Commercial aviation set for $5.4 trillion expansion

Boeing announced today at the Farnborough Airshow that it anticipates a $5.4 trillion market for new commercial airplanes and aviation services during the next 20 years.

Boeing’s 2004 Current Market Outlook, released today at the Farnborough Air Show, anticipates a $5.4 trillion market for new commercial airplanes and aviation services during the next 20 years. This will result in a doubling of the world’s airplane fleet by 2023, accommodating a forecasted 5.2 percent annual increase in world air travel.

“The long-term market outlook remains positive,” said Boeing Commercial Airplanes Vice President of Marketing Randy Baseler. “Even severe downturns such as we’ve experienced during the past few years do not change the fundamentals of economic growth and the need for people to travel.”

Boeing projects that operators will invest $2.0 trillion for approximately 25,000 new commercial airplanes during the next 20 years.

Of that, 17 percent (4,290 airplanes) will be regional jets; 59 percent (14,770 airplanes) will be single-aisle airplanes; 21 percent (5,150 airplanes) will be for intermediate, twin-aisle airplanes and 3 percent (790 airplanes) will be for 747 and larger airplanes.

“Passengers want the freedom to go where they want to go, when they want to go,” Baseler said. “In the ever increasing competitive market, airlines will continue to meet passengers’ demands for more non-stop, point-to-point flights and increased frequency choice, not larger airplanes.”

Boeing also said in its report that the commercial aviation support services market will be $3.4 trillion over the next 20 years.