GE Aerospace to Invest $1 Billion in Global MRO Expansion

GE Aerospace, a leading global aircraft engine manufacturer, is set to embark on a significant investment initiative to expand its Maintenance, Repair, and Overhaul (MRO) facilities worldwide, including a notable development in Seoul. GE Aerospace plans to inject over $1 billion into its global MRO and aircraft engine component repair operations over the next five years.

This investment aims to bolster GE Aerospace’s capabilities in response to the growth of both narrowbody and widebody aircraft markets. The funds will be directed towards establishing additional engine test cells and acquiring advanced equipment, which will enhance maintenance efficiencies. The initiative also includes the adoption of cutting-edge technologies to improve inspection processes, thereby reducing aircraft engine maintenance times and expanding the repair capabilities of its service centers.

A significant portion of this investment will be allocated to meet the rising demand for the CFM LEAP engine. With over 3,300 aircraft currently equipped with LEAP engines, the model continues to gain market traction, supported by a backlog exceeding 10,000 units. This trend indicates a substantial increase in the global fleet of commercial aircraft.

The immediate focus for this year includes a substantial investment in the development of a new Service Technology Acceleration Center (STAC) near Cincinnati, Ohio. Scheduled to open in September 2024, the STAC will facilitate the rapid detection of emerging issues and accelerate the implementation of innovative service systems, such as advanced inspection technologies, aimed at reducing aircraft downtime.

Globally, GE Aerospace will allocate $250 million this year to expand its MRO facilities, invest in new equipment and tooling, and enhance safety measures. Investment plans include:

▶ United States : $65 million (Cincinnati, Ohio; McAllen, Texas; Lafayette, Indiana; Dallas, Texas; Winfield, Kansas)

▶ South America : $55 million (Petropolis, Brazil)

▶ Europe and the Middle East : $60 million (Budapest, Hungary; Prestwick, Scotland; London, UK; Cardiff, Wales; Wroclaw, Poland; Doha, Qatar; Dubai, UAE)

▶ Asia-Pacific : $45 million (Singapore; Taipei, Taiwan; Kuala Lumpur, Malaysia; Seoul, South Korea)

Russell Stokes, CEO of GE Aerospace’s Commercial Engines and Services division, commented, “In light of the growing demand for air travel, GE Aerospace is investing in capabilities and efficiencies needed to maintain the safety and reliability of our customers' aircraft. This investment will further enhance our long-standing commitment to safety, quality, and timely delivery, benefiting both our customers and their passengers.”