IATA and CFM International have extended through February 2033 an agreement providing airlines more flexibility to have their engines serviced by third-party maintenance providers and with third-party-manufactured components.

CFM, jointly owned by GE Aerospace and Safran Aircraft Engines, struck the original deal with IATA in 2018 after the trade group filed a competition complaint against CFM with the European Commission.

IATA says the deal promotes more competition in the MRO sector by addressing a problem involving engine manufacturers seeking to limit aftermarket competition by imposing restrictions on third-party maintenance shops and on engines fitted with non-OEM parts.

“While not a panacea, the practical and pro-competitive aftermarket practices that this agreement obligates are essential for a healthy industry in the long-term,” says IATA director general Willie Walsh. “Critically, if used to its full potential, this agreement will also provide much-needed short-term cost and capacity relief for airlines as they work to meet customer demand amid ongoing aerospace supply chain failures.”

The trade group does not immediately respond to questions from FlightGlobal about remaining engine-maintenance competition concerns.

CFM produces Leap turbofans that power Airbus A320neo-family jets and Boeing’s 737 Max, and earlier-generation CFM56 powerplants that power earlier versions of those aircraft types.

Its primary competitor, Pratt & Whitney, did not respond to a request for comment.

Under the renewed agreement, CFM will continue allowing “airlines and MRO providers to use CFM technical manuals and repair instructions, including when engines contain non-CFM parts or repairs”, IATA says.

Non-OEM parts are also called PMA parts, a reference to having received “parts manufacturer approvals” from aviation regulators.

CFM also commits to ensure “warranty coverage is assessed on what caused a problem, rather than penalising airlines for using alternative parts or repairs”.

“The extension of the agreement between CFM and IATA reaffirms our commitment to a competitive open aftermarket for CFM products,” says CFM chief executive Gael Meheust. “Our growing MRO ecosystem includes dozens of third parties that overhaul, repair and maintain our engines, resulting in lower cost of ownership and maximum choice for our airline customers.”

Prior to the 2018 deal, GE pursued a policy – under its TRUEngine programme – of limiting support for its and CFM’s engines that contained PMA parts or repairs devised under a designated engineering representative (DER) certificate.

A source also previously told FlightGlobal that prior to the 2018 agreement CFM’s practices could consider warranties invalid if engines contained third-party components.

While the original and renewed agreements are specific to CFM engines, GE says its MRO policies – those specific to engines like the GE90, GEnx, GE9X and CF6 – are “aligned with” CFM agreement’s provisions.

IATA says the deal has given airlines and aircraft lessors more maintenance options. It has encouraged expanded availability of maintenance and parts, helping reduce maintenance backlogs at a time of constrained capacity and parts shortages.

“Airlines have long struggled with the aftermarket business practices of manufacturers, which have limited competition and resulted in high costs for airlines,” IATA says. “These pressures have become even more acute as limited maintenance capacity and aerospace supply chain constraints have driven up costs and grounded aircraft.”

Even so, IATA says MRO competition problems remain, due partly to business models embraced by engine makers that involve granting significant purchase discounts in exchange for customers agreeing to have engines maintained by the manufacturer, according to a 2025 supply chain report published by IATA and consultancy Oliver Wyman.

OEMs have also limited aftermarket options by prohibiting licensed partner MRO shops from using PMA parts or used serviceable materials, it adds.