Regional aircraft manufacturer ATR - Avions de Transport Régional (EVX, Toulouse Blagnac) will end development of its ATR42-600S short take-off and landing (STOL) variant to focus on its current product portfolio. ATR says the decision follows an extensive market review and ongoing supply chain issues.

"ATR has a responsibility towards its customers, stakeholders and the industry at large to continuously evaluate its product portfolio to meet market demand," said CEO Nathalie Tarnaud Laude. "The decision to halt the STOL project reflects our dedication to operational efficiency and long-term sustainability.”

The ch-aviation fleets module shows ATR had taken 20 orders for its STOL variant, including ten from Dublin International-based lessor Abelo Capital Aviation, three from PNG Air (CG, Port Moresby), two from Air Tahiti (VT, Papeete), and five from undisclosed customers.

PNG Air CEO Brian Fraser told ch-aviation that recent airport infrastructure upgrades in Papua New Guinea had made the STOL variant "superfluous for our operation." Nonetheless, Fraser says he is happy with the existing ATRs he operates. "We believe the aeroplane (type) best suits our operating environment," he said.

ATR says its market review showed "a reduced addressable market for the variant" compared to initial forecasts. "In Southeast Asia, for instance, the number of targeted airports requiring STOL-capable aircraft has significantly decreased, primarily because of runway extensions or the construction of nearby alternative airports, and this trend is mirrored in other key target markets," a November 13 statement reads. "While this reduces the addressable market for the ATR42-600S, it means that our current product line can operate at its full capacity."

The manufacturer says it will shift efforts towards improving existing product lines, technological innovation, and tackling emerging markets, including North America where ATR says there is a growing demand to replace ageing regional jet fleets and boost point-to-point regional connections.

“We are now entering the next phase of growth and improvement where we will focus on further investing in the competitiveness of our market-leading products, the ATR42-600 and ATR72-600," said Laude. “As part of this commitment, we have identified a series of product improvements which aim at further reducing the costs of operations and increasing the availability of our aircraft."