Given the current high-pressure context in production and supply chains for new parts, the used materials (USM) market provides a useful foothold for AFI KLM E&M: it is one of the levers mobilized in order to ensure steady availability of components that are essential to meeting TATs or the resolution of AOG incidents. However, the USM market has also become highly competitive, due notably to the challenges currently faced by OEMs.
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Two A320s for teardown to boost growth at Barfield
Two A320s for teardown to boost growth at Barfield
In order to ensure the supply of second-hand parts, AFI KLM E&M Teardown Management recently acquired two end-of-life Airbus A320s on the US market.
Dismantling to recycle
In order to avoid the risk of parts shortages, AFI KLM E&M Teardown Management recently acquired two Airbus A320-200s for dismantling, formerly operated by a US airline. Both aircraft are 14 years old, and were in storage at Pinal Airpark in Marana, Arizona, one of the world’s largest aircraft boneyards.
“We’ve only purchased the airframes, and not the engines they were fitted with.The fact that we were able to obtain these aircraft without their engines was perfect for our needs.”
Stéphane Louaze
Project Manager at AFI KLM E&M Teardown Management
A solid deal, although one that almost didn’t come to fruition:
“We had a teardown project in mind for these two aircraft, but the competition is also fierce in this very specific market. Given the recovery in air traffic and delivery delays for new aircraft, the market is constantly evolving. When the market is tight, as is currently the case, there are limited aircraft available for dismantling. As a result, the cost of used aircraft has gone up, and the price of USM along with it.”
Vincent Benoit
Director of Components Asset Management at AFI KLM E&M
Three key benefits
However, the current situation does not detract from the overall appeal of USM, as these components offer three considerable advantages:
“They’re still less expensive, rapidly available, and they constitute a circular economy approach. Moreover, the reconditioning, repair and certification of such parts are a specialty of the AFI KLM E&M global MRO network: the two A320s procured in America will be used to meet the component supply needs of Barfield, AFI KLM E&M’s 100% subsidiary in the US, which performs repair and certification of teardown components.”
Stéphane Louaze
Project Manager at AFI KLM E&M Teardown Management
“Our business is constantly evolving, and in the current period of pressure, we need all the resources available to ensure our development. Thanks to the increase in our USM stocks, we’ll be fully capable of responding to requests from customers operating in the region.”
Hervé Page
CEO of Barfield
As for the parts not needed by Barfield, nothing is lost, these will be assigned to AFI KLM E&M’s global A320 parts pool, or sold directly on the US market.
