Waco Aircraft Closes Michigan Operations | Aviation Week Network

Waco Aircraft Corporation ceased all manufacturing and maintenance operations at Battle Creek Executive Airport (KBTL) in Michigan on April 30, 2026, with parent company Dimor Group of Germany citing unsustainable production costs and declining demand for U.S.-built aircraft as the driving factors. Approximately 60 employees lost their positions, with roughly 40 receiving immediate layoff notices via email the evening before operations halted — a closure notice posted on facility doors confirmed the shutdown the following morning. Dimor stated that every possible path to continued operation had been exhausted, though the wind-down was orderly: all customer aircraft orders had been fulfilled, all financial obligations met, and no creditors left outstanding. The on-site Centennial FBO and a restaurant tenant are expected to remain operational through the transition period.

The closure carries significant implications for owners and operators of WACO-type aircraft, particularly the iconic YMF-5 open-cockpit biplane and the Great Lakes 2T-1A-2. Both type certificates are now available for purchase, meaning the long-term availability of factory-supported parts, maintenance data, and airworthiness support is immediately uncertain. For the roughly 200-plus YMF-5 aircraft currently on the U.S. registry, the absence of a type certificate holder creates practical complications for anything requiring manufacturer approval — from major repairs and alterations to STC coordination. Owners and their maintenance providers will need to monitor the disposition of the parts inventory and the eventual fate of those TCs closely, as the gap between a dormant TC and an active one can significantly affect an aircraft's operational and resale value.

The Junkers product line — the A50 Junior, A50 Heritage, and A60, which Dimor had been developing for the North American market — will now be produced exclusively at Dimor's Oberndorf, Germany facility. This is a particularly notable reversal given that as recently as February 2025, Dimor announced a 45,000-square-foot expansion at Battle Creek to support North American Junkers distribution. That pivot lasted barely 14 months before the economics collapsed. The repositioning of Junkers production to Germany effectively withdraws a direct North American manufacturing presence for those models and shifts any future U.S. sales into an import model, with attendant lead times, parts logistics, and currency exposure.

The closure fits a broader and troubling pattern in the light aircraft manufacturing sector, where high per-unit production costs, a relatively narrow buyer base, and sensitivity to macroeconomic conditions have repeatedly challenged manufacturers operating outside the volume efficiencies of the commercial aviation supply chain. Demand softness for new piston aircraft — particularly niche, heritage-style platforms — has been well-documented across the GA industry, and the cost pressure of domestic labor and regulatory compliance compounds that challenge for small-volume producers. WACO's situation mirrors earlier stress episodes at other boutique manufacturers and serves as a reminder that romantic aircraft brands do not insulate operators from fundamental business economics. For flight departments and charter operators considering vintage or limited-production aircraft acquisitions, the episode underscores the importance of evaluating manufacturer stability and parts supply chain depth as part of any due diligence process, not merely at initial acquisition but on a continuing basis throughout the aircraft's operational life.