SIA Engineering eyes India MRO joint venture with Air India

Partners explore expanding aircraft maintenance capacity for regional aviation demand.

SIA Engineering Company (SIAEC) and Air India have signed a memorandum of understanding (MOU) to explore maintenance, repair, and overhaul (MRO) opportunities in India, including the potential formation of a joint venture.

The companies said the collaboration will assess ways to support the development of India as a global aviation MRO hub and serve the growing maintenance needs of the Indian and regional markets.

The MOU builds on two earlier deals: a 12-year component support pact for Air India’s Airbus A320 fleet signed in February 2024, and SIAEC’s appointment as strategic base maintenance partner in Bangalore in May 2024.

SIAEC CEO Chin Yau Seng said the proposed partnership would extend the companies' existing relationship.

"In exploring further options for collaboration with Air India, SIAEC aims to leverage its technical expertise to jointly develop an MRO partnership that will play an integral role in Air India's pursuit of operational excellence and potentially serve customers both within and outside the country."

CEO and managing director for Air India Campbell Wilson said expanding local maintenance capacity is becoming increasingly important as India's aviation sector grows.

"India's rapid aviation growth is driving the need for a stronger, more self-reliant MRO ecosystem within the country,” said Wilson.

“As fleet sizes expand and operations scale up, developing local maintenance capacity will be important to support efficiency, resilience and long-term growth,” he added.

The companies said the MOU is non-binding and no definitive agreements have been reached. SIAEC said it will announce any material developments if the collaboration progresses.

Air India is an associated company of Singapore Airlines, which owns a 25.1% stake in the airline and is also SIAEC's controlling shareholder.