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.


 
 

 

Headlines October 29, 2014

News: Unmanned rocket explodes just six seconds after taking off - A NASA rocket due to be visible across the East Coast on its way to the International Space Station has blown up on the Launchpad. IG: Former chief of wounded warrior office broke law, DOD regs - The Defense Department inspector general has recommended “corrective action”...
 
 

News Briefs October 29, 2014

F-35C makes first landing at Virginia Beach Navy base The Navy says an operational F-35C joint strike fighter has landed at Naval Air Station Oceana for the first time. Naval Air Station Oceana is the Navy’s master jet base on the East Coast. The Navy says the plane came to the Virginia Beach base Oct....
 
 

Time to turn to American technology for space launch

For the first time since the Cold War, the United States has deployed armored reinforcements to Europe. To counter Russia’s aggression, several hundred troops and 20 tanks are now in the Baltic. Yet the U.S. military is still injecting millions into the Russian military industrial complex. In late August, the United Launch Alliance – the...
 

 
Air Force photograph by Joe Davila

Boeing, Air Force demonstrate Minuteman III readiness in flight test

Air Force photograph by Joe Davila Boeing supported the launch of an unarmed Minuteman III intercontinental ballistic missile at Vandenberg Air Force Base, Calif., on Sept. 23, 2014. Boeing supported the U.S. Air Force’s succ...
 
 

Pentagon going to court for refusing to release Sikorsky data

PETALUMA, Calif. – The Pentagon is refusing to release any data on any prime contractors participating in the 25-year-old Comprehensive Subcontracting Plan Test Program. The American Small Business League launched a program in 2010 to expose the fraud and abuse against small businesses the CSPTP had allowed. As a test the ASBL requested the most...
 
 
Northrop Grumman photograph

Raytheon Griffin C flight tests demonstrate in-flight retargeting capability

Northrop Grumman photograph Northrop Grumman has received a contract from the U.S. Marine Corps for low-rate initial production of the AN/TPS-80 Ground/Air Task Oriented Radar (G/ATOR). G/ATOR is the first ground-based multi-mi...
 




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>