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-avianco

Boeing, Avianca celebrate delivery of airline’s first 787 Dreamliner

Boeing and Avianca have celebrated the delivery of the first 787 Dreamliner for the Latin American carrier, helping the airline stay at the forefront of technology in the region. “The addition of the first Boeing 787-8 to...
 
 
boeing-boc-737

Boeing, BOC Aviation finalize order for two additional 737-800s

Boeing and BOC Aviation have finalized an order for two additional 737-800s, valued at $186 million at current list prices. The order is a part of the Singapore-based leasing company’s effort to grow its portfolio of fuel...
 
 

Northrop Grumman names chief compliance officer

Northrop Grumman has named Carl Hahn vice president, chief compliance officer, effective Jan. 15, 2015. Hahn is succeeding Judy Perry Martinez, who will be retiring, and will report to Sheila C. Cheston, corporate vice president and general counsel. “Carl brings to his role at Northrop Grumman a tremendous breadth of experience in global compliance, investigations...
 

 

GPS modernization advances as eighth Boeing GPS IIF becomes sctive

EL SEGUNDO, Calif. ñ The eighth Boeing Global Positioning System IIF satellite has completed on-orbit checkout and joined the active 31-satellite constellation, helping the U.S. Air Force continue modernizing the network that millions of people worldwide use. The Air Force and Boeing have now put four GPS-IIF satellites into service this year, adding to the...
 
 
GPS-OCX

GPS III, OCX successfully demonstrate key satellite command, control capabilities

Lockheed Martin and Raytheon successfully completed the fourth of five planned launch and early orbit exercises to demonstrate new automation capabilities, information assurance and launch readiness of the worldís most powerfu...
 
 

Aerojet Rocketdyne successfully demonstrates 3D printed rocket propulsion system for satellites

Aerojet Rocketdyne has successfully completed a hot-fire test of its MPS-120 CubeSat High-Impulse Adaptable Modular Propulsion System. The MPS-120 is the first 3D-printed hydrazine integrated propulsion system and is designed to provide propulsion for CubeSats, enabling missions not previously available to these tiny satellites. The project was funded out of the NASA Office of Chief...
 




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>