Business

October 26, 2012

Boeing projects $820 billion market for 7,290 new airplanes in North America

Boeing forecasts that air carriers in North America will take delivery of 7,290 new airplanes over the next 20 years at a market value of $820 billion.

Taking retirements of airplanes into account, the North America fleet will grow from 6,650 airplanes today to about 8,830 airplanes by 2031.

“The North American commercial aviation market is about to record a third consecutive year of profit, with modest passenger traffic growth,” said Randy Tinseth, vice president of Marketing, Boeing Commercial Airplanes, who released Boeing’s 2012 North America market outlook Oct. 25 in Toronto. “The long-term outlook for the North American airline industry is approximately 3 percent annual traffic growth through the forecast period. The market is shaped by aggressive growth of low-cost carriers and the need to replace aging airplanes in the fleets of the established network carriers.”

The network carriers are expected to maintain strict capacity discipline. Low-cost carriers will continue to outpace network carrier growth to accommodate increased demand and fill some markets abandoned by network carriers. Financial stability will also be a key indicator of future growth. Several airlines have indicated growth planning to be executed when returns are sufficient to fund their strategic goals.

Boeing forecasts single-aisle airplanes will grow to 69 percent of the total North America fleet by 2031. High fuel prices are intensifying the need for new fuel-efficient airplanes, prompting several airlines in the United States to accelerate their fleet renewal programs. Alaska, American, Delta, Southwest and United have announced plans to replace some of their older, less efficient airplanes with Next-Generation 737s or the new 737 MAX. Both the Next-Generation 737 and the 737 MAX offer significant advantages in improved capabilities, fuel efficiency and maintenance costs, as well as enhanced environmental performance.

Long-haul international traffic to and from North America is forecasted to grow at an annual rate of approximately 5 percent. The international growth is primarily driven by anticipated passenger traffic to Southwest Asia, China, the Middle East, Africa and South America. Passenger traffic between North America and those regions is forecasted grow at or above 6 percent per year. This growth in the long-haul segment is expected to result in demand for an additional 1,320 new fuel-efficient, twin-aisle airplanes such as the Boeing 787 Dreamliner.

Large airplanes (747-size and larger) will not see significant demand in North America, with only about 40 airplanes, or 1 percent of the total investment.

More information on the North America market forecast can be found at http://www.boeing.com/commercial/cmo/north_america.html.

 




All of this week's top headlines to your email every Friday.


 
 

 
boeing-chinook

Boeing delivers first U.S. Army multiyear II configured Chinook

Boeing July 29 delivered the first multiyear II configured CH-47F Chinook helicopter to the U.S. Army one month ahead of schedule. The delivery was celebrated in a ceremony at the production facility in Ridley Township, Penn. â...
 
 
Army photograph by SSgt. Angela Stafford

Engineers developing safer, more accurate tracer round

Army photograph Tracer rounds enable the shooter to follow the projectile trajectory to make aiming corrections. However, the light emitted by these rounds also gives away the position of the shooter. Engineers at Picatinny Ars...
 
 

General Dynamics to continue work on U.S. Air Force GPS III program

General Dynamics Advanced Information Systems, a business unit of General Dynamics, has been awarded a $25.4 million full-production contract from Lockheed Martin to support the U.S. Air Force Global Positioning System (GPS) III Network Communications Element for space vehicles seven and eight. The Air Force’s next-generation GPS III satellites will improve position, navigation and timing...
 

 

Javelin joint venture demonstrates vehicle-mounted missile launch

The Raytheon and Lockheed Martin Javelin Joint Venture recently fired a Javelin missile from a remote weapon station integrated onto a wheeled vehicle at Redstone Arsenal in Huntsville, Ala. The test demonstrated Javelin’s vehicle-launch capability to an international customer that has expressed interest in purchasing vehicles integrated with Javelin. The Javelin missile launched successfully...
 
 

Royal Australian Air Force scores direct hit with JSOW C

The Royal Australian Air Force has successfully tested a Raytheon Joint Standoff Weapon C against a hardened wall target at the RAAF Woomera Test Range. Launched from an F/A-18F Super Hornet at an operationally representative stand-off range and altitude of 25,000 feet, the JSOW C scored a direct hit. The RAAF test marked the third...
 
 

Boeing to assemble 787-10 Dreamliner in South Carolina

Boeing announced July 30 that final assembly of the 787-10, the newest and longest member of the 787 Dreamliner family of airplanes, will take place exclusively in North Charleston, S.C. Boeing will continue to assemble both 787-8s and 787-9s in Everett, Wash., and North Charleston. Design of the 787-10 is underway in Everett, with final...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>