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Boeing Forecasts 44,000 New Planes Ahead Of Tough Farnborough Airshow

July 21, 2024
in Business
Boeing Forecasts 44,000 New Planes Ahead Of Tough Farnborough Airshow
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Members of staff walk past a Boeing 777-9 displayed during the Farnborough Airshow, in Farnborough, … [+] on July 18, 2022. (Photo by JUSTIN TALLIS / AFP) (Photo by JUSTIN TALLIS/AFP via Getty Images)

AFP via Getty Images

Boeing has published its 2024 Commercial Market Outlook ahead of the Farnborough International Airshow. The manufacturer predicts a 3% increase in airplane deliveries over the next 20 years with airlines needing almost 44,000 new commercial airplanes by 2043.

With a forecast of 33,380 new deliveries, single-aisle airplanes will make up 71% of the 2043 fleet, serving short to medium-haul routes. Boeing expects the global widebody fleet to double, with 8,065 deliveries over the next two decades.

As air travel demand continues to recover, Boeing expects passenger air traffic to increase by an average of 4.7% annually over the next two decades. Boeing forecasts the global commercial fleet will grow by 3.2% annually. To adjust for the gap between fleet and traffic growth, Boeing says airlines will improve aircraft utilization by increasing passenger load factors and flying planes more hours a day. Boeing also notes that the average global airline fare is about the same as it was 20 years ago.

“This is a challenging and inspiring era for aviation,” said Brad McMullen, Boeing senior vice president of Commercial Sales and Marketing, in a company announcement. “The return to more typical traffic growth shows how resilient our industry is, even as we all work through ongoing supply chain and production constraints amid other global challenges.”

Boeing dominated the last Farnborough Airshow in 2022, earning 176 aircraft orders, significantly more than rival Airbus (85). The most significant order came from Delta Air Lines, which committed to 100 Boeing 737 MAX 10 and 30 additional options for any aircraft in the 737 MAX family. A year after the last Farnborough, Boeing had received over 1,000 aircraft orders, with the highest share of that demand in the 737 family. During the Paris Air Show last year, fortunes reversed, with Airbus earning 846 orders, nearly double Boeing’s 356. The stakes are high for Boeing to earn orders at Farnborough this year after the prolonged series of issues the manufacturer has faced since the Alaska Airlines door plug blowout.

A No Planes Air Show For Boeing This Year

FARNBOROUGH, ENGLAND – JULY 19: Boeing 737 Max Air Display at Farnborough Airshow, Hampshire. … [+] England. (Photo by April Banks/Rolls-Royce plc via Getty Images)

Rolls-Royce Archive via Getty Images

Boeing will attend the Farnborough International Airshow this year without any test commercial aircraft for popular static and flight displays.

In a recent statement, Boeing said it had “tailored its presence at the 2024 Farnborough International Airshow as the company focuses on strengthening safety and quality and meeting customer commitments.” Instead, it will bring immersive displays to showcase next-generation technologies and capabilities and a full-size 777X interior section.

“We are concentrated on implementing our comprehensive safety and quality plan and meeting our customer commitments. With these priorities in mind, we have reduced our commercial airplanes display and flight demonstrations at the show and will focus on new technology, sustainability, security and services solutions,” Dr. Brendan Nelson AO, president of Boeing Global, said in the company’s announcement. “The best way to build trust is through high-quality performance in our factories, one airplane at a time.”

Qatar Airways will showcase the Boeing 787-9 in its static display.

In defense, Boeing will have two F-15QAs to perform aerial displays. The U.S. Department of Defense (DoD) corral will feature a U.S. Air Force F-15E, U.S. Army AH-64E Apache, CH-47F Chinook and U.S. Navy P-8A Poseidon.

Boeing Orders Ahead of Farnborough 2024

ISTANBUL, TURKEY – DECEMBER 21: The domestic Turkish vehicle Togg, was loaded on the Boeing 777F … [+] type cargo plane belonging to Turkish airlines on December 21, 2021 on Istanbul, Turkey. The Togg will be held in Las Vegas, USA, between 5-8 January to participate in the CES 2022 fair where the world’s largest technology companies take place. (Ozan Guzelce/ dia images via Getty Images)

dia images via Getty Images

Boeing has announced a few critical customer orders ahead of this year’s airshow, including an order from Turkish Airlines for four 777 Freighters to support the carrier’s planned expansion in the global air cargo market. The new order would grow the Turkish Airlines 777F fleet to 12.

Turkish Airlines is negotiating with Airbus and Boeing to buy 235 aircraft as part of its 10-year fleet plan to expand by almost 600 planes. In December, Turkish Airlines announced it had reached a deal with Airbus for 355 aircraft with options, including A321 narrowbody and A350 widebody planes. Turkish Airlines may announce an order for Boeing aircraft at Farnborough, though nothing is certain. Turkish Airlines’ 600-aircraft order was initially anticipated for the Paris Air Show last year, but no announcement followed.

Emirates SkyCargo also ordered five additional 777 Freighters this month to meet growing cargo demand. This grows Emirates’ order book to 245 Boeing widebody airplanes, including 10 777 Freighters.

One much-needed vote of confidence in the 737 MAX recovery ahead of Farnborough came from Aviation Capital Group LLC, which ordered 35 737 MAX jets, including 16 737-8 and 19 737-10 variants. Following an incremental 737 MAX order last year, this order increases the lessor’s commitment to 737 MAX commitment to 82.

Boeing Focuses On Tackling Challenges

TOPSHOT – A Boeing 777X airplane takes off on its inaugural flight at Paine Field in Everett, … [+] Washington on January 25, 2020. – Boeing’s new long-haul 777X airliner made its first flight Saturday, a major step forward for the company whose broader prospects remain clouded by the 737 MAX crisis. The plane took off from a rain-slicked runway a few minutes after 10:00 am local time (1800 GMT), at Paine Field in Everett, Washington, home to Boeing’s manufacturing site in the northwestern US. (Photo by Jason Redmond / AFP) (Photo by JASON REDMOND/AFP via Getty Images)

AFP via Getty Images

Whatever orders may come from Farnborough, and over the next 20 years, Boeing will need to deliver.

Despite challenges and the FAA’s production cap on 737 planes, Boeing reported 70 737 plane deliveries in the second quarter, bringing the total 737 deliveries for the year through Q2 to 137. Boeing also delivered 22 widebody aircraft, including six 767s, seven 777s and nine 787 Dreamliners in the second quarter, bringing the total for the year through Q2 to 38.

The 737 MAX 7 and MAX 10 still need to be certified. So does the game-changing Boeing 777X. Boeing has some good news on that new widebody plane for Farnborough. The FAA cleared 777X certification flights this week, and this Wednesday, GE Aerospace announced that the first GE9X engine for the aircraft was on its way to Boeing. Boeing has moved engineers from the NASA X-66A program, reassigning them to advance its commercial aircraft programs, including the 737 MAX 7, 737 MAX 10, and 777X.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Forbes – https://www.forbes.com/sites/marisagarcia/2024/07/20/boeing-forecasts-44000-new-planes-ahead-of-tough-farnborough-airshow

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