CFM International Renews Engine Maintenance Agreement with IATA
CFM International has renewed an agreement with the International Air Transport Association (IATA) that supports increased market competition for MRO for CFM engines through 2033.
“CFM pioneered an open MRO ecosystem with CFM56 engines, in which close to 40 shops compete for work—with CFM accounting for only about a third of overhauls,” said Gaël Méheust, president and CEO of CFM International.
Méheust added, “We’re applying the same model to CFM LEAP engines, in which six Premier MRO providers and more than a dozen other licensed shops compete for work.”
The agreement extends Conduct Policies confirmed in 2019 that help third-party engine MROs and parts suppliers find opportunities. This includes all CFM commercial engines—including CFM LEAP engines and the CFM56 family.
By letting airlines and MROs access repair instructions and technical manuals from CFM International, the agreement helps keep maintenance options open and flexible. The agreement also expands capacity for maintenance, allowing independent MROs to step in and reduce aircraft downtime and maintenance backlogs.
With options for alternatives to OEM parts, the agreement also allows for third-party parts and repair providers to supply parts when available. Warranty coverage is considered in the agreement, making sure airlines are covered for actual problems instead of for using non-OEM parts.
IATA’s Director General Willie Walsh said, “The renewal of this agreement is well-timed. While not a panacea, the practical and pro-competitive aftermarket practices that this agreement obligates are essential for a healthy industry in the long-term.”
Walsh continued, “Critically, if used to its full potential, this agreement will also provide much-needed short-term cost and capacity relief for airlines as they work to meet customer demand amid ongoing aerospace supply chain failures.”
“CFM should be commended for taking the lead with this important reform and other manufacturers must take notice and step up,” added Walsh.
Beneficiaries of the agreement include:
- Third-party MRO facilities
- Parts manufacturers
- CFM’s airline customers
- Aircraft lessors
CFM International is a 50/50 joint company between Safran Aircraft Engines and GE Aerospace.
