Stefanie Jung, senior vice president and head of global acquisitions at BeauTech
Engine lessor BeauTech recently secured a 14-engine General Electric CF34-10E operating lease agreement with British Airways CityFlyer. Stefanie Jung, senior vice president and head of global acquisitions at BeauTech, spoke with Aviation Week Network about shifting market dynamics, the impact of availability and pricing on the CF34-10 platform and the global capacity gaps in MRO support.
How is global demand for CF34-10 engines evolving, particularly as regional jets age or transition fleets?
The [Embraer] E1 fleet continues to operate globally, even as some carriers transition to the newer E2 and [Airbus] A220 platforms. Many existing operators are either expanding capacity or investing in upgrades such as cabin enhancements, effectively delaying fleet replacement and extending aircraft life cycles. Those committed to the type are seeking engine solutions that align remaining engine life with the planned operational horizon of their fleets. Our role is to help operators achieve this alignment in the most cost-effective way possible.
Which regions are seeing the highest growth in CF34-10 leasing demand, and why? Are these airlines favoring short-term engine leasing over longer-term ownership?
Demand is broad-based, with some carriers adding capacity and requiring engine solutions for newly inducted aircraft and others aiming to avoid costly engine maintenance as a result of delayed fleet phase-outs. We see interest in both leasing and outright purchases, with the choice largely driven by each operator’s fleet strategy and long-term planning.
How does BeauTech’s spare engine portfolio impact global availability and pricing for CF34-10s?
While BeauTech maintains a portfolio of over 160 spare engines across multiple engine types, CF34-10s represent a significant share of that pool. For these engines, availability of units with strong remaining life is more limited. Many operators are avoiding significant capital expenditure on owned and long-term leased spares, instead favoring short- to mid-term leases or green-time solutions to bridge shop visits. This shift has contributed to rising lease rates as demand for well-timed, high-life engines has increased.
How do you see MROs adapting their service offerings to support the extended life and reuse of CF34-10 engines in the aftermarket?
GE’s Set Maintenance Offer (SMO) has consolidated much of the CF34-10 aftermarket, directing the majority of MRO and material spend through the OEM and OEM-supported MROs and significantly reducing opportunities for [used serviceable material]-driven teardowns. Independent MROs have adapted by focusing on partial work scopes and targeted repairs, catering to operators outside SMO programs and those seeking cost-efficient, end-of-life engine solutions.
Are you seeing global capacity or capability gaps in current MRO support for CF34-10 engines? If so, what are the implications?
Yes, we are observing notable capacity constraints across the globe, which are leading to both operational disruptions and strategic challenges for regional jet operators. Shop visit turnaround times remain prolonged (largely due to part demand), and securing global slot availability continues to be a challenge—often accompanied by extended wait times for induction. A key factor is that many engines are now simultaneously due for [life-limited part] replacement, creating a surge in demand and further stretching resources. These dynamics highlight the critical importance of proactive planning and diligent cost management for both lessors and airlines.
On the capability side, we are seeing encouraging developments despite GE having discontinued new CF34-10 production several years ago. For instance, BP Aero’s acquisition of CF34-10 technical data licensing last year reflects growing recognition, particularly within the independent MRO network, of the long-term value inherent in the CF34-10 platform. However, capability gaps persist, particularly around heavy work scopes, which are still largely confined to legacy MRO providers. Looking ahead, we expect these capacity constraints to persist well beyond the next years as the life of the CF34-10 fleet is extended.
That said, the market is gradually adapting by bringing new capacity online and developing additional repair solutions, which should help ease some of the current bottlenecks. Still, demand (and consequently pricing) for the CF34-10 is expected to remain elevated in the near term, as extended engine service life, the halt in new production and rising aftermarket demand converge to form a perfect storm.
Related Content
