05 Sep 2025
#1 September 2025: China Aviation Industry Newsletter
ALM Acquires Two Boeing 737 MAX 8s from BOC Aviation
Aircraft Leasing & Management (ALM) has announced the acquisition of two Boeing 737 MAX 8 aircraft from BOC Aviation on behalf of Fuyo. The aircraft—PH-TFT (MSN 44610) and PH-TFU (MSN 44652)—are currently leased to TUI Airlines and represent the first 737 MAX 8s to join Fuyo’s growing portfolio.
Richard Dudley-Cave, Head of Marketing at ALM, said:
“This transaction further enhances the quality of our portfolio by expanding our fleet of young, in-demand aircraft on lease to a diverse group of airline customers.”
Cathay Cargo Earns CEIV Lithium Batteries Recertification
Cathay Cargo has successfully renewed its CEIV Lithium Batteries accreditation from the International Air Transport Association (IATA), becoming one of the first carriers in Asia to be recertified. The certification recognises best-in-class handling and safety standards for transporting lithium-ion batteries and other dangerous goods.
Cathay Cargo holds the full suite of CEIV accreditations and continues to invest in specialist training, operational safety, and customer protocols for high-risk cargo.
Tim Wong, General Manager Cargo Service Delivery, stated:
“Safety is the cornerstone of our operations—especially for transporting dangerous goods. This CEIV reaccreditation gives our customers further reassurance of our commitment to the highest handling standards in the industry.”
CALC Reports Strong Interim Results for 2025
China Aircraft Leasing Group Holdings (CALC) has released its unaudited financials for the six months ended 30 June 2025. The Group reported total revenue of HK$2,528.1 million and a net profit of HK$140.5 million, up 6.7% year-on-year. Adjusted profit—excluding forex effects—reached HK$300 million.
In 1H 2025, CALC signed 21 aircraft sale and purchase agreements/LOIs and 38 lease agreements/LOIs. The Group also completed the sale of 19 aircraft and 2 engines, setting a new record for mid-year aircraft transactions.
Mike Poon, Executive Director and CEO of CALC, stated:
“We capitalised on market momentum while remaining disciplined in our fleet and financing strategies. Our efforts to optimise the asset portfolio and strengthen capital structure have delivered solid operational and financial results. We’re confident about sustaining high-quality growth for the remainder of the year.”
Acumen’s Take
On ALM’s Acquisition of 737 MAX 8s from BOC Aviation
This transaction highlights the continued appeal of the 737 MAX 8 in global leasing portfolios, particularly among investors seeking modern, in-demand narrowbodies. For ALM and Fuyo, the deal also provides immediate revenue continuity via leases to TUI, a strong operator. As lease rates for MAX aircraft strengthen globally, asset managers will be eyeing more opportunities to rebalance portfolios toward new-generation fuel-efficient types.
On Cathay Cargo’s CEIV Recertification
Lithium battery logistics has emerged as a critical challenge for air cargo providers, with regulators and insurers demanding stricter compliance. Cathay’s early and renewed CEIV accreditation places it ahead of the curve in operational risk mitigation. For shippers and forwarders, carrier selection is increasingly influenced by certifications like CEIV, making such recertifications not just a regulatory checkbox, but a competitive differentiator.
On CALC’s Mid-Year Performance
CALC’s strong H1 performance underlines the lessor’s ability to execute transactions at scale while maintaining profitability. The record aircraft trading activity suggests healthy liquidity in the secondary market, while its prudent capital and fleet strategy shows discipline amid market volatility. The company’s forward-looking confidence bodes well for lessor resilience in China as the market continues to mature and globalise.
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