Airbus is increasing production capacity for passenger-to-freighter conversions of A321 aircraft through an agreement with MRO Japan, an aerospace maintenance repair and overhaul provider, as Japan Airlines begins operating the modified aircraft in Japan for the first time.
Elbe Flugzeugwerke GmbH (EFW), a joint venture between Airbus and Singapore-based ST Engineering, announced Thursday it had signed MRO Japan as a subcontractor to install its conversion kits on used A321 passenger aircraft and make them compatible for carrying cargo containers on the main deck.
MRO Japan, based in Okinawa, is expected to receive its first A321 conversion candidate by the end of 2025. Preparation will involve extensive training on dismantling and rebuilding an aircraft in cargo configuration, sharing engineering designs, and establishing supply chain systems for component delivery and quality oversight.
EFW said having a production facility in Japan will allow the company to pick up business in the Japanese air cargo market. Japan’s freighter and logistics market size is projected to expand at a compound annual growth rate of 4.2% between 2024 and 2029, according to Mordor Intelligence.
Meanwhile, Japan Airlines in April started operating A321 freighters on behalf of Yamato Transport, a Tokyo-based company specializing in small parcel delivery and logistics. EFW converted three A321 freighters for Japan-based Fuyo Group, which is leasing the aircraft to Yamato.
Yamato established a virtual airline to more quickly reach islands in Japan and make up for a shortage of truck drivers. Japan Airlines’ low-cost subsidiary Spring Japan in August began flying 13 flights per night from Tokyo’s Haneda airport to Sapparo, on the island of Hokkaido, and Kitakyushu Airport in Fukuoka, which helped boost chargeable sales volume by 5.3% year over year, according to JAL’s second-half earnings report last week.
Yamato’s air network now covers five airports, including Tokyo Narita and Okinawa. The flights carry an assortment of products, including seafood and fresh foods.
ST Engineering is EFW’s majority owner and is primarily responsible for carrying out the conversion work. Airbus and EFW hold the engineering design for retrofitting aircraft with a large cargo door and other features and are responsible for program management and sales.
EFW also does cargo conversions for larger Airbus A330 aircraft. It has an approved conversion package for the A320, but few airlines or leasing companies have asked to modify the A321’s smaller sister in the program’s first three years.
FreightWaves reported last month that EFW is closing its San Antonio (A321) and Mobile, Alabama, (A330) conversion sites at the end of the year and sending conversion jobs to its facilities in Germany, Singapore and China because of production challenges associated with a limited supply of qualified technicians. A large customer said labor shortages primarily stemmed from EFW’s acquiescing to ST Engineering’s need to allocate labor for higher-yielding maintenance work and Airbus’ A220 production line in Mobile. Between its various production lines, EFW has capacity to convert more than two dozen aircraft per year.
The A321 freighter can carry up to 14 containers on the main deck, and operators have the option of also using small containers in the lower hold.
Click here for more FreightWaves/American Shipper stories by Eric Kulisch.
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