Beoing Co. expects that air travel will continue to expand around the globe, and as a result has increased its long-term forecast for plane demand.
According to the company, air carriers around the world will order approximately $5.9 trillion in aircrafts, 39,620 jetliners, over the next 20 years. That figure has increased 4.1 percent from last year’s prediction.
Despite recent economic crises in Europe and other areas of the world and tension over Brexit, Boeing sees the increase of discount air carriers and travel growth in developing countries as a sign that the demand for aircrafts will continue to steadily increase. In fact, the U.S.-based plane producer reported that nearly $3 trillion of its projected orders will be for single-aisle aircrafts, like the Boeing 737-800 and Airbus Group SE’s A320.
“The aviation sector will continue to see long-term growth with the commercial fleet doubling in size,” said Randy Tinseth, vice president of marketing for Boeing’s commercial airplanes division.
While Boeing predicts over 28,000 new narrow-body planes will be needed in the coming years, it also expects to see an increase in demand for wide-body aircrafts as airlines replace the typical twin-aisle planes for long-range routes, like those carrying travelers across the Pacific Ocean. Overall, the Chicago planemaker expects to see a significant shift in demand from large, long-haul planes to smaller aircrafts, like its 747 jetliner, for example.
As for sales, Boeing expects to see them concentrated in the 200- to 300-seat part of the market, the same place the company expects demand for 5,100 wide-body jets. To accommodate this portion of the market Boeing is studying a new family of aircraft.
Since 2015, Boeing lowered its prediction for orders of medium wide-body aircrafts by 1.4 percent to 3,470 and reduced its number of anticipated sales of its largest aircraft by 1.9 percent to 530.
For the last several years, Airbus has surpassed Boeing in aircraft orders. For more information regarding market outlook, [Click Here].
Share this story