IAI Targets Boeing 777-300ER P2F Service Entry In Q4, Expanding To New Sites

LE BOURGET—Israel Aerospace Industries (IAI) plans to expand its Boeing 777-300ER passenger-to-freighter (P2F) conversion program to multiple conversion sites, with a long-term target of converting 20 of the widebodies per year.

IAI expects the aircraft to obtain the certification it needs to enter service in the fourth quarter (Q4) of 2023.

The converted freighter took its first flight in March. “It was an excellent flight—the first of its kind after two-and-a-half years working on the conversion on the ground,” Yaacov Berkovitz, vice president and general manager for IAI’s conversions and upgrades division, tells ShowNews.

“We are aiming to convert around 20 once we’re in a steady state. As of now, we’re only building out capacity,” Berkovitz says, noting that IAI already has orders in place with launch customer and partner AerCap, among others, with more discussions underway with potential customers. Lessor AerCap already has 30 on order.

Following the first flight, work is now continuing on ground certification tests, after which IAI will begin flight compliance tests. The company is working with Israel’s Civil Aviation Authority as well as the U.S. FAA on the certification plans.

Once the program is fully up and running, IAI will aim for a conversion to take 4.5-5 months from delivery to redelivery. “There will be parallel lines. We’ll have capacity in Tel Aviv, Abu Dhabi and South Korea and other areas in the world soon. Other places ... are in progress,” Berkovitz says, noting that at every site the aim will be for at least two lines.

Berkovitz adds that more broadly, the company is envisaging 3.5-4.5% growth in the overall cargo market, in line with industry outlooks.

While demand for cargo has dropped back from the highs seen during the pandemic, long-term outlooks suggest demand will remain solid. Boeing’s 2022 World Air Cargo Forecast projects air cargo traffic will double by 2041 and the world freighter fleet will expand by more than 60% from 2022, requiring nearly 2,800 production and converted freighter airplanes. Two-thirds of freighter deliveries will be conversions, according to the outlook.

“The 777 is situated in the right place to replace the 747 and the MD-11—and the market is there,” Berkovitz says. “It’s the first time a widebody like the 777 is converted, and it can carry 100 [metric tons] easily in the main deck. It’s situated in the best place for the cargo world.”

He says the aircraft is well-suited for “long-haul, intercontinental flights,” adding: “It can be used for short haul [flights] as well, depending on the needs. It can be used for e-commerce, taking packages, or moving heavy equipment from one place to another.”