The aviation industry has been experiencing challenge after challenge over the last couple of years. And yet it was able to show resilience in the face of adversity. While we continue to see a gradual recovery of the industry, there still have been some challenges in 2022 that have had a significant impact on various business segments of the aviation industry, parts procurement included.

2022 was marked by a fragile supply chain. “Once airlines began ramping up the operations, maintenance activity has also picked up in most parts of the world,” Toma Matutyte, CEO of Locatory.com, explained. “Aircraft heavy checks that have been put on hold during the COVID-19 pandemic have become necessary yet again, increasing the demand for aircraft parts and materials. Unfortunately, during the global aviation crisis, to save much-needed cash, airlines and MRO providers focused on using internal resources first, thus letting their inventories decrease. Now, once the aircraft is returning to operations at a rapid pace, businesses struggle to find required materials.”

During the global pandemic, airlines and aircraft operators delayed or even dropped their new aircraft orders. “This forced suppliers to be left with stranded inventory and eventually prompted them to suspend production and lay off people. In many cases, returning to normal operations for such manufacturers is a long and costly process that further affects the whole aviation industry and its supply chain,” Toma Matutyte shared.

Additionally, the order backlog on industry giants Airbus and Boeing forces airlines to continue depending on the current fleet which requires more upkeep than new aircraft would. “At the end of September quarter c order backlog stood at 7,294 while Boeing had the backlog of over 4,300,” she said.

This challenge of a fragile supply chain, halted aircraft part manufacturing, and long backlogs meant that the entire market has noticed a significant growth period. In 2019, the global aircraft parts market was valued at USD 537.04 Bn and is expected to reach USD 826.01 Bn by 2028 at a CAGR of 4.9% between 2021 and 2028. The global aircraft engine market size is expected to show even faster development. In 2021 it was valued at USD 45.50 Bn, and it is expected to reach a value of USlD 104.65 Bn by 2028, at a CAGR of 10.89% between 2022 and 2028.

“Aircraft part market is steadily growing,” explains the CEO of Locatory.com. “Increasing interest from airlines, aircraft operators and lessors impacts not only original aircraft part manufacturers but also secondary aircraft part marketplaces, such as Locatory.com. Over the last couple of years, we saw a significant increase in clientele interest that has been driven in part by the continuous expansion of our spare parts database. Each month it grows by 15% allowing for a wider variety of parts available.”

Locatory.com, the aviation marketplace for aircraft spare parts and repair capabilities – and a family member of Avia Solutions Group, a leader in end-to-end capacity solutions for passenger and cargo airlines worldwide – has been discussing its place within the aviation industry and growth plans.

Since its development in 2010, Locatory.com has become one of the leading premium aircraft parts marketplaces in the world, with the userbase growing 20% each month.

“We have been seeing steady growth for a few years now,” stated Toma Matutyte, CEO of Locatory.com. “This increase in clientele interest has been driven by the continuous expansion of our spare parts database. Each month it grows by 15% allowing for a wider variety of parts available. And with cost optimisation and sustainability on everyone’s mind, the secondary aviation parts market is becoming an increasingly attractive opportunity. In 2022, we have received five times more request for quotes (RFQs) when compared to last year and are expecting this trend to continue into the next year.”

As a tool for simplified procurement of spare parts, aviation parts marketplace Locatory.com is deeply invested in the digitalization of the process.

“Our mission is to connect aircraft parts’ buyers and sellers, through seamless transactions via an innovative platform that enables our customers to find, buy, and sell aircraft parts or repair services in commercial, OEM, MRO, military, and general aviation segments across the globe,” added Matutyte. “We are focusing on innovation and efficiency therefore we have already successfully introduced a range of innovative features to our marketplace. Amber, the AI-based assistant, being one of them.”

Running a well-oiled online marketplace is not an easy task, thus having a strong team behind you is a must.

“We have a truly global team, with people from over 10 countries sharing ideas and expertise in improving the company. We have been steadily expanding by around 15 % each month and there are no plans of slowing down,” Matutyte explained.

By keeping innovation and optimisation as the main driving factors, Locatory.com says it is constantly working on keeping up and surpassing the ever-changing aviation industry needs.

“Improving spare aircraft parts procurement processes can positively impact the whole aviation industry thus we will continue creating tools to do so,” she concluded.

The aerospace industry had plenty of aviation stories to tell in 2022. In addition to massive aircraft orders, Boeing produced and delivered the final 747. Furthermore, legal cases between Airbus and Qatar Airways reached new heights, the Russian invasion of Ukraine affected the aviation industry directly, and many more. In 2022, these were the top ten stories dominating the aviation industry.

1. The destruction of Antonov An-225

Although only a plane, the Antonov An-225 Mriya destroyed by Russian forces in Ukraine was one of the most read stories this year. The Russian army destroyed the only Antonov An-225 ever to be built during the battle of Antonov Airport near Kyiv on February 27.

2. Russia’s invasion of Ukraine’s impact on civil aviation

In February, the Russian government launched a military invasion of Ukraine. World economies, including the civil aviation industry, have been directly impacted by the Ukrainian war.

Several countries, including the European Union, Canada, the United States, and others, closed their airspace to Russian aircraft and airlines in March. In response, Russia retaliated with similar measures, affecting both sides’ routes.

Moreover, in response to its isolation, Russia has led a wave of nationalization, claiming many leased aircraft from local airlines.

3. China introduces the C919

On December 9, 2022, China’s Commercial Aircraft Corporation of China, or COMAC, delivered the world’s first C919 aircraft, registration B-919A. China Eastern Airlines received the aircraft, which was delivered to the Shanghai-based carrier.

4. JetBlue and Spirit’s merger

The merger between JetBlue and Spirit is valued at US$3.8 billion. The combined airline could challenge the dominance of the “Big Four” carriers in the US as it would be the fifth-largest.

Regulatory approval is currently pending for the merger. By the first half of 2024, Spirit and JetBlue expect the regulatory process to be completed and the transaction closed.

5. The Overture

Boom Supersonic, the company behind the possible next supersonic passenger aircraft, Overture, has not had an easy year. Rolls-Royce quit the program, leaving Boom alone after two years, and looking to secure a new engine OEM to join the project.

It was announced in December that Boom Supersonic had found a new engine manufacturer. Overture’s engines will be developed by Florida Turbine Technologies, StandardAero, and GE Additive, a unit of GE Aerospace.

6. Boeing is moving away from Chicago

Boeing announced this year that it is moving its headquarters from Chicago to Virginia. As a result of this decision, Boeing will move its corporate headquarters to Arlington, creating a more convenient location near the Pentagon and the Federal Aviation Administration.

7. China Eastern Flight 5735 and other accidents

The year 2022 was unfortunately marked by several aviation accidents. The China Eastern Airlines flight 5735 was one of the most tragic and with the highest death toll.

On April 7, a DHL Boeing 757-200 freighter touched down at San José International Airport (SJO), Costa Rica, and skidded on a collapsed left-landing gear. In the aftermath of the crash, the airport was forced to close for several hours because the plane broke in two. This accident, however, did not result in any casualties.

On November 18, a LATAM Peru Airbus A320neo was taking off from Lima International Airport when it collided with a firetruck crossing the runway

8. Boeing and Airbus got big orders in 2022

Boeing and Airbus had a good year. Until November 2022, Boeing had delivered 411 aircraft, while its European counterpart had delivered 565. Their combined gross orders were 1,747.

According to Boeing’s website, the company has received 685 grand orders this year. Due to United’s massive order for up to 200 Boeing 787 Dreamliners, this number will significantly increase by the end of the year.

9. Goodbye to the Boeing 747

It is the end of an era. Boeing rolled off its 1,574th and final Boeing 747 in November 2022. This plane, registered N863GT, will be delivered to Atlas Air, a freighter US company. The Boeing 747 is currently operated by 56 airlines worldwide, with 362 of them active.

10. Airbus and Qatar Airways’ legal case

In a lawsuit filed against Airbus, Qatar Airways claims that its A350 jets are damaged by paint and the underlying anti-lightning system. In response to a potential safety threat, Qatar Airways grounded 29 planes, backed by its Civil Aviation Authority (QCAA).

What do you think was the biggest story of the year in 2022?