Core Insights - The aviation maintenance industry is a crucial component of the aviation sector, with Shandong's civil aviation maintenance industry currently accounting for approximately 5%-7% of the national market [3][5] - Shandong is focusing on building a cluster-style aviation maintenance industry base, aiming to become a significant industrial agglomeration and innovation source in the country [5] Technological Advancements - Shandong Airlines has developed a proprietary maintenance optimization algorithm that identified corrosion issues in Boeing aircraft, leading to preventive maintenance solutions that have been promoted nationwide [6] - The industry is witnessing breakthroughs in technologies previously monopolized by foreign entities, with domestic companies now capable of independently completing over 90% of civil aviation maintenance tasks [6][11] Operational Efficiency - Shandong Taikoo Aircraft Engineering Company has reduced the modification cycle for converting passenger aircraft to cargo aircraft from 120 days to 80 days, achieving a leading position globally [8] - The company has a significant market share in the Boeing 737 cargo conversion sector, accounting for over 80% of global business [8] Business Growth - The number of aircraft entering maintenance in Shandong has increased, with 73 aircraft and a total value of 11.65 billion yuan reported in the first seven months of 2025, representing year-on-year growth of 28.1% and 56.9% respectively [13] - Shandong Taikoo has expanded its customer base to over 60 global clients, with international market business reaching 50% [9] Industry Challenges - Despite advancements, there are still shortcomings in the industry, such as incomplete upstream and downstream supply chains and insufficient high-end maintenance capabilities, particularly in core components like engines and avionics systems [14] - The 2024 Shandong Provincial Aerospace Industry Development Plan aims to strengthen the aviation maintenance sector by promoting comprehensive maintenance services and enhancing local supply chains [14][16] Strategic Recommendations - Experts suggest establishing a provincial aviation industry fund to support maintenance companies in certification, capability building, and talent development [16] - There is a call for leveraging the geographical advantages of Jinan and Qingdao to develop a comprehensive lifecycle industry cluster encompassing leasing, trading, maintenance, modification, and remanufacturing [16]