Wednesday, January 21, 2026

IATA and CFM International extend pro-competitive MRO agreement through 2033

The International Air Transport Association (IATA) and CFM International (CFM) today announced a landmark extension of their cooperation agreement through February 2033. This renewal reinforces a commitment to a competitive and open market for Maintenance, Repair, and Overhaul (MRO) services for the CFM56 and LEAP engine families.

As the aviation industry faces unprecedented supply chain pressures and rising operational costs, the agreement provides a critical framework for airlines to manage engine maintenance with greater flexibility, transparency, and choice.

The renewal comes at a pivotal moment. A recent IATA study estimated that maintenance capacity limits and supply chain constraints added $5.7 billion to engine leasing and maintenance costs for airlines in 2025 alone. By ensuring third-party MRO providers can compete on a level playing field, this agreement aims to alleviate these financial and logistical burdens.

“Airlines have long struggled with aftermarket practices that limited competition and resulted in high costs,” said Willie Walsh, IATA’s Director General. “While not a panacea, the pro-competitive practices this agreement obligates are essential for a healthy industry. CFM should be commended for taking the lead; other manufacturers must now take notice and step up.”

CFM International—a 50/50 joint company between GE Aerospace and Safran Aircraft Engines—has long championed an open MRO ecosystem. For the CFM56, nearly 40 shops compete for work, with CFM performing only about one-third of all overhauls. This model is now being scaled for the advanced LEAP engine family.

“The extension of this agreement reaffirms our commitment to an open aftermarket,” said Gaël Méheust, President and CEO of CFM International. “Our growing ecosystem includes dozens of third parties, resulting in lower cost of ownership and maximum choice. In 2026, we are committed to strengthening our efforts to ensure complete customer satisfaction despite ongoing global supply chain challenges.”

Originally signed in 2019, the agreement outlines specific Conduct Policies that protect the interests of airlines, lessors, and independent MROs. Under the renewed terms, the industry can expect:

  • Open Maintenance Options: Airlines and third-party MROs retain full access to CFM technical manuals and repair instructions, even when engines utilize non-CFM parts.

  • Fact-Based Warranties: Warranty coverage is assessed based on the root cause of a problem, ensuring airlines are not penalized for using alternative parts or repairs.

  • Expanded Capacity: By enabling independent providers to compete, the agreement helps reduce maintenance backlogs and minimizes aircraft downtime.

  • Alternative Supply Chain Access: Facilitates the use of third-party parts and repairs to bypass OEM supply chain bottlenecks.

  • Ongoing Oversight: Maintains a dedicated CFM liaison officer and an independent Trustee to address market questions and ensure compliance.

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