WestJet and Lufthansa Technik Sign Multibillion-Dollar Engine Maintenance Agreement in Canada
WestJet and Lufthansa Technik announced an exclusive engine maintenance agreement for the Canadian airline’s Boeing 737 fleet this Thursday. This 15-year contract, valued at billions of dollars, represents the largest in WestJet’s history.
A Historic Agreement for Canadian Aviation
The contract with Lufthansa Technik, a global leader in maintenance, repair, and overhaul (MRO), includes the creation of a new engine repair station in Calgary, Canada. This facility will be dedicated to servicing CFM International LEAP-1B engines, used in Boeing 737 MAX aircraft. Operations will begin in 2027, with WestJet as the launch customer, and will feature a state-of-the-art test cell, the first of its kind in Canada.
Alexis von Hoensbroech, CEO of the WestJet Group, stated that this agreement strengthens the airline’s competitiveness and its commitment to Alberta’s economy: “This historic contract will allow us to bring critical engine repair operations to Canada, providing greater efficiency and cost certainty, while boosting the local economy.”
→ WestJet Announces New Service Between Calgary and New York-LaGuardia for Summer 2025
Contract Details and Benefits for WestJet
Under this agreement, Lufthansa Technik will provide a full range of maintenance services for WestJet’s current fleet, which includes over 50 Boeing 737 MAX aircraft and is expected to grow to more than 130 by the end of the decade. Services will include quick shop visits, on-wing repairs, and full-performance restorations. While full overhauls will continue to be performed in Germany and Poland, the new Calgary facility will enable quick inspections and repairs, reducing downtime and costs.
Economic Impact and Regional Development
The project is supported by the Government of Canada, the Government of Alberta, the Opportunity Calgary Investment Fund (OCIF), Calgary Economic Development, and the Calgary International Airport. The total investment amounts to $120 million, ensuring the growth of the aerospace sector in the region.
The Government of Canada, through PrairiesCan, will invest $8 million to build and equip the new facility. For its part, the Government of Alberta will provide $7.45 million through the Investment and Growth Fund ($3 million) and the Aerospace Workforce Development Grant ($4.45 million). OCIF will allocate up to $2.5 million over four years to support the establishment of Lufthansa Technik’s headquarters in Calgary.
This collaboration will reinforce Calgary as a world-class aviation hub, with a positive impact on the local economy. The Calgary Airport Authority has signed a long-term lease agreement with Lufthansa Technik to develop the maintenance center on a nine-acre site within the airport. This test and maintenance center will enable more efficient and sustainable operations, with a focus on next-generation engines and greener fuels.
Employment generation and training
Lufthansa Technik Canada plans to create up to 160 new jobs in Calgary by 2030. Construction of the maintenance center will begin in 2025 and last approximately two years. To prepare future employees, a specialized training center will open this year.
This project is part of Lufthansa Technik’s “Ambition 2030” strategy, focused on the global expansion of its MRO capabilities. With the growing demand for LEAP-1B engine maintenance in the Americas, the company aims to strengthen its presence in the region and expand its rapid overhaul capabilities.
Related Topics
Oita Becomes”Hello Kitty Airport”: Japan Bets on Kawaii Tourism for Expo 2025
Argentina Sets Historic Record for Air Passengers in May
Scheduled Closures Announced at José María Córdova Airport for F-AIR COLOMBIA 2025
Miami International Airport Becomes First in the World with an App for Travelers with Low Vision
Un apasionado por la aviación, Fundador y CEO de Aviación al Día.