Aftermarket inventory specialist AvAir is further boosting its inventory of Airbus A320 family parts through a new agreement with Israel Aerospace Industries (IAI).
Under the deal, AvAir will manage more than 20,000 surplus line items from IAI Aviation Group, including CFM56-3/-5B/-7B, V2500-A5 and PW4000 engines, along with airframe components for Airbus A320 and Boeing family aircraft.
“Over the years, we’ve accumulated a large inventory of surplus material and needed a company to sell the surplus material on a consignment basis,” says Shmuel Kuzi, VP and general manager, IAI Aviation Group. “We are eager to begin our partnership with AvAir and create more liquidity for [the] Aviation Group.”
In March, AvAir CEO Mike Bianco told Aviation Week the company is focusing on key accessories and rotable components for the A320 since narrowbodies are expected to recover the quickest following the COVID-19 pandemic. The IAI deal will be AvAir’s fourth this year that will boost Airbus parts inventory.
In January AvAir acquired an inventory of more than 2,000 A320 rotable components from HAECO including integrated drive generators, starters and avionics. The following month, it signed an agreement with Sabena Technics for airframe and component surplus materials used for heavy maintenance on various Airbus family, ATR and Lockheed C-130 aircraft. In April, it completed its largest parts transaction to date by acquiring 1.5 million consumable components from Iberia Maintenance, including CFM56 and V2500 engines which power A320 family aircraft.
According to Kevin Lenz, AvAir’s senior vice president of powerplants, the IAI deal, along with its Iberia deal, largely impact its engine side of the business. “AvAir is continuing to improve its position for increased material supply to the world’s busiest engine MRO facilities,” says Lenz. “We’ve seen a rebound in material demand driven from increased engine shop inputs and expect that trajectory to continue. Generally speaking, this is a partnership that aligns AvAir with another industry leading MRO.”
According to Aviation Week’s Fleet and MRO Forecast, total MRO demand for the A320 family this year is $17.9 billion, which will grow to $25.9 billion by 2029. There are currently over 9,500 A320 family aircraft in service, with just under 7,000 powered by CFM56 and V2500 engines. By 2029, nearly 13,500 A320 family aircraft are expected to be in service, with approximately 4,885 powered by CFM56 and V2500 engines.
Related Content
