Singapore-based MRO provider SIA Engineering Company and Indian carrier Air India have signed a memorandum of understanding to explore closer collaboration on MRO activities, including the potential establishment of a joint venture in India, according to Aviation Business News.

The legally non-binding agreement will see both companies assess opportunities to combine SIAEC's technical expertise with Air India's operational network to support the development of India as a global aviation MRO hub and meet growing demand across Indian and wider regional markets.

The MoU builds on an expanding relationship between the two organisations. In 2024, SIAEC signed a 12-year inventory technical management agreement covering component support for Air India Group's Airbus A320 family fleet and was appointed the airline's strategic base maintenance partner for the development of maintenance facilities in Bangalore.

SIAEC chief executive Chin Yau Seng said: "This MOU marks a significant milestone in the continued growth of our partnership with Air India. In exploring further options for collaboration with Air India, SIAEC aims to leverage its technical expertise to jointly develop an MRO partnership that will play an integral role in Air India's pursuit of operational excellence and potentially serve customers both within and outside the country, thus further strengthening the aviation ecosystem in India. This initiative goes beyond fleet support; it is about realising India's vast MRO potential."

Air India chief executive and managing director Campbell Wilson said: "India's rapid aviation growth is driving the need for a stronger, more self-reliant MRO ecosystem within the country. As fleet sizes expand and operations scale up, developing local maintenance capacity will be important to support efficiency, resilience and long-term growth. Partnerships such as this can play a constructive role in enabling that broader direction and developing India as a global aviation hub."

No definitive agreements have yet been reached under the MoU, with both companies stating that further announcements will be made if material developments arise.

The agreement reflects growing recognition across the aviation industry of India's potential as a major MRO destination, where rapidly expanding domestic fleet numbers and airline capacity are creating sustained demand for locally based maintenance, repair and overhaul capability that currently remains underdeveloped relative to the scale of the market.