Boeing Turns Focus to China and its Growing Aircraft Market
“The remarkable resilience of air travel is amply documented in more than 45 years of published editions of the Boeing Current Market Outlook,” notes the company’s 2012 through 2013 market outlook.
Even though the recovery from the 2008 financial crisis and recession has progressed slowly, and the economic outlook is far from rosy, American airlines have logged several, relatively profitable years, and that makes a big difference for the jet manufacturers like Boeing. The company believes commercial aviation has more than weathered its recent downturn and, even though shipping volumes remained flat through the first six months of 2013 putting the manufacturer on track to receive its fewest cargo-jet orders since the 2009 recession, Boeing has kept its outlook positive. The company expects world passenger traffic will grow 5.0 percent annually over the next twenty years and air cargo will grow 5.0 percent annually through 2032.
In its most recent market outlook, Boeing forecast a long-term demand for 35,280 new airplanes, worth $4.8 trillion. Of that total, the company expects that 14,350, or 41 percent, will replace older, less efficient airplanes, which will reduce the cost of air travel and decrease carbon emissions. The remaining 20,930 airplanes will “be for fleet growth, stimulating expansion in emerging markets and innovative airline business models.” Additionally, 24,670 airplanes, or 70 percent of the new deliveries, will be for single-aisle jets, “reflecting growth in emerging markets such as China, and the continued expansion of low-cost carriers throughout the world.”