Airlines are expanding across the Middle East. As a result, Boeing estimates that airlines will need 3,180 new airplanes over the next 20 years, which would cost about $730 billion.
Boeing, which came up with these findings via its ‘Boeing Current Market Outlook,’ attributes 70 percent of the estimated demand to the expansion of fleets within the Middle East. The assimilation of the new planes into flight schedules will not only be conducive to airline growth, but it will also help to rid the skies of less-efficient models.
“Traffic growth in the Middle East continues to grow at a healthy rate and is expected to grow 6.2 percent annually during the next 20 years,” said Randy Tinseth, Vice President, Marketing, Boeing Commercial Airplanes. “About 80 percent of the world’s population lives within an eight-hour flight of the Arabian Gulf. This geographic position, coupled with diverse business strategies and investment in infrastructure is allowing carriers in the Middle East to aggregate traffic at their hubs and offer one-stop service between many city pairs that would not otherwise enjoy such direct itineraries.”
Single-aisle airplanes will be the most ordered of these items during the new wave, with approximately 1,410 of them being delivered to the airlines throughout the region. Twin-aisle aircraft will also be very popular within the region as the will make up for just under half of the new planes. For comparison, double-isled planes account for 23 percent of new plane deliveries globally.
Boeing said its aftermarket service in the region is booming. The company’s leading provider of those services in the Middle East is Boeing Commercial Aviation Services.
Though air traffic in the Middle East will lead to a consistent uptick in the manufacturing of new aircraft, planes will be delivered throughout the world. Boeing projects in the long-term, 38,050 new airplanes will be demanded at an estimated value of $5.6 trillion. Like in the Middle East, the majority of the new aircrafts will replace outdated, less-efficient models.
More information on Boeing’s market projections can be found at http://www.boeing.com/cmo.
Filed Under: Aerospace + defense