Honeywell sees a market for 10,000 aircraft valued at $250 billion over the next 10 years with long-range, large-cabin models driving the growth in billings, according to its 21st annual Business Aviation Outlook. Large jet orderbooks have held steady through the downturn and in the future account for 40% of new purchase plans and represent 70% of the value.
National Business Aviation Association President and CEO Ed Bolen, speaking during a Honeywell briefing in Orlando, Fla. Oct. 28, notes that the prevailing sentiment has been that buyers of these aircraft were more immune to the effects of the prolonged recession.
But Bolen disagrees with the sentiment. “The reality is the recession has affected them,” he says, but the needs of those buyers have shifted. “I just think the business model has changed,” he says. Many companies have needed to become more globally competitive and have turned to longer-range aircraft to reach destinations, such as the so-called BRIC countries (Brazil, Russia, India and China), Bolen says.