Boeing projects global demand for 42,600 new commercial jets by 2042

This CMO comes three years after the pandemic severely impacted the global fleet. Despite global economic growth projected at 2.6%, passenger traffic is expected to surpass that rate, leading to a nearly doubled global fleet of 48,600 jets, growing at a rate of 3.5% per year.

Also read: China jet to rival Airbus, Boeing makes first commercial flight

According to Boeing’s forecasts, airlines will replace approximately half of the existing global fleet with newer, more fuel-efficient models. Brad McMullen, Boeing’s Senior Vice President of Commercial Sales and Marketing, praised the aviation industry’s resilience and adaptability, highlighting how airlines have responded to challenges, improved efficiency, and capitalised on resurgent demand.

In terms of regional demand, the Asia-Pacific markets are projected to account for over 40% of the global demand, with China representing half of that total. South Asia, led by India, will experience the fastest fleet expansion at a rate of more than 7% annually, with India accounting for more than 90% of the region’s passenger traffic. North America and Europe will each contribute approximately 20% to the global demand.

Also read: Boeing detects manufacturing issues with 737 Max, likely to impact fleet expansion of Air India and Akasa Air

The forecast also predicts that low-cost carriers will operate over 40% of the single-aisle fleet in 2042, a significant increase from the 10% share they held 20 years ago.

Boeing’s defence unit, on the other hand, is expected to see margins resembling those of the first quarter, according to Boeing Defence CEO Ted Colbert. The unit faced negative margins in the first quarter due to a pre-tax charge of $245 million related to the KC-46 tanker program. Colbert mentioned ongoing efforts to improve performance at the defence unit, although it will take time to see tangible results.

“We’re still assessing where the numbers are going to fall,” Colbert told reporters in a briefing ahead of the Paris Airshow.

Boeing’s defence unit has been grappling with significant losses due to its fixed-price development programs, including the KC-46, the T-7 training jet, and new Air Force One planes. The delivery of KC-46 tankers has been delayed due to supplier issues, and no reworked tanker has been delivered to the Air Force as yet.

Meanwhile, Airbus is reportedly exploring the development of the X9 helicopter, a potential successor to Airbus Helicopters’ H145 light-twin chopper. The X9 project, which has been in the works for some time, is still in the demonstration phase, with plans for a demonstrator currently underway. Airbus is focusing on propulsion and other options for the X9 as it explores the next generation of helicopters. However, any launch decision for the X9 remains in the future, as the upgraded H145 is still in demand.

Updated: 19 Jun 2023, 09:49 AM IST