Aircraft, Marine & Railroad Transportation Equipment Wholesalers NAICS 423860

Jun 25, 2026 - Aircraft Engine Prices Have Soared

• Aircraft engine costs have become a major challenge for airlines, according to aviation finance firm Avalon. Limited competition among manufacturers, shortages of fuel-efficient engines, and strong demand for new aircraft have driven prices sharply higher. Avolon estimates that engines now account for up to 80% of a new aircraft’s value, up from 20-30% two decades ago. Aviation analytics data from Cirium shows that leasing two Pratt & Whitney engines in early 2025 cost $400,000 per month, compared with $306,000 to lease an entire A320neo. Bloomberg also reported that industry supply chain disruptions cost airlines at least $11 billion in 2025. Airlines say reliability issues with newer engines are forcing more unscheduled maintenance, eroding the fuel savings these engines were designed to deliver and increasing operating costs while demand for new aircraft remains strong.
• Airline equipment wholesaling is being reshaped by supply shortages and a booming aftermarket, as airlines struggle to secure new aircraft and components. Global aircraft backlogs now exceed 17,000 units, with delivery shortfalls of more than 5,000 aircraft, per a report published by Safe Fly Aero, forcing carriers to keep older fleets in service longer and increasing demand for replacement parts. At the same time, supply chain disruptions are costing airlines over $11 billion annually through higher maintenance expenses and excess inventory, according to the International Air Transport Association. In this environment, wholesalers are becoming critical intermediaries - sourcing scarce components, managing inventory, supporting MRO providers - while shifting away from new equipment sales in favor of higher-margin aftermarket and logistics services.

• The White House’s new Maritime Action Plan lays out proposals to revive US shipbuilding, including new fees on cargo arriving on foreign-built vessels and incentives meant to spur private investment, but offers few details on timing and would require Congress to act on most measures. The plan is intended to signal federal commitment to rebuilding domestic shipyards after decades of decline that have left the US producing less than 1% of the world’s commercial ships. It calls for tools such as maritime prosperity zones and a Maritime Security Trust Fund to help finance new construction and related programs, while supporters in Congress argue it could build momentum for the SHIPS for America Act, which would fund shipbuilding and expand the US-flagged fleet. Industry observers warned, however, that the plan’s impact will depend on follow-through in future budgets and whether lawmakers move quickly enough to turn the proposals into law.
• The US railroad industry runs modern logistics networks on fundamentally outdated infrastructure, creating growing operational and economic strain. With railroads moving roughly 40 % of the nation’s freight (according to the Association of American Railroads) carriers like BNSF, Union Pacific, and Norfolk Southern are spending billions on maintenance - much on replacing wood ties that decay within a decade - rather than expanding capacity or adopting new technologies. Aging track infrastructure leads to unplanned outages and derailments and diverts resources from innovations that would support higher freight volumes. Modern composite materials, which can last up to 50 years versus 10-15 for wood in harsh regions, should replace traditional components to improve reliability and reduce lifecycle costs, simplifying the supply chain by avoiding repeated harvesting and treatment of timber. Integration challenges remain, requiring compatibility with legacy systems and updated workforce skills, but advancements are financially compelling given projected freight growth and global competition.