passenger to freighter conversion cost

GE Capital Aviation Services (GECAS) has delivered the first Boeing 777-300ER to Israel Aerospace Industries (IAI) for the prototype passenger-to-freighter conversion. Click here for more FreightWaves/American Shipper stories by Eric Kulisch. The UKs ambitions to achieve net-zero emissions from aviation will be hugely expensive and require enormous quantities of agricultural land or renewable electricity to produce future fuels in sufficient quantities, a new study warns. How much does it cost extra to fly with one additional passenger? Analysis from the AirInsight Group shows that 104 freighter conversionsvarying from widebody jets to regional turbopropsentered operators' fleets during the first half of 2021, suggesting . Kuehne+Nagel now offers a reliable end-to-end solution to manage conversions of retired passenger aircraft into a long-lasting freighter, so our customers can scale up their operations, reduce costs and boost cargo capacity. 2021 is looking to be an even stronger year for the type, it says, with nearly 40 aircraft pending. Later in the year, CAM will begin the passenger-to-freighter conversions of our first A330-300 for lease delivery in 2024. As the first third-party conversion house for EFW's A321P2F programme, Haite will start with one conversion line and induct the first A321 aircraft for conversion in 3Q 2023. The basic modification turns a 747-100/-200/-300 passenger airplane into a freighter with the addition of a side cargo . It also affords their pilots a high level of cockpit and digital fly-by-wire commonality with its larger brother, the A330P2F. The strong demand for converted freighters has been driven by a robust cargo market, one of the few bright spots for the airline industry over the past 12 months. All rights reserved. EFW has delivered 16 passenger-to-freighter conversions of single-aisle aircraft, including one A320 a slightly smaller sister to the A321 so far. @FreeMan Yes, as D check. Some advantages of our A320/A321P2F solution include: In contrast to other solutions providers who rely on reverse engineering, our Airbus P2F programmes are developed using OEM technical data to convert passenger aircraft into well-optimised and reliable freighter workhorse. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot2', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767737710-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); AerSale's Goodyear, AZ heavy-MRO facility has been performing P2F conversions on 757 aircraft since 2013. Site design / logo 2023 Stack Exchange Inc; user contributions licensed under CC BY-SA. googletag.cmd.push(function() { The competing B737 freighter can only offer container positions on the main deck and bulk cargo on the lower holds. window.googletag = window.googletag || {cmd: []}; requires aircraft-specific adaptations to the standard design. Cargo deck with container and flexible Cargo Loading System (CLS). By Dominic Perry2021-05-12T14:51:00+01:00. Passenger to freight (P2F) conversion is a low-cost solution compared to the dedicated cargo aircraft. "Israel Aerospace Industries (IAI) has announced that they are to produce an A330-300BDSF product, with the launch customer being Avolon. Therefore both customer support teams need to work closely coordinated. Demand for passenger-to-freighter conversions pre-dates the pandemic, largely driven by the express parcel carriers and their need to update their fleets of smaller freighters, but the pandemic has added a further surge in demand. Authors: Simon G. Spells, Sourcing of feedstock aircraft and conversion slots availability, Boeings World Air Cargo Forecast (the latest version of which covers the period 2020-2039, released in November 2020) states that accelerated e-commerce adoption because of COVID-19 looks likely to extend express market growth trends.. Dubbed "The Big Twin" denoting its status as the largest ever twin-engined freighter the initiative is jointly . The planemaker will open two 737-800BCF conversion lines with Cooperativa Autogestionaria de Servicios Aeroindustriales (COOPESA) in Alajuela, Costa Rica. This has seen airlines not previously involved in cargo taking their first steps in the industry, and passenger airlines with cargo arms becoming increasingly reliant on the revenue from this. Please enter a different email address. Learn more about Stack Overflow the company, and our products. T.C. rev2023.3.1.43268. 2023 Reed Smith LLP. We have a standard P2F kit that fits at say 90% of the final scope. Also, conversion candidates with a lower deck Cargo Loading System (CLS) already installed may be a good baseline to avoid extra spending. Our solution also comes with optimised weight distribution to enable random loading even on empty flights, which is especially beneficial to express carriers. More than 60% of the deliveries, 1,980 aircraft, will be conversions, it adds, 72% of which (1,080 units) will be standard-body, or 737-sized, freighters. And in recent days, one of its freighter conversions caught people's attention, because it involved a rather young jet. This dramatic decline meant the world's air cargo - more than 50% of which was transported in the hold of passenger jets - was also severely impacted. EFW has its own AOG service 24/7. Adding only $29 million for conversion and $5.5 million for maintenance on the feedstock jet, that puts total costs at $69.5-74.5 million for the converted jets. Here's a look at the process. How much does the design, implementation, test and certification of a Passenger-to-Freighter Conversion cost? Used passenger planes that have been converted to carry cargo are far cheaper and readily available than new build. With the changed cargo market requirements and a significant amount of unused passenger equipment due to Covid-19 pandemic, Kuehne+Nagel has tuned its proven KN InteriorChain service towards P2F conversions. Meanwhile, USA-based 321 Precision Conversions is close to delivering its first Airbus A321 converted freighter, and plans to begin work on a second aircraft in June. Cargo aircraft are also in demand, and are predicted to remain so in the coming years. Additionally, AEI will offer the market its new CRJ 200 freighter conversion in late 2015, followed by the Boeing 737-800 full freighter and combi conversions in 2017. Participants should also bear in mind how scarce conversion slots are and the timeframe for the conversion, which can take around 120 days, so they can balance their own delivery risk with their designated operators and/or customer capacity requirements. googletag.cmd.push(function() { The number of passenger-to-freighter conversions has steadily increased at a 9% compound annual growth rate from 2010-21, driven by demand for standard-size freighters best suited for regional package networks. The conversion of the young A333 illustrates just how weak the demand is today for widebody aircraft and the large surplus of A330s. P2F related spares supply and unplanned repairs will be handled by EFW. Why do we kill some animals but not others? The process takes several months and involves the following processes: The conversion process is complex, and participants need to be very clear on how best to work with the conversion facility to optimize their aircraft. More in this A330-300/-200 P2F brochure (PDF). Indeed, one of the strategies upderpinning the ST Engineering/Temasek venture is an intention to benefit from falling passenger aircraft values as the air transport crisis generates overcapacity pressure, enabling it to acquire feedstock. There are many opportunities along this value chain but also a number of challenges. T.C. Higher fuel efficiency, lower maintenance costs; Our optimised conversion design results in a well-balanced freighter that requires tremendously less trimming which, according to Airbus' route . From the carnage of Covid-19, passenger-to-freighter (P2F) conversions are emerging as a rare growth sector thanks to a combination of factors. (CDB Leasing), formed a new partnership with EFW to conduct the Passenger-to-Freighter (P2F) conversion of two Airbus A330-300 aircraft in 2021, marking the lessors first entry into freighter conversion . To achieve this, EFW deleted the Doors 1 L/R at the front of the fuselage. The B757-200PCF offers the lowest Operating Empty Weight available in a B757 freighter at just 115,500-116,000 lb. This is significantly less than . Israel Aerospace Industries is to set up a European facility in Naples to convert passenger aircraft into freighters. The company has previous experience carrying out freighter conversions on other aircraft types. Sichuan Haite Hi-Tech, a publicly listed maintenance, repair and overhaul company based in Chengdu, China, will prepare a production line at its Tianjin, China, facility and accept its first A321 aircraft for conversion in the third quarter. G.B. A340-300s are out of favor as passenger aircraft . Based in the United Kingdom, Boeing Set To Up Conversion Rate Of 737 Aircraft To Freighters. Under normal freighter utilisation the limit of validity for the P2F structure itself will exceed the residual life expectancy of basically all used aircraft converted, including those with Airbus Extended Service Goal ESG. Ancillary costs and an allowance for administration may add another $2 million-$4 million, taking the total conversion cost to approximately $50 million-$55 million, which compares favorably . Such has been the clamour for cargo capacity that even aircraft thought long retired have been brought back into service: Georgian start-up Geo-Sky has re-activated a 1987-built 747-200 converted freighter (4L-GEN) that was last operated in 2012, according to Cirium fleets data. When the cost of the feedstock aircraft and other costs. With many fleets seeing early retirements, there's plenty of planes ripe for conversion. The course was further fine-tuned, based on feedback from trainees, instructors and invigilators. ATSA agrees deal with De Havilland Canada for Dash 8-400 conversion. Smart Surveillance, Advisory and Enforcement System, Cabin Interiors and Engineering Solutions, Data Platform Modernisation and Governance, Data Platform Modernisation, Security and Governance, Only Airbus P2F design in the world using OEM technical data, Higher fuel efficiency, lower maintenance costs. As a global leader in passenger to freighter conversions for a wide array of aircraft, AEI has developed over 130 Supplemental Type . With more people shopping online than ever before and fewer passenger planes to move freight in their bellies, cargo airlines have had one of the busiest years on record. Sourcing and recruiting qualified personnel is also an issue for the conversation facilities, particularly in current times with restrictions on travel and countries around the world devising their own strategies for living with COVID-19. To meet this demand, ST Engineering and EFW are setting up additional conversion sites in China (already in operation), the U.S. and Germany which will ramp up world-wide conversion capacity for the type to 25 slots per year by 2023. Boeings biennial World Air Cargo Forecast, for the period 2020-2039 unveiled in November last year notes that accelerated e-commerce adoption because of Covid-19 looks likely to extend express market growth trends. Boeing sees the cargo market as a whole growing at an annual rate of 4% over the next 20 years, resulting in the need for a freighter fleet 60% larger than todays, rising from 2,010 to 3,260 units. Gain certainty, reduce your costs and save time by working with trusted aerospace experts. Clearly it is the absence of belly-hold capacity that is keeping rates buoyant. The converted freighters are still Airbus products and the freighter modification is just an STC. Use MathJax to format equations. That facility will augment IAIs initial line in Tel Aviv, where the first aircraft under the 777-300ERSF programme it launched in 2019 with lessor GECAS will shortly be inducted. Here's how one firm, Israel Aerospace Industries, is creating the next generation of cargo freighters. Over the last five years, international express carriers have seen average growth of 17%, it says. Therefore we can provide indicative payload information only and up to values which will become final only after the re-delivery weighing. Last year, the company finished 19 conversions of the A320/321 and the larger A330 family. In fact, IATA data for March shows a record for air cargo, with cargo tonne kilometres (CTKs) flown 4.4% above the same month in 2019 well before Covid-19 appeared. In the absence of new-build 747-8Fs and a lack of clarity on the 777F, operators in search of a suitable replacement for the 747-400F may well turn to P2F conversions, where price, availability and the high capacity of the -300ER are likely to make the IAI/GECAS product a compelling prospect. All such deviations from the basic design need to be checked and incorporated into the scope. there was a definition for it as an English word as well. In order to avoid additional cost, the airframes sourced by the customers should ideally be the upper Type-Certified Weight Variants (WV) and be equipped with the most recent avionics hardware and software. Moreover, our calculations showed success rates of above 99% of all potential loading cases and include empty ferry/re-positioning flights. Lessors remain optimistic about long-term growth projections for air cargo, fueled by the fast-fulfillment requirements of e-commerce, and are investing in new converted freighters to replace aging aircraft and expand their fleets. The company says it will add more A321 capacity in the near future. It is available with specially designed blended winglets to further improve efficiency, and can travel up to 1,995 NM even with a full load. It only takes a minute to sign up. Conversions are being driven by the growth of e-commerce which has been boosted by more online deliveries during lockdowns, it notes. With many fleets seeing early retirements, theres plenty of planes ripe for conversion. However, in the end the feedstock selection depends on the ramp price after conversion, so each business case is individual. Ethan has advised banks, lessors, airlines and other investors on some of the largest and most ground-breaking aviation transactions in the APAC region over the past decade. Geopolitical factors such as Russian aggression in Ukraine leading to economic sanctions from Western countries (and similar retaliatory measures) as well as the COVID-19 pandemic are impacting the overall aviation industry. Based in Singapore, he is head of the aviation practice in Asia which is praised by clients for its great local market knowledge, practical commercial responses, and understanding of client needs, offering speedy and to the point replies (Legal 500). Such interest has led to a surge in demand for aircraft prime for conversion, as well as slots for the conversion itself. Freight ( P2F ) conversions are emerging as a rare growth sector thanks to a surge in demand and... Additional passenger A330-300/-200 P2F brochure ( PDF ) available than new build level of cockpit digital... Well as slots for the conversion of the fuselage the ramp price after conversion, so each business case individual... 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Passenger-To-Freighter conversion cost by the growth of e-commerce which has been boosted by more online deliveries during lockdowns it!, it says, with nearly 40 aircraft pending and are predicted remain. Incorporated into the scope the B757-200PCF offers the lowest Operating empty weight available in a B757 freighter at 115,500-116,000. Lease delivery in 2024 open two 737-800BCF conversion lines with Cooperativa Autogestionaria de Servicios (... Largest ever twin-engined freighter the initiative is jointly and are predicted to so. Planes that have been converted to carry cargo are far cheaper and readily available than build.
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