NZAero restarts CT-4 production after Thailand deal

NZAero is restarting export production of its CT-4 Airtrainer following a new aviation agreement with Thailand.

The Waikato aircraft manufacturer has begun building five new CT-4s, the model's first production run in 14 years. The agreement, linked to Thailand's existing CT-4 fleet, could generate tens of millions of dollars in export revenue over the next three years if the planned work proceeds.

The signing at Ardmore Airport was witnessed by Thailand's Prime Minister Anutin Charnvirakul and New Zealand's Prime Minister Christopher Luxon. It builds on a long-standing relationship between NZAero and Thailand, where the CT-4 has been used in military pilot training since the 1970s.

Thailand's air force operates 25 CT-4s, including 19 CT-4Es being considered for modernisation. The proposed programme would replace ageing instruments with electronic avionics and add safety, reliability and performance upgrades, although it remains subject to Thai government budget approval.

Chief Executive Officer Stephen Burrows said NZAero had restarted CT-4 production even though buyers had not yet been confirmed for the first five aircraft, citing rising interest from military and civilian training operators.

"The CT-4 occupies a specialist position at the introductory end of the pilot training pathway, providing trainees with an aircraft on which to develop core flying skills before progressing to significantly faster and more technologically complex aircraft," Burrows said.

NZAero is targeting a market shaped by growing demand for pilot training. Boeing forecasts the commercial aviation industry will need 674,000 new pilots globally over the next 20 years, including about 62,000 in Southeast Asia through 2044.

That demand is driving interest in basic and intermediate training aircraft, a niche the CT-4 has filled for decades. The aircraft has also found a role in upset prevention and recovery training, or UPRT, which teaches pilots to recognise and recover from unusual aircraft attitudes and loss-of-control events.

Burrows said the civilian training market was attracting attention because of a shortage of suitable aircraft. He said the CT-4's tricycle undercarriage and side-by-side seating make it easier for less experienced pilots to use than some aerobatic aircraft traditionally used for the same training.

"There are only a small number of aircraft that compete directly in this category, and the competing designs are also relatively old. What we have is a proven aircraft now being brought back into production with a modern glass cockpit, flight data capture, and significant safety and performance improvements.

"We are also seeing growing international interest from civilian operators involved in airline pilot training. The CT-4 provides that important first step in a pilot's development. It allows trainees to establish core flying skills in an aircraft that is straightforward and forgiving to operate before progressively introducing the speed, technology and complexity of more advanced platforms.

"With particularly strong aviation growth forecast across our region, we believe there is a real opportunity for New Zealand to capture a larger share of this international market," Burrows said.

Data plans

The new CT-4 version will retain the existing airframe but add systems to record aircraft position, engine data, avionics information and video during flights. That material can then be sent back to base for instructor review.

NZAero is also exploring work with New Zealand technology companies to analyse that information using artificial intelligence. The aim is to create a training system that can identify patterns in pilot performance and safety issues from flight and cockpit data.

"The technology gives instructors access to significantly more information about each training flight. If AI can be used to interrogate that data, there is potential to identify areas where pilot training and safety can be improved.

"There are New Zealand technology companies already working in areas such as synthetic training and data capture, so we are investigating how that local capability could be combined with the aircraft to create a wider New Zealand-developed aviation training solution," Burrows said.

Thailand remains central to the company's near-term growth plans. About 3,500 Thai pilots have undertaken basic flight training on the CT-4 at least once since the aircraft entered service there in 1973.

The broader agreement covers maintenance and sustainment, personnel development and training, technical support, knowledge sharing, and planning for spare parts and engines. If the modernisation programme is approved, Burrows said Thailand's share of NZAero's business could rise from about 10% to about 20% within the next year.

NZAero is also hiring, with 10 roles advertised across quality, safety and logistics. Some of that expansion is tied to expected growth in Thai export work as the company resumes production of one of New Zealand's best-known trainer aircraft exports.

"The agreement is an important endorsement of what our team in New Zealand has been able to deliver and provides a platform for us to deepen our aviation relationship with Thailand," Burrows said.