reinforcing support for private, corporate, government, and military operators in the region.
The Sydney Line Maintenance Station (LMS) is equipped to handle a range of immediate and scheduled service needs for operators navigating the Asia-Pacific region. To support grounded aircraft outside the immediate facility, the site features a dedicated Mobile Response Team (MRT) truck designed to dispatch technicians and parts directly to aircraft requiring urgent intervention.
In a press release issued on October 8, 2026, Paul Sislian, Executive Vice President of Aircraft Sales and Bombardier Aftermarket Services, emphasized the company’s focus on regional proximity and responsiveness.
“It means continuing to earn our customers’ trust by being present, responsive and ready to support them wherever they operate. Our new Sydney Line Maintenance Station delivers on that promise, bringing Bombardier expertise even closer to our customers while advancing our continued investment in Australia and across the Asia-Pacific region.” Sislian also noted the company’s broader aftermarket ambitions, stating that maintaining a top-ranked support network requires continuous expansion. “Being number one in customer support is something we’re proud of, but staying number one means never standing still,” Sislian said.
The Sydney opening follows a sustained strategy by Bombardier to increase its direct maintenance capabilities across the Asia-Pacific market. The manufacturer, which maintains production and completion facilities in North America, has steadily grown its global service network to capture more aftermarket revenue.
Bombardier established a significant physical presence in Australia in September 2022 with the opening of the Melbourne Service Centre. That facility spans approximately 50,000 square feet of hangar and ramp space and is scaled to accommodate up to three ultra-long-range Global 7500 aircraft simultaneously.
Following the Melbourne opening, Bombardier added a line maintenance station in Perth on March 21, 2025. At the time of the Perth announcement, which brought the company’s worldwide LMS count to 10, Bombardier confirmed its intention to open a second Australian LMS in Sydney. The October 2026 opening fulfills that planned expansion.
Beyond Australia, Bombardier is scaling its primary Asian maintenance hubs to support its growing fleet of Learjet, Challenger, and Global aircraft. The company currently operates a service centre in Tianjin, China, and is executing a major expansion in Singapore. On June 9, 2026, the company announced a $100 million SGD investment to expand its Singapore Service Centre, located at JTC’s Seletar Aerospace Park. The project will add a 250,000-square-foot facility, a development that will nearly double the site’s existing footprint. Operations at the expanded Singapore location are expected to begin in the second half of 2028.
The continued investment in aftermarket infrastructure aligns with Bombardier’s recent financial performance and a growing order book that guarantees future maintenance demand.
On April 30, 2026, the company reported strong first-quarter financial results, generating $360 million in free cash flow. During the same period, Bombardier recorded a 43 percent increase in its backlog, which reached $20.3 billion. Driven by these results, the manufacturer raised its full-year free cash flow guidance above $1 billion.
Expanding the Australian service footprint
A multi-year Asia-Pacific aftermarket strategy
Scaling primary Asian hubs
Financial context and backlog growth
Photo Credit: Bombardier Inc.
MRO & Manufacturing
PPG Invests $70 Million to Expand Aerospace Transparencies in Alabama
PPG commits $70M to a new 112,000-sq-ft facility in Huntsville, AL, to scale aircraft window manufacturing capacity.
Global coatings and specialty materials supplier PPG has committed $70 million to expand its aerospace transparencies manufacturing footprint in Huntsville, Alabama, adding a 112,000-square-foot facility to support increased production of aircraft windows.
Announced in a press release on October 7, 2026, the investment involves leasing and building out a new site dedicated to production support functions. Relocating these operations will free up manufacturing space at PPG’s existing Huntsville plant, allowing the company to scale output of cockpit and passenger windows for commercial, military, and general aviation customers.
The expansion project is designed to address rising demand across multiple aviation sectors as aircraft manufacturers increase production rates. By shifting production support functions to the newly leased 112,000-square-foot building, PPG will optimize its primary manufacturing floor for higher throughput and future equipment installations.
“This expansion increases our operational efficiency, provides room for future equipment investments and reinforces our long-term commitment to serving customers and investing in Huntsville,” said Francois Buehlmann, General Manager, Global Transparencies, Aerospace at PPG. Buehlmann noted that demand for aerospace transparencies continues to grow across the commercial, military, and general aviation markets. The company views the Huntsville region, where it has operated its aerospace transparencies manufacturing facility for more than 55 years, as a critical hub for its aerospace network.
“Huntsville is recognized globally for innovation and leadership in aerospace,” Buehlmann added. “We are proud to continue investing in this community and look forward to growing alongside the region’s dynamic aerospace network.”
The $70 million capital injection in Alabama aligns with a broader capacity expansion strategy detailed by PPG leadership earlier in the year. During an aerospace business presentation to analysts on June 9, 2026, the company highlighted strategic investments aimed at capturing multi-year industry demand, driving long-term organic sales growth, and delivering customer productivity.
PPG, headquartered in Pittsburgh, Pennsylvania, reported total net sales of $15.9 billion in 2025. The company operates a dedicated aerospace division supplying coatings, sealants, engineered materials, and transparencies to customers in more than 50 countries.
In the highly competitive global aircraft transparencies sector, PPG holds an estimated market share between 14 percent and 17 percent. The company competes directly with other major aerospace suppliers, including GKN Aerospace, Saint-Gobain, and Gentex Corporation. The global market for aircraft windows and canopies is currently driven by the rapid expansion of commercial aviation fleets and ongoing military procurement programs.
The press release did not specify an exact completion date for the Huntsville build-out, noting only that the investment is part of a series of multi-year projects supporting the company’s aerospace growth objectives.
Optimizing manufacturing for increased throughput
Strategic positioning in the global transparencies market
Photo Credit: PPG
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