Following an extensive market review and in light of ongoing tensions in its supply chain, ATR has decided to focus efforts on further enhancing the competitiveness of its existing product range. As a result, ATR will cease development of its short take-off and landing (STOL) variant, the ATR 42-600S, reflecting the company’s commitment to aligning operations with evolving market dynamics.
A comprehensive review of market conditions, technological advancements and future forecasts shows a decline in the addressable market for the variant compared to the initial forecast. In Southeast Asia, for example, the number of target airports requiring STOL-capable aircraft has declined significantly, primarily due to the expansion of runways or the construction of nearby replacement airports, and this trend is reflected in other key target markets. While this reduces the target market for the ATR 42-600S, it means that our existing product line can be fully functional.
“As a global leader in the regional market, ATR has a responsibility to its customers, stakeholders and the industry as a whole to continuously evaluate its product portfolio to meet market demand,” said Nathalie Tarnaud-Laud, CEO of ATR. “The decision to discontinue the STOL project reflects our commitment to operational efficiency and long-term sustainability.”
This strategic endeavor will enable ATR to shift efforts towards enhancing existing product lines, developing technological innovation, and addressing emerging market requirements more effectively. This includes further penetration in North America, as the manufacturer looks to replace aging fleets of regional aircraft and enhance point-to-point regional connections.
“We are now entering the next phase of growth and improvement where we will focus on continuing to invest in the competitiveness of our market-leading products, the ATR 42-600 and 72-600. Delivering strong value propositions to regional airlines has always been fundamental to our success. This commitment is why we remain “Our aircraft are industry leaders and a trusted choice for our customers for the past 40 years, and continue to be a driving force for what lies ahead.”
She continued: “As part of this commitment, we have identified a series of product improvements aimed at reducing operations costs and increasing the availability of our aircraft. These improvements directly reflect the needs and ideas shared with our customers. To achieve these goals, we are working closely with our key suppliers and have developed comprehensive business plans to drive Progress on these improvements is essential to maintaining our competitive edge, as well as our position as a trusted partner to our customers, operators and stakeholders around the world.
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