By acquiring Aero Parts Mart in early January, Jet Parts Engineering (JPE) plans to expand part distribution through an increased sales team presence, explains JPE VP of sales and marketing John Benscheidt. He adds that Aero Parts has relationships with several airline operators that JPE has not had. 

Aero Parts built its business supporting regional aircraft, so Benschiedt expects JPE to become one of the top PMA providers for regional aircraft. In addition, “the acquisition expands our reach into the European and Oceania regional jet market.”

Furthermore, complimentary capabilities in the Aero Parts and JPE engineering teams should enable the combined companies to design and certify parts more parts.

On the demand side, Benscheidt is seeing strong part markets going into 2020. Asia-Pacific and China enjoy very high growth projections, but some uncertainty.

“Passenger demand in Asia is no doubt increasing, but unknown risks like ability to match demand with infrastructure and global trade tensions may temper some expectations.” 

In Latin America, JPE is seeing more airlines incorporate PMAs into maintenance strategies. But Latin carriers outsource a lot of component maintenance. Thus PMAs for airframes, line maintenance and interiors draw the most interest in Latin America.

Globally, Benscheidt says JPE is seeing more airlines push back on lessors during negotiations for new aircraft, which could impact PMAs. One value proposition lessors have for airlines is helping manage operational costs.

But restrictive PMA language in lease agreements increases, rather than reduces, costs. “As more airlines negotiate acceptability of PMAs in leases, the residual value of aircraft won’t be affected, and it and will open the floodgates to PMA part acceptance.”