£660bn aircraft needed in next 20 years, says Airbus
Wednesday 22 March 1995
Airlines are expected to order aircraft worth more than £660bn over the next 20 years as worldwide demand grows strongly, according to Airbus, the planemaking consortium.
In its first global market survey for three years, Airbus believes the industry must be prepared to supply 13,000 new aircraft to meet an expected 5.1 per cent annual growth in passenger traffic.
The huge demand is good news for British Aerospace, which has a 20 per cent stake in Airbus and builds the wings for the consortium's planes.
John Leahy, Airbus senior vice-president, admitted that the aviation industry had been in crisis for several years, but believed the number of passengers flying would treble. "This forecast clearly demonstrates that air transport is a growth industry. We are totally confident that it is also a profitable industry."
The more mature North American market is expected to increase only 3.7 per cent a year, while growth in the Asia-Pacific region is forecast to total 7 per cent with China at 10 per cent.
BAe, which has placed its jets business in the Franco-Italian ATR joint venture, is looking for an Asian partner to join this group. BAe is also looking for substantial business under the Airbus grouping, which yesterday said it had established a subsidiary in Peking.
A support centre will be launched in China to start training programmes and provide spare parts from 1996. China bought its first A310 aircraft in 1985, and Airbus, which believes the country will buy another 500 passenger planes in the next 20 years, is aiming for a 30 per cent share of the Chinese market. The Shanghai-based Eastern Airlines ordered five Airbus planes last week.
Airbus reckons the average size of aircraft likely to be bought over the next few years will be 246 seats, with an increasing proportion in the wide-body category. These would account for 46 per cent of aircraft by 2014, compared with 28 per cent today.
Airbus sees the share of the world's passenger fleet operated by the 12 largest airlines declining from 45 to 37 per cent in 20 years.
- 1 Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
Nigel Farage defends Kerry Smith 'ch***y' comment: 'If you are going for a Chinese, what do you say you’re going for?'
Nigel Farage's approval rating hits 'record low' as popularity suffers in wake of Ukip sex scandal
Pakistan school attack live: Taliban kill at least 132 children in 'horrifying' massacre
Sony hack: Angelina Jolie branded 'seriously out of her mind' in further embarrassing leaked email saga
Panic Saturday: 13 million Britons spend £1.2bn – while 13 million others across the country live in poverty unable to afford food
iJobs Money & Business
£20000 - £25000 per annum + OTE £40,000 + Car + Pension: SThree: SThree are a ...
£20000 - £25000 per annum + OTE £35K: SThree: We consistently strive to be the...
£20000 - £25000 per annum + OTE £35000: SThree: SThree are a global FTSE 250 b...
£20000 - £25000 per annum + OTE £35K - £45K: SThree: SThree Group have been we...