Embraer Foresees Demand for 10,550 New Aircraft With up to 150 Seats Over the Next 20 years
FARNBOROUGH, United Kingdom, July 16, 2018 -- 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.
About Embraer's Market Outlook
Since 2004, when the 1st edition of Embraer's Market Outlook was published, the company's analysts have continuously refined their forecast models in order to identify and predict future trends. The process consists of two main steps: (1) a traffic demand forecast for the future evolution of RPKs — revenue-passenger kilometer — by regions and sub-regions based on econometrics for the next 20 years and (2) an aircraft demand forecast that estimates the number of new aircraft deliveries from 30-seat turboprops to wide-bodies needed to support the air transport demand growth during the same period.
The 2018-2037 full report is available at http://www.embraermarketoutlook2018.com.
Follow us on Twitter: @EmbraerSA
PRESS OFFICES:
Headquarters (Brazil)
Corporate Communications
press@embraer.com.br
Cell: +55 12 98152 4845
Tel.: +55 11 3841 6085
North America
Alyssa Ten Eyck
ayeck@embraer.com
Cell: +1 954 383 0460
Tel.: +1 954 359 3847
Europe, Middle East and Africa
Guy Douglas
guy.douglas@nl.embraer.com
Cell: +31 (0)657120121
Tell: +31 (0)202158109
China
Mirage Zhong
mirage.zhong@bjs.embraer.com
Cell: +86 185 1378 5180
Tel.: +86 10 6598 9988
Asia Pacific
Nilma Missir-Boissac
nilma.boissac@sin.embraer.com
Cell: +65 9012 8428
Tel.: +65 6305 9955
View original content:http://www.prnewswire.com/news-releases/embraer-foresees-demand-for-10-550-new-aircraft-with-up-to-150-seats-over-the-next-20-years-300681251.html
SOURCE Embraer S.A.
RELATED LINKShttp://www.embraermarketoutlook2018.com
