Record-setting domestic passenger traffic and robust domestic economy to drive the need for 2,300 new airplanes, valued at $320 billion
Boeing raised its long-term forecast for commercial airplanes in India as unprecedented domestic passenger traffic and rapidly expanding low-cost carriers (LCCs) drive the need for 2,300 new jets - valued at $320 billion - over the next 20 years.
This year alone, more than 10 million passengers, on average, traveled within India each month.
"To meet this increased domestic air traffic growth, we see the vast majority of available airplane seats coming from LCCs," said Keskar. "The success of this market segment will mean more than 80 percent of all new airplane deliveries in India will be single-aisles. And the superior economics and fuel efficiency of the new 737 MAX airplane will be the perfect choice for Indian carriers."
According to Boeing's Commercial Market Outlook (CMO), India's commercial aviation industry has achieved 51 consecutive months of double-digit growth. This growth is matched in other sectors of the country's economy.
"The Indian economy is projected to grow by nearly 350 percent over the next two decades to become the third largest economy in the world," said Dinesh Keskar, senior vice president of Sales for Asia Pacific and India, Boeing Commercial Airplanes. "This will continue to drive the growth of India's middle class and its propensity to travel both domestically and internationally, resulting in the need for more new fuel-efficient short- and long-haul airplanes."
|Airplane type||Seats||Total deliveries||Market value|
|Regional jets||90 and below||10||<$1 billion|
|Single-aisle||90 and above||1,940||$220 billion|
|Widebody||200 and above||350||$100 billion|
With more than five percent of the world's fleet expected to operate in India by 2037, services will continue to be a major driver of growth in the region's commercial aviation industry. Commercial services such as flight training, engineering and maintenance, digital analytics among others will provide airlines with optimal operational efficiencies as they continue to expand to meet growth in the marketplace. In the South Asian market, including India, Boeing forecasts a commercial services market valued at $430 billion over the next 20 years.
Formerly known as Boeing's Current Market Outlook, the CMO is the longest running jet forecast and regarded as the most comprehensive analysis of the commercial aviation industry. The full report can be found at www.boeing.com/cmo.
Forward-Looking Information Is Subject to Risk and Uncertainty
Certain statements in this release may be "forward-looking" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "expects," "forecasts," "projects," "plans," "believes," "estimates" and similar expressions are used to identify these forward-looking statements. Examples of forward-looking statements include statements relating to our future plans, business prospects, financial condition and operating results, as well as any other statement that does not directly relate to any historical or current fact. Forward-looking statements are based on current assumptions about future events that may not prove to be accurate. These statements are not guarantees and are subject to risks, uncertainties and changes in circumstances that are difficult to predict.
Many factors could cause actual events to differ materially from these forward-looking statements, including economic conditions in the United States and globally, general industry conditions as they may impact us or our customers, and other important factors disclosed previously and from time to time in our filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made and we undertake no obligation to update or revise any such statement, except as required by law.