logo
Plus   Neg
Share
Email

Honeywell Projects 8,300 Jet Deliveries Valued At $249 Bln Through 2027

The business jet aviation industry is likely facing a modest pace for near-term orders due to an uncertain economic and political environment along with a very competitive used aircraft market, per the 26th annual Global Business Aviation Outlook released today by Honeywell (HON). The Global Business Aviation Outlook forecasts up to 8,300 new business jet deliveries worth $249 billion from 2017 to 2027, down 2-3 percentage points from the 2016 10-year forecast.

The 2018 deliveries are projected to be slightly higher than 2017, with low single-digit growth supported by new models' entry into service.

"Declining used aircraft prices, continued low commodities prices, and economic and political uncertainties in many business jet markets remain as near-term concerns for new jet purchases, leading to a modest growth in 2018," said Ben Driggs, president, Americas Aftermarket, Honeywell Aerospace.

Key global findings in the 2017 Honeywell outlook include: deliveries of approximately 620-640 new jets in 2017, a decline of roughly 30 aircraft year over year. This pullback comes on the heels of a moderate decrease in 2016 and is largely due to slower order rates for mature airplane models and a transition to new models slated for late 2017 and 2018.

The outlook include operators plan to make new jet purchases equivalent to about 19 percent of their fleets over the next five years as replacements or additions to their current fleet, a decrease of 8 percentage points compared with the 2016 survey results.

The longer-range forecast through 2027 projects a 3-4 percent average annual growth rate despite the lower short-term outlook as new models and projected improved economic performance will contribute to industry growth.

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Facing criticism from the government's top ethics watchdog, Commerce Secretary Wilbur Ross revealed Thursday he will sell all of his remaining stock holdings. A well-known investor prior to joining President Donald Trump's administration, Ross acknowledged making inadvertent errors in completing the divestitures required by his ethics agreement. Worldwide personal-computer shipments grew for the first time in six years during the second quarter of 2018, according to preliminary data from two market research firms. Gartner Inc. said that worldwide PC shipments increased 1.4 percent year-over-year to 62.1 million units in the second quarter of 2018, marking the first quarter of growth since the first quarter of 2012. The Centers for Disease Control and Prevention or CDC has recommended people to not eat any Kellogg Co.'s Honey Smacks cereal as it has been linked to a multistate outbreak of salmonella infections. According to the CDC, 100 people in 33 states have been infected with the outbreak strain. While 30 people have been hospitalized, no deaths have been reported.
Follow RTT