Page 32 - AAA JANUARY - FEBRUARY 2017 Online Magazine

FEATURE MIDDLE EAST MRO

Growth Factor

MRO Growth in the Middle East will double by 2025 and MRO firms in the region are well
placed to handle the transition to the new generation of jetliners
By Atul Chandra

IT HAS BEEN UNPRECEdENTEd RUN OF the region growing to US$10.2 billion by 2025,
continuous growth and massive orders from as compared to an estimated US$5 billion in
carriers in the Middle East over the last 2016. Also, according to ICF International,
decade, that has seen the trio of Emirates when comparing the MRO spend for new
Airlines, Etihad Airways and Qatar Airways technology jetliners such as Airbus A350 &
firmly establish themselves amongst the Boeing 787, over the decade from 2015 to
world’s most recognised airline brands 2025, it would grow from 0.5 billion in 2015 to
and spark off the growth of Maintenance, 11.1 billion in 2025. In this aspect, the Middle
Repair and Overhaul (MRO) in the region. East would be second only to Asia-Pacific
The largest MRO market in the Middle East region. The growth period will actually
is the United Arab Emirates (UAE), followed start from this year, as greater numbers of
by Saudi Arabia and while it is early days yet, new generation jetliners enter service or
2017 will mark the entry into Iran has the potential to grow into another prepare for service entry later in the year.
service of new generation jetliners large MRO market in the region. At the 2016 As airlines replace their older aircraft with
in larger numbers. The entry of
these jetliners will provide a edition of the MRO Middle East conference new technology jetliners and airplanes, it
substantial challenge to MRO in Dubai, aviation & aerospace consultancy will herald a change in business for MRO
providers who are unable to access ICF International, forecast that the Middle operators. The region’s airlines already have
the technologies in the early phase East MRO market would grow at almost some of the youngest airline fleets in the
and miss out on experience and
knowledge that can be collected twice the rate of the global MRO market. This world and this will doubtless force MRO
ahead of competitors would effectively result in the MRO market in providers in the Middle East to quickly shift

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