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Boeing Sees Global Deliveries Topping 44,000 With China Driving Growth Through 2038

3:12PM ET 9/17/2019 MT Newswires
Boeing (BA) is predicting continued growth in global air travel and forecasts that the sector will be 2.5 times larger in two decades, with deliveries reaching 44,040 from this year until 2038.

In its commercial market outlook, Chicago-based Boeing predicted North America deliveries of 9,130 and Europe of 8,990 planes. Asia-Pacific is the standout with 17,390 deliveries expected, including 8,090 in China alone.

"We see continued opportunities for product innovation, fleet productivity and network expansion as this dynamic industry continues to evolve," said Randy Tinseth, vice president of commercial sales and marketing at the plane maker. "Combined, we see a commercial aviation market valued at $16 trillion through 2038."

Growth in air travel has been aided by new airports, and between 2012 and 2018 there were a net 176 sites added around the world, with a majority in the Asia-Pacfic region, Boeing said. They see 17 new airports in the area planned by 2030. In China, airlines make up 15% of global traffic and the worldwide fleet, and this is poised to grow to 20% over the next decade "any beyond," Boeing said.

"China is projected to become the world's largest aviation market in the near future and will require nearly 8,100 new airplane deliveries over the next 20 years, the largest share of any country in the world," the company said.

In North America, Boeing said single-aisle airplanes will make up the majority of its deliveries over the next two decades, predicting 6,140 of units will be sent to carriers.

"Network operators continue to focus and invest in hub strength in the form of increased capacity and airport improvements," Boeing said. In Europe, low-cost carriers are "continuing to grow aggressively" and single-aisle airplanes will also make up the majority of deliveries in the region over the next 20 years.

"European short-haul service has become a battleground," Boeing said. "This competition has resulted in lower fares and more service choices, benefiting the passenger."

Deliveries in the Middle East are seen reaching 3,130 over the next two decades, with nearly half of the forecasted shipments being wide-body type planes, the highest of any region. Deliveries in Latin America are seen at 2,960 and Africa at 1,160, Boeing said.

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