Latest freighter conversions/mro news. The direct cost of converting a Boeing 767-300ER amounts to some \$14 million, compared with \$15 million for an A330-200 and \$16 million for an A330-300 . Space-efficient door configuration Clearly it is the absence of belly-hold capacity that is keeping rates buoyant. G.B. And on the other side of the Atlantic, Ireland-based lessor GTLK Europe is to acquire four A321 converted freighters, induction for which will commence this year. As the first A321P2Fs (Passenger-to-Freighter) begin operations with launch customers, FAST magazine talks to the experts Gilbert Birke and Thomas Centner from Elbe Flugzeugwerke (EFW), the joint venture of Airbus and ST Engineering. Cash receipts from government payroll support programs, which are included in operating cash flows, were $0 and $83.0 million for the years ended December 31, 2022 and 2021, respectively. We are convinced that the significant benefits of operating containers in the bellies of Airbus A321P2Fs will enhance the quality of service, especially since containers provide protection for sensitive goods under all environmental conditions such as rain, snow and heat. 2,430 aircraft will be delivered, around 50% of which will replace current inventory. The manufacturer is also highlighting the performance and economics. Boeing will need to complete more 777-9 analysis and assuage regulatory concerns, including those related to design changes, prior to the Federal Aviation Administration agreeing the jet is on track to meet certification requirements. G.B. Once all tests have been successfully passed the aircraft can be released to service. Boeing will expand its conversion business by setting up a passenger-to-freight facility in Costa Rica. Nevertheless, we expect that air cargo, and the ancillary services relating to it, will increasingly become an integral part of the aviation industry and a complementary piece to the usual passenger services. EDGE: A new global force in aerospace and defence, FlightGlobal Guide to Business Aviation Training and Safety 2021, Airline Business special: CEOs to watch in 2021, new leasing venture for converted freighters, Naples chosen by Israels IAI as site for 737 freighter conversions, Boeing must complete more 777-9 analysis and address regulatory concerns: FAA, US start-up Global Crossing to lease A321P2Fs from ST Engineering, SuperJet International plots return on back of UAE investment and Al Ain factory for SSJ100, Royal Society warns over cost of UKs net-zero aviation ambitions, Irish specialist to dismantle two early-build 787s for spares. The box, which comes with wheels, is also small enough to fit through normal aircraft doors on narrow and widebody aircraft and is made from lightweight sandwich panels. In principle all A321s can be converted to freighters. Conversion facilities are being extended and new facilities set up, however, these initiatives take time: Such timing issues for further expansion/establishment of conversion lines should help to keep the supply of freighters in check in the medium term, although it may mean further freight price rises if demand for freight continues to rise year on year as expected. ST Aerospace and Airbus own EFW with a 55%-45% shareholding split. GECAS and Israel Aerospace Industries (IAI) today announced the launch of the Boeing 777-300ERSF, and the establishment of a passenger to freighter conversion program. The number of passenger-to-freighter conversions has steadily increased at a 9% compound annual growth rate from 2010-21, driven by demand for standard-size freighters best suited for regional package networks. A340-300s are out of favor as passenger aircraft . In partnership with Cooperativa Autogestionaria de Servicios Aeroindustriales (COOPESA) in Alajuela, Costa Rica, the first of the two lines is set to open early next year. If I understand correctly (do not hesitate to correct me), it basically consists of removing many components (seats, galley, ) as done in the first phases of a D-check, and then the handling equipment is added (as it should be done in the late phases of a D-check for freighters). It also expects to establish production lines in China and the United States for the A330 reconfiguration in 2022. T.C. Overall air cargo rates remain at elevated levels because of stronger demand and an ongoing capacity crunch caused by a reduction in belly-hold services, says Damian Brett, editor of FlightGlobals sister publication Air Cargo News. Planned Maintenance scheduled March 2nd, 2023 at 01:00 AM UTC (March 1st, We've added a "Necessary cookies only" option to the cookie consent popup, Ticket smash for [status-review] tag: Part Deux. "Conversely, passenger aircraft utilisation fell from over 2.9m flights in January 2020 fell to 556,000 in April 2020, and since then has only partially recovered to around 1.5m flights in January 2021." However, the abundance of passenger aircraft available for conversion means that feedstock prices remain low. 4.2 Limitations 4.2.1 Acceptable used market price. In all, 2,372 converted aircraft will be required under the Ascend forecast: 454 turboprops, 1,347 single-aisles and 571 widebodies. Nevertheless, there can still be some unavoidable differences between candidate feedstock aircraft, for example if the new P2F fleet is being created from six A321s purchased from airline X and four A321s purchased from airline Y which will likely comprise aircraft originally from different production batches. Between May 2020 and January 2021, a total of 30 converted 737-800 freighters were added to the global fleet. T.C. How much does it cost to lease a jetliner? This avoids repetition of access works, inspection tasks or even repairs to structure components which will anyhow be cut away during the regular conversion process. }); Leasing companies and airlines dont appear concerned about oversaturating the air cargo market with freighters as they continue to place production orders despite a yearlong downturn in air cargo volumes and rates. The aircraft will undergo modification by the EFW joint venture which is run by ST Engineering and Airbus. As such, there appears to be a demand/supply equilibrium currently in terms of aircraft available for conversion. googletag.cmd.push(function() { At these prices, further demand can be expected. Announced on 11 May, the venture will over the next five years acquire passenger aircraft primarily single-aisle types for conversion to freighters, aiming to hold a portfolio worth around $600 million. Later in the year, CAM will begin the passenger-to-freighter conversions of our first A330-300 for lease delivery in 2024. Desktop computers and computer software used to be sent by air. Of course, growing demand for conversions pre-dates the pandemic, driven by the need of the big integrators express parcel carriers such as FedEx, DHL and UPS, and Amazon, to a degree to update their fleets of smaller freighters. The bottleneck in the supply of passenger-to-freighter aircraft comes at the conversion stage, with the availability of slots at most major conversion facilities booked up until 2024, and in some instances until 2026. U.S.-based rival 321 Precision Conversions, which started later than EFW, has delivered a handful of A321 passenger-to-freighter conversions but expects to significantly ramp up production this year and is booked out into 2025, according to Sales Director Zachary Young. Of course, whether Boeing continues to offer the -300F is not guaranteed. It also has an A330 production facility in Dresden. In addition, the A321s Doors 4 L/R are removed and re-skinned, which is necessary to accommodate a 14thfull-size container position without limitation. Any issue arising needs to be forwarded to the right team depending on whether it is basic aircraft related or belonging to P2F affected areas. Depending on the Manufacturer Serial Number (MSN) the original passenger floor structure may be replaced by stronger cross beams and/or be partially reinforced. Use MathJax to format equations. Sanctions briefing looking back at 2022 and whats on the horizon for 2023? Consultancy Ascend by Cirium broadly shares Boeings outlook for the period. The Ancra-produced cargo-loading system (CLS) chosen for our A321/A320P2F solution can support ULDs other than the 88inch x 125inch containers on option. DHL Express has firm orders for eight A330-300P2F units in total, with additional options to receive another 10. The addition of Haite will give EFW its fourth production lines for the narrowbody freighter. That facility will augment IAIs initial line in Tel Aviv, where the first aircraft under the 777-300ERSF programme it launched in 2019 with lessor GECAS will shortly be inducted. Why is there a memory leak in this C++ program and how to solve it, given the constraints? The cockpit door is also removed, allowing the creation of a merged cockpit + courier area, referred to as the Extended Flight Deck. Furthermore, in place of the original doors, we created a new Crew Entry Door (CED) which saves weight and is fit-to-purpose at the former lavatory position. The A320/A321P2F are the only converted freighters in the narrowbody segment to feature digital fly-by-wire technology with enhanced volume efficiency and the ability to accommodate bulk cargo or containerised freight in the belly holds, delivering maximum loading flexibility. T.C. googletag.pubads().enableSingleRequest(); The latter ones also facilitate interlining with widebody freighters such as the A330P2F and/or disposition of empty pallets and 88inch x 108inch pallets (eg. . News that Singaporean firms ST Engineering and investment company Temasek are joining forces to create a new leasing venture for converted freighters is the latest in a series of recent announcements focused on the booming market for passenger to freighter (P2F) modifications. We have a standard P2F kit that fits at say 90% of the final scope. The facility is set to come online at some point in 2022. At the moment the market doesn't support it, but it could, in the future. low maintenance costs. This a key milestone for "the Big Twin". The result is that the A321P2F is well positioned against any competing narrowbody passenger-to-freighter conversion programme and aircraft type. Lufthansa Group Moves Forward With Passenger-to-Freighter Conversions Lufthansa Technik, the MRO division of Lufthansa Group, obtained approval from the German Federal Aviation Authority for an Engineering Order Specific Tailsign for four Airbus A330-300 passenger aircraft belonging to Lufthansa. How much does it cost extra to fly with one additional passenger? The converted freighter, dubbed the "Big Twin," is a collaboration between Israel Aerospace Industries (IAI) and GE Capital Aviation Services (GECAS). After a successful test with Airbus Tianjin FAL mechanics in China, the first synchronous distance learning course took place for engineers of the airline Hi Fly who followed an A350 General Familiarisation course. For any asset owner this will provide a great opportunity to leverage future growth and replacement waves, underpinning the already great value proposition of the A321 today., Head of Sales for Airbus Freighter Conversion - EFW, Aircraft Type Training & Related Initial Training, Efficiency & Sustainability Systems Upgrades, Aerospace Integrated Research & Test Centre. To learn more, see our tips on writing great answers. - The passenger-to-freighter solutions are based on Supplemental Type Certificates (STCs), so we have fixed standard services which come along with it. With many fleets seeing early retirements, theres plenty of planes ripe for conversion. Stack Exchange network consists of 181 Q&A communities including Stack Overflow, the largest, most trusted online community for developers to learn, share their knowledge, and build their careers. We will respond to you soon. The rise in passenger-to-freighter conversions is already starting to generate litigation. An ASL Airlines Boeing 737-400 freighter landing at Milan Malpensa airport. Eric is based in Portland, Oregon. All 24 of these aircraft are powered by Rolls-Royce RB211-535 engines, making this fleet the narrow-body freighter of choice due to its attractive payload, range and cost of ownership characteristics. Welcome to flightglobal.com. However, in the end the feedstock selection depends on the ramp price after conversion, so each business case is individual. }); Eric is the Supply Chain and Air Cargo Editor at FreightWaves. When the pandemic pulled the plug on global air travel in 2020, the aviation industry was left reeling. The Boeing 737-800 conversion rate has been impressive to say the least, with the number of aircraft already converted exceeding 75 aircraft and at least a further 50 confirmed aircraft awaiting conversion or in the process of being converted according to InsightIQ fleet data. By clicking Accept all cookies, you agree Stack Exchange can store cookies on your device and disclose information in accordance with our Cookie Policy. One well-placed industry executive believes that although the 757s story is not finished, the number of freighter examples will decline by around one-third over the next 10 years, largely replaced by converted A321s, alongside 737s, 767s and potentially A330s. UPS . googletag.cmd.push(function() { Freighter Conversion Market Totaled Nearly \$1B in 2018: IBA, Boeing 747-400 Passengers to Cargo Conversion. lighter than the competition! "Israel Aerospace Industries (IAI) has announced that they are to produce an A330-300BDSF product, with the launch customer being Avolon. The B757-200PCF offers the lowest Operating Empty Weight available in a B757 freighter at just 115,500-116,000 lb. P2F conversions serve as a form of investment for airline companies. Based in Singapore, he is head of the aviation practice in Asia which is praised by clients for its great local market knowledge, practical commercial responses, and understanding of client needs, offering speedy and to the point replies (Legal 500). To support it in fulfilling this demand, it has today announced a new partnership with a Costa Rica-based maintenance, repair and overhaul (MRO) provider to create additional conversion capacity for the 737-800 Boeing Converted Freighter. For a swift yet reversible solution, we help passenger aircraft operators carry out modification to the aircraft cabin interiors for increased cargo carrying capacity. EirTrade says the identity of the airframes to be dismantled is currently confidential. Ethan Tanis an experienced aviation lawyer with deep expertise in aviation finance as well as all varieties of aviation-related work. You can learn more about the cookies we use here. Passenger to freight (P2F) conversion is a low-cost solution compared to the dedicated cargo aircraft. Figures released in early 2021 by consultancy IBA show the stark contrast between passenger and freighter aircraft operations. CTKs have climbed consistently over the last 12 months, save for the annual post-Christmas slump. Air passenger traffic was cut off overnight and billions were wiped from industry revenues. googletag.pubads().enableSingleRequest(); Few options remain at largest end of the market. Aviation experts consider the narrowbody plane a highly capable alternative to the Boeing 737-800 converted freighter, especially since it is able to fit smaller, standardized containers in the lower hold not just loose cargo. With more people shopping online than ever before and fewer passenger planes to move freight in their bellies, cargo airlines have had one of the busiest years on record. Plus, I learned a new word! Many are keen to invest to hedge their existing passenger aircraft exposure, create new business lines around it, and/or build out their existing expertise (in the case of MROs/conversion specialists) to increase capacity and the range of conversion programs on offer. window.googletag = window.googletag || {cmd: []}; To subscribe to this RSS feed, copy and paste this URL into your RSS reader. Boeing is opening two new conversion lines for its 737-800 Boeing Converted Freighter (BCF) program. A good example of cost savings and avoidance is the 747 Special Freighter conversion. How much does a Black Box Underwater Locator Beacon (ULB) cost? How much does it cost to design a jetliner's wing? The Ancra-produced CLS chosen by EFW for the A321/A320P2F can support industry standard Unit Load Device (ULD) containers other than the 88inch x 125inch containers on option such as the 96inch x125inch containers. window.googletag = window.googletag || {cmd: []}; For a full cargo composition, 94 boxes can be installed on a A330-200 to attain a volume of up to 145m and a payload of nearly 19 tons cargo per flight. Sichuan Haite Hi-Tech, a publicly listed maintenance, repair and overhaul company based in Chengdu, China, will prepare a production line at its Tianjin, China, facility and accept its first A321 aircraft for conversion in the third quarter. Global air freight's future. Indeed, in April this year rates on the Hong Kong-North America lane spiked to $8.48/kg, higher even than the $7.73/kg seen in May last year, driven upwards by reduced capacity due to stricter quarantine regulations in Hong Kong. This is significantly less than . T.C. CAM expects to convert and lease 30 such aircraft by 2028, two-thirds of . Learn more. EFW has delivered 16 passenger-to-freighter conversions of single-aisle aircraft, including one A320 a slightly smaller sister to the A321 so far. As a modern jetliner with advanced Airbus technology that includes fly-by-wire flight controls, the A330-300 wide-body offers a highly capable platform for conversion into a freighter. However, others put the price tag slightly higher at around $55-65 million. requires aircraft-specific adaptations to the standard design. #TIL: manutention. Quite a number of cargo airlines choose to operate a first-hand quality converted freighter. Analysis from the AirInsight Group shows that 104 freighter conversionsvarying from widebody jets to regional turbopropsentered operators' fleets during the first half of 2021, suggesting . Today,. How did Dominion legally obtain text messages from Fox News hosts? In turn this necessitates the original door-surround structures to be removed and re-skinned, while the doors themselves are replaced by a simplified Crew Entry Door (CED) and the lavatory is replaced by a new one re-located to the right-hand side. For aircraft operators who wish to carry more cargo each flight without the hassle of modification, our cabin cargo box solution achieves maximum cargo volume and ensures ease of loading and unloading. EFW has orders for more than 100 P2F conversions for the A330-200 and -300. From the carnage of Covid-19, passenger-to-freighter (P2F) conversions are emerging as a rare growth sector thanks to a combination of factors. PAS and ATSG have a long-term relationship. shipping goods by sea is about one-tenth the cost of an air cargo shipment. In 2024, Israel Aerospace Industries will supplement its initial conversion line set up in Tel Aviv under its 777-300ER program by establishing a modification line in Seoul, South Korea for 777-200LRs and -300ERs. It does not include expenditures for aircraft acquisitions and related passenger-to-freighter conversion costs. By 2024, it will increase its current capacity to the point that it will be able to produce approximately 60 converted aircraft per year approximately 30 conversions each of the A330 and the new A321 narrow-body up from the 19 conversions it expects to carry out this year. By sea is about one-tenth the cost of an air cargo Editor FreightWaves... Continues to offer the -300F is not guaranteed ramp price after conversion, so each business case is individual sent... 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