JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation

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JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
VOL 19, NO. 01 JAN-FEB 2021

                       OSED
                     CL

JUST WHEN THINGS WERE LOOKING UP…
FLEET RESTART                      SINO-US TIES                      AIR INDIA
Pulling planes from storage        Will Biden ease tensions       A planned sale finds
 could pose big problems      for Chinese aviation companies?   few buyers for flag carrier
JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
CONTENTS

                                                     20                                                                          23                                                                         26

                                                            FEATURES
                                                       14	
                                                          MORE OF THE SAME?                                                     26	
                                                                                                                                   DIGITAL REVOLUTION
                                                       	Just when things were looking up with vaccines                         	COVID-19 has accelerated airline digitalisation
On the cover: (Image from Shutterstock)                  getting approved and shipped at the end of 2020,                         efforts like never before, with airline mobile apps
                                                         new COVID-19 variants arrived in Asia and around                         and solutions taking on new roles during the
                                                         the world, throwing up new barriers to a return to                       pandemic.
4     VIEWPOINT                                          ‘normal’. The challenges mean that aviation won’t
	A new year, but ‘new normal’                          be improving anytime soon.
                                                                                                                                29	
                                                                                                                                   DOES ANYONE REALLY
   still missing
                                                                                                                                      WANT AIR INDIA?
                                                       20	RESTARTING THE FLEET                                                 	The government wants to sell Air India and
                                                       	With the peak northern summer approaching
     NEWS                                                and vaccines offering hope, airlines are preparing
                                                                                                                                  conglomerate Tata Sons wants to buy it, but the
                                                                                                                                  deal has failed to take off repeatedly over the past
6     BUSINESS AVIATION                                 to bring their aircraft back in service, but a lack                      several years. Why is it taking so long?
       NEWS                                              of planning and decision-making could cause
                                                         headaches in the MRO world.
7     ROTOR/UAV NEWS
                                                       23	TRADE WARS COULD GROUND
8     MRO NEWS                                               CHINESE AVIATION COMPANIES
                                                       	The three-year Sino-US trade dispute avoided
9     INTERIORS/IFEC NEWS
                                                         striking American vendors that sell civilian aircraft
10	AVIATION PEOPLE ON                                   and their parts to China, but suddenly they’re
      THE MOVE                                           grappling with US bans on businesses with key
                                                         Chinese aircraft builders, in turn leaving those
12 INDUSTRY NEWS                                         buyers short of supplies.

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JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
VIEWPOINT

A new year, but ‘new normal’
still missing
IF YOU WERE LIKE ME LAST YEAR, you spent days online listening             veloping its “Travel Pass” and the non-profit group The Commons
to webinars and Zoom calls with experts in the aviation industry           Project has developed one called the “CommonPass”. Both store
prognosticating about the ‘new normal’ that would take hold once           digital proof that the traveller has been tested for COVID-19 and
we saw the end of the pandemic. And with the news of vaccines              the border officials can scan the QR code to see where the traveller
coming into play before the end of 2020, there was indeed a glim-          was tested, which organisation did the testing, etc. Both of these
mer of hope that things were looking up and it might be possible           initiatives are great ideas and will, hopefully, become a reality sooner
that we could take to the air again for international flights, borders     rather than later. The only problem is, once again, governments are
would reopen and the industry could try to earn back the billions          dragging their heels on implementing them and efforts to coordinate
of dollars it has lost. Now that we’ve entered the new year, it turns      their rollout by organisations like ICAO are falling on deaf ears. As
out that even with vaccines — being rolled out as slowly as they           IATA’s de Juniac said: “This approach tells us that these governments
are — we’re still waiting for whatever normality will arise and the        are not interested in managing a balanced approach to the risks of
signs aren’t promising.                                                    COVID-19. They appear to be aiming for a zero-COVID world. This
                                                                           is an impossible task that comes with severe consequences, the full
COVID-19 & Quarantines                                                     extent of which would be impossible to calculate.”
If you plan on travelling internationally on a regular basis this year,
think again. Governments around world are not dropping their               Hydrogen Dreams, Dodging Bullets
quarantines anytime soon, especially as new strains of COVID-19            The duopoly of Airbus and Boeing bear watching this year as well.
keep being discovered. Despite the pleas from organisations like           Boeing dodged a major bullet when it settled a single US federal
the International Air Transport Association (IATA), the Association        charge of fraud in the 737 MAX debacle. The company agreed to
of Asia-Pacific Airlines (AAPA) and the International Civil Aviation       pay US$2.5 billion to settle the case and blamed two errant em-
Organisation (ICAO), governments, guided by their health author-           ployees for the fiasco that cost the lives of 346 people who trusted
ities, still take comfort (and political cover) in showing people that     Boeing’s workmanship. Politicians in the US said the settlement
they are “doing something”, even though we’ve seen that by the time        was “pathetic” and a “disgrace” with one calling Boeing’s corporate
a quarantine is actually in place, it’s too late. By some accounts, the    culture “rotten”. Airbus, which is laying off employees left and right
so-called “mutant UK strain” escaped Great Britain and was trav-           (like other manufacturers) and bleeding cash, seems to be pinning
elling around the world as early as December 2020. As Alexandre            its hopes and future on hydrogen-powered planes and wants to
de Juniac, the director general of IATA, said: “Science tells us that      have one in the air by 2035. It’s a noble sentiment, but one wonders
travellers will not be a significant factor in community transmission if   how serious the company is about actually putting the necessary
testing is used effectively. But most governments have tunnel-vision       funding into such a moon-shot programme given the current state
on quarantines and are not at all focused on finding ways to safely        of the industry. For this to become a reality, it will take more than
re-open borders, or alleviate the self-imposed economic and mental         good thoughts and pretty pictures of futuristic planes.
health hardships of the lockdowns.”                                           As I’ve mentioned before, the old saying “may you live in inter-
                                                                           esting times” is really a curse. As they say in TV land, it remains to
Digital Health                                                             be seen if 2021 will be as ‘interesting’ as last year. Hopefully not.
When I first came to Asia to work for an NGO in then war-torn Sri
Lanka in 1989, I had to carry a yellow card that showed proof I had
been vaccinated against things like Yellow Fever. While a physical
card may not make a comeback, organisations are developing a                                                     Matt Driskill EDITOR
digital replacement using QR codes and smartphones. IATA is de-                                                  matt.driskill@asianaviation.com

                  FINANCE & LEASING                            ROUTE DEVELOPMENT                           BUSINESS AVIATION
                  Cooperation is the name                      Airlines are scaling back                   A bright spot dims as quarantines
                  of the game to survive.                      once ambitious growth plans.                cut into private jet operations.

4 AsianAviation | Jan-Feb 2021
JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
What a feeling of happiness being open to the world can give us.
With know-how and understanding, our engineers develop future-proof
solutions in the form of hygiene concepts that allow passengers and crew
alike to travel safely. Your success is our mission.

highlights-diehlaviation.com/en/fly-again-together
JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
Business Aviation News

                                                                                                EXECUJET MRO SERVICES
                                                                                                MALAYSIA GAINS NEW
                                                                                                CERTIFICATION
                                                                                                ExecuJet MRO Services Malaysia is now cer-
                                                                                                tified to work on all in-production models of
                                                                                                Dassault Falcon aircraft, making it the lead-
                                                                                                ing maintenance, repair and overhaul (MRO)
                                                                                                organisation in Asia for Dassault Aviation
                                                                                                civil aircraft. ExecuJet has now completed
TAG Aviation welcomes two aircraft                                                              significant maintenance checks on all current
                                                                                                production models of Dassault Aviation civil
to its Asia fleet                                                                               aircraft, namely the Falcon 900, Falcon 2000,
TAG Aviation welcomed a new Gulfstream G600 and a new Bombardier Global 7500 to                 Falcon 7X and Falcon 8X. Some notable ex-
its Asia fleet in the fourth quarter of 2020. TAG Aviation is one of the few operators in the   amples include completion of a 24-month
region managing the two newest aircraft models from Gulfstream and Bombardier. The new          maintenance check on a Philippine-regis-
Gulfstream G600 has just entered into service and is one of the first delivered to Asia. It     tered Falcon 900EX with ADSB-Out upgrade
joins a comprehensive fleet of more than 20 Gulfstream aircraft under TAG Aviation man-         and several 24-month/1600 flight hours
agement in Asia, which includes a G280, G450, G550, and G650/G650ER aircraft. The new           inspection on Falcon 2000 series aircraft.
Bombardier Global 7500 is the second in TAG Aviation’s Asia fleet and joins more than 20        ExecuJet’s hangar, workshops and office oc-
other Bombardier aircraft including Challenger 604, 605 and 850 aircraft as well as Global      cupies 64,000 square feet of land at Subang
5000, XRS, 6000 and 7500 models. — MATT DRISKILL                                                Airport but, as a temporary measure so it can
                                                                                                cater to the increased flow of maintenance
                                                                                                work, it has expanded into a second hangar
TEXTRON AVIATION ANNOUNCES NEW CESSNA
                                                                                                that is 32,000 square feet and is adjacent to
MONITORING OPTIONS
                                                                                                its main facility. Due to its growing business,
Textron Aviation announced new aircraft         transfer their flight data to one of two cus-   the company plans to move into a new, pur-
flight data monitoring (FDM) service options    tomer-selected Flight Operational Quality       pose-built facility at another section of the
for Cessna Citation business jets equipped      Assurance (FOQA) providers, Flight Data         airport that will be dedicated to business avi-
with Aircraft Recording System II (AReS         Services L3Harris Technologies’ Flight Data     ation. The new facility will be 100,000-150,000
II). Through Textron Aviation’s proprietary     Connect service or Safran Electronics &         square feet and have a hangar large enough
LinxUs data reporting ecosystem, Cess-          Defense’s Cassiopée Flight Data Monitoring      to fit 10 to 15 large-cabin, long-range busi-
na Citation customers can now choose to         solution. — MATT DRISKILL                       ness jets simultaneously. — MATT DRISKILL

JET AVIATION INCREASES CHARTER SERVICES IN RESPONSE TO GROWING DEMAND
Jet Aviation announced that is expanding        in 2020. With COVID bringing airlines to        inquiries in particular, the company has
its charter and aircraft management ser-        a near standstill in 2020, Jet Aviation has     broadened its services to meet the varying
vices with 41 new global fleet additions.       been responding to a marked increase in         requirements of its customers and Jet Avi-
   The expansion comes in response to           demand for aircraft management and char-        ation also continues to add new aircraft to
growing inquiries about charter services,       ter services.                                   its global aircraft management and charter
despite the overall slowdown of air travel        Noting a five-fold increase in charter        fleet. — MATT DRISKILL

SINO JET WINS FIVE AWARDS AT WORLD TRAVEL AWARDS 2020
Sino Jet Group has been presented with          and China’s Leading Private Jet Charter         safeguard passenger and crew safety. By
five wins at the World Travel Awards 2020       2020. Sino Jet said that its stability and      February 2020, the company had imple-
including World’s Leading Private Jet Com-      growth in 2020 came in part because of          mented comprehensive safety practices
pany 2020, World’s Leading Travel Club          its swift implementation of new safety pro-     including aircraft disinfection, double-crew
2020, Asia’s Leading Travel Club 2020, and      tocols. It secured confidence by adjusting      roster scheduling to manage quarantine
Asia’s Leading Private Jet Charter 2020,        its standard operating practice (SOP) to        regulations — MATT DRISKILL

6 AsianAviation | Jan-Feb 2021
JUST WHEN THINGS WERE LOOKING UP - AIR INDIA FLEET RESTART Pulling planes from storage could pose big problems - Asian Aviation
Rotor/UAV News

LEONARDO ANNOUNCES
DRONE CONTEST
The 2021 edition of the Leonardo Drone Con-
test will be a “drone game” in which new
technologies and functions will be applied
in a new arena. Much like the formula in the
first edition, the new competition will include
a scientific and technological presentation
symposium at the end of spring 2021, and the
development of the new tender which will
be held in the autumn at Leonardo’s Aircraft
headquarters in Turin. — MATT DRISKILL
                                                  Volocopter commits to launch in Singapore
ROSTEC STARTS                                     Volocopter announced its commitment to launch air taxi services in Singapore after two
ASSEMBLING FIRST MI-171A3                         years of close collaboration with the city. Working together with the Economic Development
Russian Helicopters has started assem-            Board of Singapore (EDB) and the Civil Aviation Authority of Singapore (CAAS), Volocopter
bling the first prototype of Mi-171A3 off-        plans to make air taxi services a reality in the Southeast Asian city-state within the next three
shore helicopter. The Mi-171A3 comes with         years. In October 2019, Volocopter completed an air taxi demonstration flight in Singapore
several significant upgrades including a          over the Marina Bay area. Leading up to this flight, the company opened a Singapore office
new airframe that integrates a crash-re-          in 2019, conducted extensive flight tests, and worked with the Ministry of Transport (MOT)
sistant fuel system into the cargo bay floor      and CAAS, to receive the necessary permits to fly. Meanwhile, Volocopter and ADAC Luftret-
and modernised avionics upgraded for off-         tung announced that ADAC Luftrettung has reserved two VoloCity electric vertical take-off
shore operations and flights in the Arctic.       and landing (eVTOL) aircraft to prepare for operational tests in 2023 on multicopter use for
— MATT DRISKILL                                   emergency medical services. — MATT DRISKILL

EMBRAERX, AIRSERVICES AUSTRALIA OUTLINE
URBAN AIR MOBILITY CONCEPT                                                                              ERICKSON GETS FINAL
EmbraerX, a subsidiary of Embraer, and            Solutions, the new EmbraerX spin-off, will            FAA CERTIFICATION OF
Airservices, Australia’s civil air navigation     be responsible for this partnership with Air-         COMPOSITE BLADES
service provider, have developed a new            services and for the development of Urban             Erickson announced final FAA certification
concept of operations (CONOPS) for the            Air Traffic Management solutions. CONOPS              for the composite main rotor blades on the
air taxi market, also known as urban air          explores new and practical concepts to                S-64F and CH-54B. Earlier this year, Erickson
mobility (UAM).                                   safely facilitate the introduction of the air         announced FAA approval of the S-64E
  Going forward, Eve Urban Air Mobility           taxi industry. — MATT DRISKILL                        model. This recent announcement finalises
                                                                                                        the certification of the S-64F and CH-54B,
                                                                                                        solidifying FAA certification for the entire fleet
RUSSIAN HELICOPTERS DELIVERS FIRST ANSAT
                                                                                                        of S-64 Air Crane E & F models, as well as the
The Russian Helicopters holding company                                                                 CH-54 Skycrane A & B models. The advanced
(part of Rostec State Corporation) has de-                                                              design of the blades provides a significant
livered a first Ansat helicopter to a client                                                            performance advantage, especially in hot and
in Europe. The operator of the rotorcraft,                                                              high conditions.
which is equipped for medical operations,
is the Ministry of Interior of the Republika                                                            ÖAMTC AIR RESCUE STARTS
Srpska (Bosnia and Herzegovina). This is          with a stretcher and a medical shelf. The             FLEET MODERNISATION WITH
the first of three helicopters under the de-      helicopter cabin has space for transporting           FIVE AIRBUS H135S
livery contract. Ansat for Republika Srpska       one patient and two chairs for accompany-             Airbus Helicopters and ÖAMTC Air Rescue
comes with a medical module equipped              ing doctors. — MATT DRISKILL                          have signed a firm contract for the purchase of
                                                                                                        five H135s. The delivery of the first helicopter of
                                                                                                        this contract is scheduled for early 2022.

                                                                                                                     AsianAviation | Jan-Feb 2021 7
MRO News

                                                                                                                                                    PRATT & WHITNEY
                                                                                                   PRATT & WHITNEY
                                                                                                   ADDS SECOND GTF MRO
                                                                                                   SHOP IN CHINA
GKN signs deal with COMAC and AVIC                                                                 Pratt & Whitney announced that it will ex-
                                                                                                   pand its global network of providers that
COMAC subsidiary SAMC (Shanghai Aircraft Manufacturing Company), AVIC Supply and GKN
                                                                                                   maintain the Pratt & Whitney GTF engine
Aerospace have signed a joint venture (JV) agreement for the manufacture of composite and
                                                                                                   to include MTU Maintenance Zhuhai. A
metallic aerostructures in Jingjiang, Jiangsu Province, China. The deal is part of GKN’s plan to
                                                                                                   joint venture between MTU Aero Engines
grow within the commercial aerospace market within China. The 80,000 square metre facility
                                                                                                   and China Southern Airline Company, MTU
in Jingjiang will be GKN Aerospace’s first aerostructures JV in China. It will offer COMAC, AVIC
                                                                                                   Maintenance Zhuhai will provide engine
and Western customers the opportunity to access a local supply of advanced aerostructures in
                                                                                                   maintenance for PW1100G-JM engines for
the country. The JV builds on COMAC, AVIC and GKN Aerospace’s record in the global com-
                                                                                                   the Airbus A320neo family of aircraft. The
mercial aviation industry. Production is scheduled to begin in Q4 2021 and, by the mid-2020s,
                                                                                                   Zhuhai facility will be MTU’s third facility
the workforce is expected to grow to 1,000 people. In addition to the JV facility, GKN Aerospace
                                                                                                   to serve engines with full disassembly, as-
is in final preparations to open (April 2021) a separate 20,000 square metre site in Jingjiang,
                                                                                                   sembly and test capability in the GTF MRO
focusing on the manufacture of transparencies for the commercial market. — MATT DRISKILL
                                                                                                   network. MTU Maintenance Zhuhai will be-
                                                                                                   come the second facility in China and fifth in
MRO CHINA AIRCRAFT SERVICES                                                                        Asia supporting GTF MRO work, alongside
WELCOMES NEW CLIENT JSC ROYAL FLIGHT AIRLINES                                                      AMECO in China, Pratt & Whitney’s Eagle
China Aircraft Services Limited (CASL) has         Founded in 1995, CASL is a joint venture        Services Asia (ESA) in Singapore, as well as
signed JSC Royal Flight Airlines as a new          between China National Aviation Corpo-          IHI and MHIAEL in Japan. — MATT DRISKILL
client with flights from Moscow’s Vnukovo          ration, United Airlines, China Airlines and
International Airport (VKO) and Shereme-           Gama Group, providing aircraft line and         MEGGITT SECURES
tyevo International Airport (SVO) to Hong          base maintenance, cabin services, ground        CONTRACT WITH SICHUAN
Kong International Airport.                        services equipment and business jet main-
                                                                                                   SERVICES AERO-ENGINE
   CASL will provide ground handling and           tenance, as well as supply and storage ser-
mechanic support to the airline’s Boeing           vices at Hong Kong International Airport.       Meggitt has secured a three-year con-
767 and 777 flights to and from Hong Kong.         — MATT DRISKILL                                 tract with Sichuan Services Aero-Engine
                                                                                                   Maintenance Company (SSAMC) to supply
REVIMA OBTAINS PART-145 CERTIFICATION                                                              components for the CFM56 engine. The
FOR THAILAND FACILITY                                                                              contract has a lifetime value of approxi-
                                                                                                   mately US$1 million. SSAMC is a 60/40
Revima, an independent APU and landing                                                             joint venture between Air China and CFM,
gear MRO company, has completed the                                                                and is based at the Chengdu-Shuangliu
certification process for its new landing                                                          airport. — MATT DRISKILL
gear facility in Chonburi, south of Bang-
kok, Thailand. Construction on the 120,000
                                                                                                   MAGNETIC MRO SIGNS DEAL
square foot facility began in February 2019
                                                                                                   WITH AUSTRALIA’S REX
and was completed in March 2020.
  In parallel, a significant staffing and train-                                                   Magnetic MRO, a Total Technical Care
ing program was initiated and completed,                                                           and Asset Management organisation, has
with numerous months of professional and                                                           announced that it has recently signed a
hands-on training at Revima’s headquarters                                                         CAMO service agreement with the Aus-
in Normandy, France. The US$40 million                                                             tralian operator REX Airlines (RAL) which
facility is equipped with the latest machin-       monitoring and maintenance processes.           will be in operation in the first quarter in
ery and tooling, fully connected for smart         — MATT DRISKILL                                 2021. — MATT DRISKILL

8 AsianAviation | Jan-Feb 2021
MOMENT CONNECTS 120
MILLION PASSENGERS IN 2020
Moment, a French provider of
                                                                        Interiors/IFEC News
on-board digital solutions, announced
a five-fold increase in the use of
its solutions, reaching a 120 million
passenger user-base. Thanks to its
resilience and agility, the company was
able to drastically increase the scale of
its operations in 2020, inking three new
contracts with airlines, while expanding
into new business segments.

INMARSAT SATELLITE
ENTERS SERVICE FOR
AVIATION BROADBAND
Inmarsat said its newest and most
advanced satellite to date, the GX5, is
now delivering capacity to Europe and the
Middle East as part of the industry-leading
Global Xpress (GX) network, which powers           Recaro Aircraft inks deal with employees,
the GX Aviation and Jet ConneX (JX)
inflight Wi-Fi services.                           releases new products
                                                   Aircraft seating manufacturer Recaro Aircraft Seating said a majority of its employees have
                                                   voted to approve the company’s concessions plan to help keep the company in business.
                                                   A total of 95 percent of IG-Metall (IGM) members voted “yes” for the concessions made by
                                                   employees, which prevents dismissals for operational reasons. Additionally, Recaro revealed
                                                   a luxury seat for Emirates’ first Premium Economy cabin. The customised seat design was a
                                                   result of a collaboration between Recaro and Emirates, which began in April 2019 at a seat
                                                   show held in parallel to the Aircraft Interiors Expo. Recaro also announced that KLM Royal
                                                   Dutch Airlines (KLM) is the launch customer for the SL3710 Economy Class seat on Embraer
                                                   and Boeing aircraft. KLM ordered more than 5,500 seat pax of the SL3710 and nearly 2,000
   JOLED AND AERQ                                  seat pax of the BL3710, which are slated for delivery starting in February 2021. The Recaro
   WORK ON OLED DISPLAYS                           seats will be retrofitted on a number of Embraer E190 and Boeing B737-800, and will be
                                                   line-fitted on the Embraer E195. — MATT DRISKILL
   Japan’s JOLED, an OLED expert and manu-
   facturer of 4K OLED by printing technology,
   and AERQ, a promoter of digital transforma-     THINKOM SOLUTIONS SUPPLIES ANTENNAS FOR INMARSAT
   tion for aircraft cabins, announced a collab-   ThinKom Solutions announced it is sup-           technology underpinning Inmarsat’s GX Avi-
   oration aiming to integrate medium-sized        plying its ThinAir Ka2517 aero satellite an-     ation broadband satellite inflight connectiv-
   OLED displays in aircraft cabins. AERQ is       tennas to GDC Technics, in support of In-        ity (IFC) solutions, including the new GX+
   a joint venture between LG Electronics and      marsat’s next-generation GX terminal and         North American IFC service announced by
   Lufthansa Technik, founded in 2019 to make      associated inflight broadband services.          Inmarsat and Hughes Network Systems ear-
   airlines the playmaker of their digitalised     The Ka2517 will serve as a critical enabling     lier this year. — MATT DRISKILL
   cabin experience by introducing innovative
   technologies to the aviation industry. AERQ
                                                   ONEWEB SUCCESSFULLY                              INTELSAT COMPLETES
   provides a digital ecosystem that consists
   of an open IT platform, in-seat system, and
                                                   DEPLOYS 36 BIRDS                                 ACQUISITION OF GOGO
   Cabin Digital Signage. By leveraging LG         OneWeb’s fourth launch overall and the third
                                                                                                    COMMERCIAL AVIATION
   Electronics’ extensive knowledge in dis-        for 2020 is the first to be conducted with       Intelsat announced it has completed its ac-
   play technologies, AERQ is aiming to utilise    Soyuz by Arianespace from the Vostoch-           quisition of the commercial aviation business
   OLED displays in aircraft cabins. AERQ has      ny Cosmodrome in Russia. By successfully         of Gogo. The closing of the US$400 million
   demonstrated its Welcome Board, is work-        placing 36 new OneWeb constellation sat-         cash deal brings together two complemen-
   ing on ceiling panels using large OLED dis-     ellites into orbit, Arianespace resumed the      tary enterprises — the world’s largest satellite
   plays, and has also revealed a concept for      deployment of this client’s satellite network,   operator with the leading provider of com-
   a class-divider using transparent displays.     which now is composed of 110 satellites in       mercial inflight broadband and entertain-
   — MATT DRISKILL                                 low Earth orbit. — MATT DRISKILL                 ment services. — MATT DRISKILL

                                                                                                                     AsianAviation | Jan-Feb 2021 9
Aviation People on the Move

                 ACS has appointed the                               BAA TRAINING has              succeeds Muhammad Albakri. IATA also
                 experienced Jason Bird as                           named Aurimas Urbonas         announced that Willie Walsh will take over
                 head of cargo in their                              as managing director for      as director general and CEO.
                 Singapore office.                                   BAA Training Spain.
                                                                                                                    JET SUPPORT SERVICES,
                The AIR CHARTER                                     BII.AERO has appointed                          has named Pascale
                ASSOCIATION has named                               Andrew Newell as sales                          Barhouch as director of
                Glenn Hogben as CEO. He                             director. Newell brings a                       business development for
                will work to ensure the ACA                         highly specialised                              the Middle East and India.
                continues to lead the                               expertise in the aircraft
industry and support its members through           interiors sector and is tasked with setting
current challenges and into the future.            up a new centre of excellence at Bii.

                                                                  GALEY SUPPORT
                                                                  INNOVATIONS has
                                                                                                   MARTA RAMIREZ    KEN NIEZE
                                                                  promoted David Valovich
                                                                  to the position of vice          PAYCARGO has appointed Marta Ramirez
                                                                  president of Operations          and Ken Nieze as vice presidents. Ramirez
GIOVANNI        ANDREW MASON      DARREN HARDING
PEDACCINI                                          and Administration.                             is the new Global VP, Human Resources,
                                                                                                   based at PayCargo’s Florida headquarters
AIRPORT DIMENSIONS has appointed                                                                   Nieze appointed VP of Sales, West Coast,
Giovanni Pedaccini as its new commercial                                                           based in Seattle.
manager and Andrew Mason as new
creative director. The company also                                                                                 SINGAPORE AIRLINES
named Darren Harding as its new                                                                                     has named Chen Sy Yen as
commercial director.                               LIN SHIH YING
                                                   (NANA LIN)
                                                                    DR KIAN CHUAN
                                                                    CHAN
                                                                                     ERIC HERMAN                    the new general manager
                                                                                                                    for India. Chen has held key
                 AIR NEW ZEALAND                   GEODIS has named Lin Shih Ying (Nana                             positions at the SIA head
                 has appointed Richard             Lin) as managing director for Taiwan            office as well as at overseas stations.
                 Thomson as its chief              and becomes the second female MD in
                 financial officer. Thomson        GEODIS’ Asia-Pacific region. The company
                 is a former Air New               has also named Dr Kian Chuan Chang
Zealander and has been CFO of publicly             as regional customs brokerage director
listed Metlifecare for the past three years.       and Eric Herman as managing director for
                                                   contract logistics in APAC.                     DAVID SETTERGREN JAY AIKEN
              ARGUS
              INTERNATIONAL,                                                                       SR TECHNICS named David Settergren as
              has named Mike                                                                       vice president for Asia and named Jay
              McCready as senior vice                                                              Aiken as vice president for the Americas.
              president of Operations
and Business Development.                                                                                           VIRGIN GALACTIC
                                                   KAMIL H. AL-AWADHI WILLIE WALSH
                                                                                                                    HOLDINGS has named
                 ATPCO has named Alex              The INTERNATIONAL AIR TRANSPORT                                  Alistair Burns as chief
                 Zoghlin as president and          ASSOCIATION has named Kamil H.                                   information officer. Burns
                 CEO following a two-              Al-Awadhi as IATA’s regional vice                                will be responsible for
                 month, in-depth handover          president for Africa and Middle East,           delivering the technology strategy for
                 with the executive team.          effective 1 March 2021. Al-Awadhi               Virgin Galactic.

10 AsianAviation | Jan-Feb 2021
KEEP.
IT.
SIMPLE.

WHEELS AND BRAKES.
IT’S THAT SIMPLE.

TPAEROSPACE.COM
Industry News

                                                                                               NOKIA SHANGHAI BELL
                                                                                               SNAGS HKIA DEAL
                                                                                               Nokia Shanghai Bell announced that the
                                                                                               Airport Authority Hong Kong (AAHK) will
                                                                                               deploy a new, high-bandwidth, mission-crit-
                                                                                               ical Nokia IP/MPLS network to support tow-
                                                                                               er operations at Hong Kong International
                                                                                               Airport (HKIA). In addition to provision of
                                                                                               packet-based IP routing solutions, Nokia
                                                                                               will support and manage migration of lega-
                                                                                               cy non-IP aviation applications to the new
                                                                                               network. — MATT DRISKILL

                                                                                               HONEYWELL, SICHUAN
                                                                                               AIRLINES SIGN APU DEAL
                                                                                               Sichuan Airlines has selected Honeywell’s
                                                                                               131-9A auxiliary power units (APUs) for its

                                                                                        TRU
                                                                                               A320 fleet of aircraft. As part of a five-year
                                                                                               agreement, Honeywell will provide the 131-
                                                                                               9A APU for Sichuan Airline’s 93 new A320
China’s CAFUC lines up training suppliers                                                      aircraft that will enter service by 2025. The
ALSIM and TRU Simulation+Training have won contracts with the Civil Aviation Flight Uni-       airline will also replace the APUs on its 141
versity of China (CAFUC). TRU said it had signed a deal with CAFUC to build and install        existing A320 aircraft with the same Hon-
a Cessna Citation M2 light jet Level D Full Flight Simulator (FFS) at the training centre in   eywell APU. This is the largest APU retrofit
Guanghan, China, to support CAFUC’s fleet of new Citation M2 aircraft delivered this year.     deal in Honeywell’s history. — MATT DRISKILL
CAFUC’s fleet of Cessna aircraft includes 159 Cessna Skyhawk pistons, the largest in Chi-
na, four new Citation M2 light jets and seven Cessna Citation CJ1/CJ1+ light jets. ALSIM       PLAZA PREMIUM GROUP
meanwhile, announced that it won a deal to supply five ALSR20 and one AL172 simulators.        AND MARHABA FORM
The latest purchase increases the CAFUC’s fleet of Alsim simulators to a total of 15 devic-
                                                                                               PARTNERSHIP
es, already composed of AL42s, specific Diamond DA42 and AL172s, specific Cessna 172
Skyhawks. In total, this latest deal brings the total contract value between ALSIM and the     Plaza Premium Group and marhaba have
CAFUC to about US$3.9 million in the last two years. — MATT DRISKILL                           formed a strategic partnership to enhance
                                                                                               their offering of airport lounges and ‘meet
CHINESE COMPANY WINS CAMBODIAN AIRPORT DEAL                                                    and greet’ services. The partnership will see
                                                                                               the two companies expand market presence
Metallurgical Corporation of China (MCC)        of which is being funded by China. The air-    by consolidating service distribution and
has been awarded the 2.67 billion yuan          port is part of the Cambodian government’s     customer engagement through integrated
(US$405 million) contract to design and         strategy to boost tourism, but it comes as     cross-selling capabilities. The partnership
construct the airfield for a new airport in     other planned projects, including a new re-    will initially cover major airports in strategic
Phnom Penh, Cambodia. The airport has a         sort near Angkor Wat, face questions over      markets across Asia, the Middle East and
total cost estimated at US$1.5 billion, most    their long-term feasibility. — MATT DRISKILL   Europe. — MATT DRISKILL

AEROLEASE AVIATION CANCELS DEAL WITH MITSUBISHI AIRCRAFT
Mitsubishi Aircraft Corporation announced       when Mitsubishi restarts development of        stands at 153, the majority of them to Jap-
that its deal with Aerolease Aviation for the   the regional jet.                              anese carriers. Mitsubishi Aircraft also has
Spacejet has been cancelled and the two           With Aerolease’s cancellation, the total     114 options for the type, according to Cirium
sides agreed to “revisit” a possible contract   number of firm orders for the SpaceJet now     fleets data. — MATT DRISKILL

12 AsianAviation | Jan-Feb 2021
APOC AVIATION OPENS NEW
                                                                                                      WAREHOUSE IN SINGAPORE
                                                                                                      As part of the on-going strategic plan to
                                                                                                      expand its global footprint, APOC Aviation, a
                                                                                                      leasing, trading, aircraft component and part-
                                                                                                      out specialist, has announced the opening of
                                                                                                      its first facility outside Europe. The new APOC
JEJU AIR, SABRE                                   QANTAS, JAL, PLAN JV                                base in Singapore will hold stock of modern
RENEW DEAL                                        TO HELP RECOVERY OF                                 A320 family and B737 components, providing
                                                  INTERNATIONAL TRAVEL                                the local market with faster access to their
Sabre has renewed its long-term distribution                                                          stock of spares inventory.
partnership with Korea’s largest low-cost         Qantas and Japan Airlines (JAL) announced
carrier (LCC), Jeju Air. The renewed agree-       plans to form a new joint business for cus-         AUSTRALIA’S PEL-AIR
ment means that Sabre will continue to            tomers travelling between Australia, New            RECEIVES KING AIR FOR
distribute Jeju Air’s content to hundreds of      Zealand and Japan to support the tourism            AIR AMBULANCE SERVICE
thousands of travel agents, and the travellers    industry’s recovery when international fly-         Australian regional carrier Rex announced
they serve, through its extensive, worldwide      ing resumes amid the COVID-19 pandemic.             that its subsidiary Pel-Air has taken delivery
travel marketplace. Jeju Air typically operates   The airlines have submitted an application          of the first of five Beechcraft King Air 350
scheduled domestic services between cities        for authorisation to regulators in Australia        aircraft for the NSW Ambulance fixed-wing
across South Korea as well as between Seoul       and New Zealand, with a decision expected           patient transport service commencing Air
and international destinations including Ja-      within six months. Subject to this regulatory       Ambulance operations in January 2022.
pan, China, Russia, the Mariana Islands, and      approval, it is anticipated that the joint busi-    Pel-Air was awarded this contract in
a number of key destinations across South-        ness would commence operations around               February 2020. The aircraft will undergo
east Asia. — MATT DRISKILL                        July 2021. — MATT DRISKILL                          modifications locally, to meet the very
                                                                                                      stringent requirements of NSW Ambulance.

                                                                                                      BAA TRAINING SIGNS DEAL
                                                                                                      WITH VIETRAVEL AIRLINES
                                                                                                      BAA Training Vietnam and Vietravel Airlines
                                                                                                      have signed a long-term partnership
                                                                                                      agreement. BAA Training has committed to
                                                                                                      the start-up airline Vietravel, controlled by
                                                                                                      Vietnam’s leading tour operator Vietravel, to
                                                                                                      provide wet and dry Airbus A320 full-flight
                                                                                             AIRBUS

                                                                                                      simulator lease services. The first students
                                                                                                      occupied the Airbus A320 full-flight simulator
                                                                                                      (FFS) from November 2020.
AIRBUS INAUGURATES NEW SINGAPORE CAMPUS
Airbus has officially opened its new integrat-    house has increased storage volume and              BAMBOO AIRWAYS SELECTS
ed campus in Singapore. The inauguration          capacity by over 70 percent. Also located at        AFI KLM E&M FOR
was hosted by Christian Scherer, Airbus           the campus is the new Southeast Asia oper-          COMPONENTS SUPPORT
chief commercial officer, along with Chan         ation for the Airbus digital services platform      Bamboo Airways in Vietnam has contracted
Chun Sing, minister for Trade and Indus-          Skywise. In addition to supporting Skywise          with Air France Industries KLM Engineering
try for Singapore. Located at Singapore’s         customers, the team based in Singapore will         & Maintenance (AFI KLM E&M) to provide
Seletar Aerospace Park, the new campus            be involved in exploring potential partner-         component support for its Boeing 787 fleet.
covers an area of 51,000 square metres. It        ships with start-ups and other technology           The long-term component contract, between
is an expansion of an existing site, housing      providers in the region. The campus will also       Bamboo Airways and AFI KLM E&M covers
the Airbus Asia Training Centre (AATC), a         be home to a branch of the global Airbus            component repair, spares pool access and
joint venture between Airbus and Singapore        Leadership University, providing training           logistics for a fleet of 14 aircraft. Moreover,
Airlines, and the company ’s Asia-Pacific         and tailored development programmes for             Bamboo Airways becomes the 21st member
spare parts distribution facility, operated       company employees. When operational, the            to join the AFI KLM E&M 787 Operators
by Airbus subsidiary Satair. New facilities       Singapore facility will be second in Asia,          Community and will benefit from AFI KLM
at the campus include offices serving as the      complementing an existing centre in Bei-            E&M global network and reliable predictive
company’s regional hub for its commercial         jing, and will offer courses to employees           maintenance tool, Prognos.
aircraft, defence, space and helicopter busi-     based at Airbus offices across the region.
nesses. In addition, a second Satair ware-        — MATT DRISKILL

                                                                                                                 AsianAviation | Jan-Feb 2021 13
OSED
                             CL

     More of the same?

                                                                                                                                             SHUTTERSTOCK
Just when things were looking up with vaccines getting approved and shipped
at the end of 2020, new COVID-19 variants arrived in Asia and around the
world, throwing up new barriers to a return to ‘normal’. The challenges mean
that aviation won’t be improving anytime soon as Matt Driskill explains.

THE PAST YEAR WAS UNPRECEDENTED as anyone involved                    efforts to develop a ‘digital health passport’ that would smooth the
in aviation knows. But the industry in November last year gave a      way for travellers crossing borders, cargo carriers were preparing
collective sigh of relief when news broke that vaccines were on the   super-cold transportation for vaccines and countries large and small
way and the dreaded quarantines put in place to stem the spread       were opening ‘green lanes’ or ‘travel bubbles’ to kickstart flights
of COVID-19 might be going away. People were also applauding          across borders.

14 AsianAviation | Jan-Feb 2021
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AVIATION OUTLOOK

                                                                                                                                                  ICAO
   With the new variants of the virus spreading faster and wider,
                                                                                              Paralysed revenue streams
botched rollouts of vaccination centres and no end in sight to the
pandemic and the troubles it has wrought, the aviation industry                    resulting from the plunge in air traffic
needs to hold on until at least mid-to-late 2021 to see any sign of                    has led to severe liquidity strains
improvement, according to industry associations, experts, airline
officials and others.                                                                   across the aviation value chain…
   “Paralysed revenue streams resulting from the plunge in air traffic
                                                                                       INTERNATIONAL CIVIL AVIATION ORGANISATION
has led to severe liquidity strains across the aviation value chain,
placing the industry’s financial viability in question and threatening
millions of jobs around the world,” the International Civil Aviation     the global picture only by the second quarter of 2021, though this
Organisation (ICAO) said recently. Cascading impacts have also           will still be subject to the effectiveness of pandemic management
been severe across tourism markets globally, given that over 50          and vaccination rollout.”
percent of international tourists formerly used air travel to reach
their destinations.”                                                     Airlines
   The global US$370 billion drop in gross airline passenger oper-       The world’s airlines alone need additional funding of at least US$70
ating revenues represented losses of US$120 billion in the Asia-Pa-      billion to US$80 billion, according to Alexandre de Juniac, the out-
cific, US$100 billion in Europe, and US$88 billion in North America,     going director general of the International Air Transport Association
followed by US$26 billion, US$22 billion and US$14 billion in Latin      (IATA). That additional funding is in addition to about US$170 billion
America and the Caribbean, the Middle East and Africa, respectively,     that airlines have already received via various public and private
ICAO data showed. ICAO said “the near-term outlook is for pro-           funding measures. IATA warned in January that the former bright
longed depressed demand, with downside risks to global air travel        spot of domestic travel in countries like China, Japan and South
recovery predominating in the first quarter of 2021, and likely to be    Korea dimmed in November, down 41 percent year-on-year, while
subject to further deterioration. ICAO expects any improvement in        international traffic was down 88 percent. IATA data also showed that

16 AsianAviation | Jan-Feb 2021
AVIATION OUTLOOK

forward bookings were down 88 percent from 2019.                         While we still see airlines turning cash positive
   De Juniac said the funding would help airlines sur-
vive until at least June, when he said he expects the                    within the year, the near-term picture is bleak.
first signs of travel restrictions to ease as COVID-19         Instead of a boost from the year-end holiday period,
vaccines begin to play a bigger role in containing
the virus. De Juniac said he expects to see more air-
                                                                                                we got even more restrictions.
lines fail in the coming months if they don’t receive
                                                                ALEXANDRE DE JUNIAC, INTERNATIONAL AIR TRANSPORT ASSOCIATION.
additional funding, which would be added to the
30-40 that have already folded like AirAsia Japan and
Cathay Dragon, or gone through administration like Virgin Australia.        Also affecting travel will be increased airfares. While airlines
   “While we still see airlines turning cash positive within the year,    might initially cut fares to spur passenger uptake, a decided lack
the near-term picture is bleak,” de Juniac said in January. “Instead      of business travellers will force airlines to raise fares, most industry
of a boost from the year-end holiday period, we got even more re-         experts agree. This is because corporate accountants have seen
strictions. Governments tightened borders in a knee-jerk response         that much of their company business travel can be supplanted by
to a virus mutation. Canada, UK, Germany, Japan and others added          online meetings or other indirect means. This has been illustrated
testing to their COVID-19 measures without removing quarantine            in the aviation industry by companies such as lessors who have
requirements. In other words, they have chosen policy measures that       managed the process of bring planes off-lease by using third-parties
will shut down travel. This approach tells us that these governments      where the planes are based to conduct virtual inspections. Fares
are not interested in managing a balanced approach to the risks of        are already rising in some cases, according to industry data that
COVID-19. They appear to be aiming for a zero-COVID world. This           showed Business Class fares in the US are trending as much as 70
is an impossible task that comes with severe consequences—the             percent higher compared to 2020 fares for March 2021 departures
full extent of which it would be impossible to calculate. But, with this  while Economy fares are up 18 percent.
approach, we know for sure that the travel and tourism economy              The “absence of corporate travel will undermine quite significantly
will not recover, jobs will continue to disappear and the lockdown’s      the economics of long-haul flying,” said Peter Harbison, chairman
toll on people’s mental health will continue to grow, particularly on     emeritus of the CAPA Centre for Aviation at a recent online event in
those who are separated from loved ones.”                                 Australia. “I should say very significantly, not quite significantly. And

                                                                                                                                               IATA

                                                                                                                    AsianAviation | Jan-Feb 2021 17
AVIATION OUTLOOK

                                                                           leverage the use of the vaccines in that way to expand it, and so
                                                                           its role in international aviation.”
                                                                              Harbison also said low-cost carriers will recover fastest because
                                                                           they’re “usually best positioned to benefit from the recovery process
                                                                           after a major shock. In these subdued economic conditions, they
                                                                           have lower costs therefore can afford to fly at lower fares. And the
                                                                           recovery will be led by domestic and international short-haul mar-
                                                                           kets, LCC typical markets, VFR and leisure travel, and by the fact
                                                                           that there’ll be limited business travel demand this year. Equally,
                                                                           most LCCs have better balance sheets than the full service carriers,
                                                                           and tend to be more nimble in their approach to getting in and out
                                                                           of markets.”

                                                                           OEM Outlook
                                                                           The latest data from Cirium’s Fleet Forecast that was released
                                                                           late year showed the world will need US$2.8 trillion worth of new

                                                                   CAPA
                                                                           aircraft over the next 20 years, despite the impact of the COVID-19
                                                                           pandemic significantly reducing deliveries of new aircraft during
                                                                           2020. The report predicts that 43,315 new passenger and freighter
There will be bilateral bubbles, again,                                    aircraft will be delivered between 2020 and 2039, representing an
only with a combination of testing and                                     8 percent drop compared to the 20-year outlook in the 2019 Cirium
vaccination. Vaccination alone is unlikely                                 Fleet Forecast and includes some 4,600 fewer deliveries in the next
                                                                           decade. Engine flying hours will also fall by 45 percent in 2020 to 94
to provide the solution.                                                   million, compared to 170 million in 2019. However, the use of more
                                                                           efficient aircraft this year means that total CO2 emissions are likely
PETER HARBISON, CAPA CENTRE FOR AVIATION
                                                                           to be down by 50 percent. Over the next 20 years, total engine flying
                                                                           hours will increase to 310 million.
we’ve seen, of course, that borders will close and open unpredictably         Asian markets will be the growth engine for the global aviation
as circumstances change. Hopefully the rapidity of those closures          industry during the next two decades, the report forecast. China
and the widespread nature will not be as significant as they’ve            looks to be the biggest single destination for new commercial and
been in late 2020, but we know that they will occur. And exceptions        passenger aircraft deliveries between 2020 and 2039, with a 22
to where the vaccine might help, perhaps — and this is a delicate          percent share — one point ahead of the rest of Asia combined.
argument — the major transit hubs like the Middle East, Singapore,            Airbus and Boeing are expected to remain the two largest com-
Hong Kong. Intensive testing may allow them to reconnect with              mercial aircraft manufacturers (OEMs), between them delivering an
state-of-the-art airport connections and restore a position in long-       estimated 77 percent of aircraft and 86 percent by value through
haul global travel. They still will be subject to lower corporate travel   2039. In the passenger market, single-aisle jets will account for 67
and less business travel revenues, but they do have typically lower        percent of deliveries and 54 percent of delivery value, with the core
costs than the full-service carriers elsewhere.                            of this US$1.5 trillion market continuing to be the 150-seat size,
   “There will be bilateral bubbles, again, only with a combination        typified by the Airbus A320neo and Boeing 737 Max 8. The US$1.1
of testing and vaccination, “ Harbison said. “Vaccination alone            trillion twin-aisle market will focus on 787s and A350s, with “mid-
is unlikely to provide the solution. Within Europe, perhaps, even          sized” 250-300 seaters taking almost two-thirds of delivery value.
though the EU is being relatively slow in adopting and allocating          Twin-aisle supply will remain the last duopoly in the commercial
the resources for vaccines. The US and Central America, which has          sector until the turn of the decade.
held up pretty well so far. Again, if both the US and foreign vacci-
nation levels are sufficiently high. Bear in mind we’re talking later      Quarantines & Technology
in the second half of this year, probably the third or fourth quarter.     When China locked down Wuhan on 23 January last year at the start
Within North Asia where, with the exception of the recent spike in         of the COVID-19 pandemic, governments around the world called it
Japan, the levels of coronavirus have been relatively low. And then        too drastic, especially countries like the US and the UK. A year later,
perhaps, and this is a little more controversial, along China’s Belt       the UK has implemented some of the strictest quarantine measures
and Road. China is pushing out the China vaccine to a number of            in the world. China, Singapore, Japan and other Asian countries have
its allies along the Belt and Road and will certainly be looking to        also implemented strict 14-day quarantine measures despite the

18 AsianAviation | Jan-Feb 2021
AVIATION OUTLOOK

                                                                        …the one thing I learned from 2020 is you
                                                                        better be careful with your forecasts. There
                                                                        has been lots of back and forth, countries
                                                                        moving in and out of lockdowns, some
                                                                        countries with domestic traffic bouncing
                                                                        back and then dropping.
                                                                        CYRIL TETAZ, AMADEUS ASIA-PACIFIC

                                                                           IATA, ICAO and the Association of Asia-Pacific Airlines (AAPA)
                                                                        have all come out against quarantines, but have been able to do little
                                                                        to convince governments that sealing off the country is the wrong
                                                                        approach. Officials with these organisations say they’re dealing with
                                                                        health ministers who maintain a “zero-COVID” approach to incom-
                                                                        ing travellers, which de Juniac has called “impossible”.
                                                                           As reported previously in Asian Aviation, groups like IATA and
                                                                        The Commons Project are developing so-called ‘digital health
                                                                        passports’ to ease international travel. IATA’s Travel Pass and The
                                                                        Commons Project’s CommonPass, both run on a smartphone and
                                                                        take advantage of QR codes to verify a traveller has tested negative
                                                                        for COVID-19.
                                                                           Other companies are also seeing a large move to biometric and
                                                                        ‘contact-less’ procedures at airports and other travel hotspots.
                                                                           Cyril Tetaz, executive vice president for airlines at Amadeus
                                                                        Asia-Pacific, said in an online interview with Asian Aviation that “in
                                                                        hindsight the one good thing for us is that most of our customers
                                                                        remain committed to their (technology) projects.
                                                                           “What happened in 2020 is that there was a lot of discussion in
                                                                        the industry around touch-less airport and touch-less connectivity
                                                                        and a lot of discussion around where to stimulate demand,” Tetaz
                                                                        said. “And to do that you have to be absolutely brutal about customer
                                                                        engagement with digital touchpoints.”
                                                                           Tetaz said one of the major problems facing aviation is that
                                                                        everything, from routes to passenger loads to fuel loads, cargo and
                                                                        catering, was all based on historical data and COVID-19 has forced
                                                                        a reckoning in the industry because there’s nothing in the past data
                                                                        that prepared the industry for the near total shutdown in flying as
                                                                        a result of the pandemic.
                                                                           The outlook for 2021, Tetaz said, “is the one thing I learned from
pleas from IATA and other aviation associations that say quarantine     2020 is you better be careful with your forecasts. There has been lots
measures have done little to stem the spread of the virus.              of back and forth, countries moving in and out of lockdowns, some
   “Prior to COVID-19 there was a strong global health discourse that   countries with domestic traffic bouncing back and then dropping.
argued against lockdowns and similar mass quarantines. This is but         “We’re very cautious and very humble when it comes to fore-
one area of thinking that the current pandemic has overturned,” said    casts…but we learned that the one rule you must have is to be very
Nicholas Thomas, an associate professor in health security at the       quick to react…with COVID, it’s very clear we’re going to have to
City University of Hong Kong. “As far as is possible, lockdowns are     work faster, from a tech standpoint more toward agile processes.
going to become part of the essential toolkit for governments to use    And I think customers, our customers, will have expectations for
in addressing the ongoing as well as future outbreaks,” he said in a    quicker turnaround (on technology) projects as well. So things are
recent Bloomberg report.                                                difficult to predict, but I think we’re going to have to work faster.” 

                                                                                                                 AsianAviation | Jan-Feb 2021 19
STEVE STRIKE, OUTBACK PHOTOGRAPHICS
Restarting the fleet
With the peak northern summer approaching and vaccines offering hope,
airlines are preparing to bring their aircraft back in service, but a lack of
planning and decision-making could cause headaches in the MRO world as
Michael Doran discovers.

AT THE START OF 2020 the global fleet of commercial airliners                   What is concerning MROs is this lack of certainty and how that
numbered around 26,000 and while numbers fluctuate, aviation                 may limit their ability to meet the RTS demands when they arrive.
consultant NAVEO estimated that in mid-November 39 percent, or               The tasks are well documented by the OEMs, from how aircraft and
10,000 aircraft, were parked as a result of the COVID-19 pandemic’s          engines are to be stored to how they are to be reactivated and, apart
effects on aviation.                                                         from the MAX rectifications, most are well-established MRO prac-
   Many airlines have already retired aircraft with the balance of their     tices. With close to half of the grounded 737 MAX aircraft awaiting
parked fleet in different levels of readiness, available to return in line   delivery, the impact their rectification works will have on the MRO
with the growth in passenger demand. Those decisions were made               landscape remains to be seen.
long ago, but with so much uncertainty surrounding travel restric-              Airbus has developed a ‘Return-To-Service App’ for Airbus and
tions, airlines are holding off committing to any firm return-to-service     non-Airbus aircraft that allows airlines to visualise the status and
(RTS) programmes.                                                            the maintenance forecast for each aircraft and create an RTS plan.

20 AsianAviation | Jan-Feb 2021
MRO

◀ Many airlines have already retired aircraft with the balance of their         “We are seeing stored aircraft going into service and we recently
parked fleet in different levels of readiness, available to return in line   sent a former Thomas Cook A321 down to Africa and another that
with the growth in passenger demand.                                         came out of a repossession in Romania which is going to Asia in
                                                                             February,” says Chandler. “We’ve got a couple of A320 Neos trans-
Airlines select a tentative RTS date and an assumed utilisation for          ferring in January, one a 2000 model and two which are a year old,
each aircraft and the app will analyse the associated impact in terms        so it’s a broad spectrum.”
of man-hour, costs and critical works.                                          When an aircraft is certified as ready for return a ferry flight is
   Vallair has broad aviation operations with locations in Luxembourg        organised, either by the airline operator or a specialist ferry flight
and Chateauroux and Montpellier in France. Its MRO activities                business, who will organise everything including the crew, fuel,
include light and heavy checks, passenger to cargo conversion,               flight planning and insurance. “Normally they do a quick up and
painting, parking, storage, return to service and aircraft disassembly.      back down to exercise all the systems and make sure everything is
Vallair mainly focuses on A320, B737 and ATR aircraft with parking           operating correctly so any issues can be attended to by the MRO
slots for 50 single-aisle aircraft at Chateauroux, although it did host      before the ferry flight. Now, due to COVID more than anything else,
the British Airways A380 fleet for a time, and a further 20 narrow-          typically it’s a hired-in crew by the operator,” Chandler said.
bodies at Montpellier.
   With aircraft tentatively returning to operations, Vallair is seeing
RTS activity pick up, but Head of Commercial Malcolm Chandler
says aircraft are still coming in from a mix of end of lease returns
and lessor repossessions. “We have a lot of aircraft that were put
into storage pre-COVID, mainly from airline failures and we’ve had
more come in,” he told Asian Aviation. “I don’t think we’ve seen the
really big repossessions or big failures yet and I think there’s more
to come in Europe.”
   Vallair takes in aircraft for a mix of short-term parking for up to 12
weeks through to long-term storage of a year or more. Depending
on the storage programme in place and the instructions from the
continuing airworthiness management organisation (CAMO), tasks
are done periodically to keep the programme active. Chandler says
it’s the way they are looked after during parking that determines
their road back into service and that the RTS process is a set of
standard MRO operations.
   “From short-term parking it involves removing all the protective
covers, checking and purging the pitot static systems, checking
the oxygen systems, removing any interior coverings on seats and

                                                                                                                                                       VALLAIR
carpets and a general visual around the exterior for any damage,”
he explained. “There might be an engine idle run with checks of the
fuel system but it’s all fairly standard with each CAMO having its
own small variation in how it’s done. The CAMO issues us the work-           ▲ Vallair’s Malcolm Chandler says the way aircraft are parked
pack and we would complete that work and issue the Certificate of            determines their road back into service.
Release to Service (CRS).”
   Concurrently with the RTS programme, the owner or operator                   Aero Norway specialises in the complete range of MRO services
will elect to do any other maintenance that has fallen due, such as          for CFM56 variants, such as the -3, -5B and -7B. Pre-COVID it was
C-checks or replacing life-limited components before taking the              servicing around 100 engines a year and was developing its on-wing
aircraft back. However if the owner has found a new home for it the          programmes where teams would go to the customer and perform
process may involve a heavy check, full paint strip and re-spray,            lighter workscopes, such as changing engine modules. Returning
cabin reconfiguration, new carpet plus any other modifications they          aircraft engines to service after parking is not a major activity for
need for operating in a particular area.                                     engine MROs but the COVID related grounding means some older
   If an aircraft is close to a major six or 12-year check, the owner will   engines are being retired earlier than expected, which is creating
have to have that done as the airline will not want to induct a new          work for the sector.
aircraft and then have to ground it for eight weeks of maintenance              Aero Norway Customer Support Manager Kenneth Johnston
soon after.                                                                  says their usual workload of scheduled engine servicing has dried

                                                                                                                     AsianAviation | Jan-Feb 2021 21
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