Subscribe Free
in Business Aviation

Embraer foresees demand for 10,550 new aircraft with up to 150 Seats over next 20 years

Posted 16 July 2018 · Add Comment

Embraer forecasts demand for 10,550 new aircraft with up to 150 seats worldwide, worth USD 600 billion, over the next 20 years. The in-service fleet is set to increase to 16,000 aircraft, up from the 9,000 aircraft currently in operation. Market growth will drive 65% of this demand, while the remaining 35% will replace ageing aircraft.

 

Whilst region-specific outlooks vary considerably, efficiency and sustainability remain the underlying drivers of the projected market demand. The up to 150-seat segment will form an ever more integral part of the global air transport eco system.

Up to 150-Seat Segment – Deliveries by Region

Region

Deliveries

Share

Asia-Pacific

3,000

28%

North America

2,780

27%

Europe

2,240

21%

Latin America

1,140

11%

CIS

580

6%

Africa

450

4%

Middle East

360

3%

World (2018-2037)

10,550

100%

The economic performance of the airline industry will mostly depend on how far costs will rise and to what extent the industry can sustain a healthy revenue environment. Aircraft in the up to 150-seat segment are the best placed to combine cost efficiency with stronger yields.

“Past performance is no guarantee of future results. Even though every facet of the industry has excelled over the past years, we are now warming up for the next period of higher costs, with pressures on yields likely to continue unabated. Profits are eroding and gains wiped out with rising costs”, said John Slattery, President & CEO, Embraer Commercial Aviation.

The segment’s new product lineup challenges the "paradigm" that smaller aircraft necessarily have higher CASK, and now approach the seat cost economics of larger narrow-body aircraft with roughly 20% trip cost advantage.

Aircraft in the up to 150-seat segment is one of the main pillars of business sustainability. As the most efficient single-aisle family of aircraft, the E-Jets E2 are perfectly placed to consolidate Embraer’s position as the market leader in the segment and maximize profitability for both airlines and leasing companies.

 

* required field

Post a comment

Other Stories
Advertisement
Latest News

DAE signs a new US$720 million revolving credit facility

Dubai Aerospace Enterprise (DAE) has signed a new unsecured US$720 million revolving credit facility with a group of nine international banks based in US, Europe and Asia. The credit facility has a maturity of five years.

BIAS sees deals and partnerships signed on first two days

The first day of the Bahrain International Airshow (BIAS), opened on Tuesday with the senior figures from the commercial and military aerospace industry in attendance.

SaudiGulf Airlines to add ten A320neo family aircraft

Al-Qahtani Aviation, owner of SaudiGulf Airlines, has signed an agreement to purchase ten A320neo family aircraft. The commitment was announced today at the Bahrain International Airshow.

Gulf Air completes sale and leaseback of six Airbus A320neo Aircraft

Gulf Air and SMBC Aviation Capital have today announced a six-aircraft agreement for the purchase and leaseback of six Airbus A320neo aircraft. This is SMBC Aviation Capital’s first deal with Gulf Air and follows a competitive tender

Leonardo’s air traffic control systems ready to support Bahrain Defence Force

Leonardo, in the presence of Royal Bahrain Air Force Commander Major General Shaikh Hamad Al Khalifa, officially delivered air traffic control systems to the Bahrain Defence Force at the Bahrain Airshow today.

Emirates Group announces half-year results for 2018-19

The Emirates Group has announced its half-year results for 2018-19. The Group saw steady revenue growth compared to the same period last year, however profits were impacted by the significant rise in oil prices, and unfavourable

TAA SK0902311218
See us at
SaudiAirshowBT0711140319Aviation Africa BT0607280219MEBAA BT1004121218AIME19BTA3005120219