China Aircraft Leasing Group Holdings (CALC), FL Technics, and Aircraft Recycling International (ARI) have formed Harbin, China-based joint venture FL ARI Aircraft Maintenance and Engineering Company, the partners announced Tuesday. The companies committed a total investment of $23 million to the MRO venture.
“With its cutting-edge technical capabilities and rich experience in aircraft maintenance services, FLT will help build quickly a sound aircraft MRO system for FL ARI,” said Mike Poon, chief executive officer of CALC and ARI. “Development of comprehensive MRO services will further expand ARI’s service scope, complementing its aircraft recycling business by achieving efficient placement of second-hand aircraft components.”
A recent ICF market forecast projects that China’s narrowbody fleet will grow by 4.8 percent annually from 2017 to 2027, generating MRO service demand that today's MRO providers in China cannot meet.
“We are honored to have a possibility of creating a new MRO entity together with CALC and ARI,” said Zilvinas Lapinskas, chief executive officer of FLT. “We wish to extend our North-European know-how and LEAN-based process management into the China market.”