APAC Defense Budgets Least Affected By COVID-19
As a result of the relatively limited economic impact of the COVID-19 pandemic in Asia-Pacific (APAC) compared to other regions around the world, Aviation Week analysts expect that defence budgets throughout the region will continue to expand at robust rates over the next five years, following a brief slowdown.
In the longer term, continued economic growth combined with heightened regional tensions will drive further increases in the region’s defense spending with countries generally prioritising spending on new equipment in order to aid military modernisation.
The military aircraft market in APAC will also continue to enjoy strong performance. Aviation Week Network’s 2021 Military Forecast projects fleet growth will be fastest in APAC, South Asia and the Middle East, with one in three aircraft deliveries expected to be made to operators in APAC and South Asia.