At the Farnborough International Airshow, BOC Aviation announced a record-breaking engine order involving no new aircraft. The lessor agreed to purchase up to 300 CFM LEAP engines—comprising up to 200 LEAP-1A and 100 LEAP-1B models—which is considered its largest engine transaction ever. This decision aligns with the company's strategic goals for fleet growth and environmental sustainability.
The engine selection is significant because it influences the value and operational costs of aircraft already on order. The LEAP-1B engines will power the Boeing 737 MAX aircraft, which are supplied exclusively with this engine. Conversely, the LEAP-1A engines will equip the Airbus A320neo family, for which Airbus offers a choice between LEAP-1A and Pratt & Whitney's geared turbofan, marking a competitive aspect in the market.
Industry experts note that this deal reflects an industry trend where lessors are making strategic decisions based on longevity and performance expectations of engines, especially considering recent reliability challenges and ongoing work on durability improvements. Despite being a substantial order, BOC's deal was not the largest engine agreement at Farnborough, as IndiGo concurrently signed a memorandum for over 1,000 LEAP-1A engines with CFM.
Overall, this transaction underscores the importance of engine choice in aircraft leasing, with implications for fleet composition and environmental objectives over the coming decades.
