AirAsia Group is studying developing own maintenance, repair, and overhaul (MRO) capabilities to cover the group's expanding fleet, Head of Group Aircraft Engineering Nantha Kumar told Aviation Week.

Currently, the entire low-cost carrier group outsources all its heavy maintenance to third-party providers. Kumar said that even if AirAsia invests in its own MRO centre, it will continue to collaborate with external providers.

While the group has not yet decided whether it makes "business sense" for them to invest in MRO capabilities, Kunar said that once the decision is taken, AirAsia Group will target launching the MRO facility within the next two years.

Potentially, the MRO centre would serve all AirAsia Group members, including long-haul X airlines operating widebody aircraft. In the long-term, it could also seek third-party customers. Kunar added that the facility will not perform engine maintenance.

Kunar added that locations in Malaysia and in Thailand would be considered for the MRO facility. In Thailand, the carrier could choose to locate the centre at Utapao, which the Thai government is trying to develop into an aerospace industry hub. In Malaysia, both Kuala Lumpur International and regional airports would be in contention.

Kunar underlined that the group would want to focus on one location only and could enter into a partnership with an existing MRO provider. In the first phase, if the decision is taken, the facility would consists of a single hangar with two or three bays.