Malaysia's ADE sees boom in aircraft repairs amid new plane shortages

The Manila Times

Malaysia's ADE sees boom in aircraft repairs amid new plane shortages  The global aircraft maintenance, repairs and operations (MRO) industry is poised to see higher growth in the next five or six years, as a shortage of new planes force airlines to keep their existing jets flying for longer, said Mahesh Kumar on Monday, July 15, the chief executive of Malaysia-based aircraft services firm Asia Digital Engineering (ADE).  New aircraft deliveries have dropped sharply in recent months amid ongoing supply chain disruptions and rising labor costs, which have seen carriers spending more and retaining repair services for longer to keep older planes in the air, Mahesh said.  ADE, the aircraft maintenance arm of Capital A, which also operates budget airline AirAsia, has seen rapid growth since it began operations in September 2020 at the height of the pandemic.  REUTERS VIDEO  Subscribe to The Manila Times Channel - https://tmt.ph/YTSubscribe    Visit our website at https://www.manilatimes.net    Follow us:  Facebook - https://tmt.ph/facebook  Instagram - https://tmt.ph/instagram  Twitter - https://tmt.ph/twitter  DailyMotion - https://tmt.ph/dailymotion    Subscribe to our Digital Edition - https://tmt.ph/digital    Check out our Podcasts:  Spotify - https://tmt.ph/spotify  Apple Podcasts - https://tmt.ph/applepodcasts  Amazon Music - https://tmt.ph/amazonmusic  Deezer: https://tmt.ph/deezer  Tune In: https://tmt.ph/tunein   #TheManilaTimes #tmtnews #malaysia #airplanes #airasia #travel

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00:00During Covid-19, almost 90% of the people in this area have been infected with COVID-19.

00:07The number of people infected with COVID-19 is increasing day by day.

00:12The number of people infected with COVID-19 is increasing day by day.

00:17The number of people infected with COVID-19 is increasing day by day.

00:23The number of people infected with COVID-19 is increasing day by day.

00:27During Covid-19, almost 90% of, I would say, almost all the airlines have restructured their leases

00:37for commercial reasons and extended the life of the aircraft.

00:48It booms the MRO business.

00:50So, if you're keeping your aircraft from Year 12 to Year 18,

00:55you're going to maintain the aircraft for an additional six years.

00:58So, definitely you need the MRO slots for an additional six years, right?

01:04So, that gives a lot of opportunity to the MRO industry,

01:11especially for the next, I would say, probably five, six years.

01:26We are not from a legacy MRO.

01:29All our slots are fully booked until end of 2025.

01:32Even the new hangars are, you know, we haven't started operations on the new hangar,

01:37but the slots are fully booked.

01:38That's pretty standard in the MRO industry.

01:41People block these slots, you know, 12 months ahead

01:45because the demand is way higher than the supply.

01:48So, business is pretty good, very good, I would say, for the MRO industry,

01:53not only for AD, but globally.

01:55So, that helps a lot in terms of predictive maintenance, in terms of...

02:01They have approaches, and we have visited COMEC as well, an excellent facility.

02:08They are great.

02:10Actually, there are a lot of things we can learn,

02:13and there's a lot of technology we can exchange.

02:17They're pretty good, they're pretty good,

02:19and we're excited to service their planes as well.

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