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Will The Engine Lease Market Be Able To Meet Critical Demand For Spare Engines?

Our engine analysts have been investigating recent concerns of spare engine and parts shortages for three commonly traded engines, the V2500-A5, CFM56-7B and -5B.

Our findings suggest that the engine lease market will not be able to support the 25-35% increase in shop visit rates forecast for CFM56-7B and -5B engines and continuing strong demand for V2500’s in the period 2019-2024. There is currently very limited availability of spares and unless more spare engines are generated by retirements and aircraft teardowns, or airline held spare stock absorbs some of the demand, IBA expect engine inductions and longer TATs will create a log jam further intensified by the impact of compound shop visits i.e. first run, second run and third run overlapping.

Our research is available to download by clicking here and filling out our easy to use form.