Market Intelligence: -Airline Aircraft Orders

“Aircraft Deliveries Set to Exceed Pre-Pandemic Levels in 2023” Says International Air Transport Association

“Aircraft deliveries set to exceed pre-pandemic levels in 2023,” said the International Air Transport Association (IATA) in its  Economics’ Chart of the Week published on March 03, 2023.

  • Aircraft deliveries are poised for a solid rebound in 2023, with a total of 1,540 aircraft scheduled to be delivered this year, up 300 units (24%) compared to 2022. Where the new deliveries lead to replacement of old aircraft with modern, more fuel-efficient alternatives, they not only improve operational efficiency, but also contribute to a reduction in harmful emissions. On current estimates, aircraft deliveries are set to surpass their 2019-level for the first time since the onset of the Covid-19 pandemic. The largest portion of the year-on-year (YoY) increase in 2023 can be attributed to orders from North America and Europe, whose deliveries are up by a significant 32% and 33% YoY, respectively.
  • In 2023, North America (primarily the United States) is expected to be the recipient of a third of the deliveries, followed closely by Europe (27%) and Asia Pacific (24%; mainly China P.R. and India). This contrasts with the pre-pandemic trends, where for a number of years Asia Pacific accounted for the largest proportion of aircraft deliveries by some distance (39% share in 2019). That region’s delayed recovery from the pandemic – a result of prolonged Covid-19 outbreaks and travel restrictions – is likely to be a key explanation for this development. In light of the recent reopening of China P.R. we might expect it to be a temporary occurrence.
  • Another important aspect of aircraft deliveries is aircraft type, as it sheds light on airline business model evolution and network development. In 2023, 1,149 (75%) of deliveries are expected to be narrowbody jets – designed primarily for short haul routes – compared to 213 widebody jets (14% of the deliveries). Two thirds of the widebodies are scheduled to be delivered to Asia Pacific and Europe alone. While widebody deliveries are up 28% YoY, they are still lagging their pre-pandemic levels. The delayed recovery in widebody aircraft deliveries is reflected across all regions.
  • Overall, the rebound in the number of scheduled aircraft deliveries in 2023 provides a promising outlook for the aviation industry, underpinned by a firm commitment and drive to improve the efficiency of its fleet.

Source: IATA Report
Photo Credit: IATA

You may also check our Terms and Conditions for our Content Policy.

Related Posts

New Saudi Arabian Carrier Riyadh Air to Launch with All-Boeing Fleet of up to 72 787-9 Dreamliners

  •  Riyadh-based, PIF-owned airline to order 39 Dreamliners, with options for 33 more jets, enabling tourism and sustainable growth
  • Passenger-pleasing, fuel-efficient 787s will support Saudi Arabia’s goal of welcoming 100 million visitors per year by 2030

Boeing and Riyadh Air announced that the new Saudi Arabian carrier has chosen the 787 Dreamliner to power its global launch and support its goal of operating one of the most efficient and sustainable fleets in the world.

Owned by Saudi Arabia’s Public Investment Fund (PIF), Riyadh Air said it will purchase 39 highly efficient 787-9s, with options for an additional 33 787-9s. Based in the capital city, Riyadh Air will play a key role in growing Saudi Arabia’s air transport network.

This agreement is part of Saudi Arabia’s wider strategic plan to transform the country into a global aviation hub. In total, Saudi Arabian carriers announced their intent to purchase up to 121 787 Dreamliners in what will be the fifth largest commercial order by value in Boeing’s history. This will support the country’s goal of serving 330 million passengers and attracting 100 million visitors annually by 2030.

“The new airline reflects the ambitious vision of Saudi Arabia to be at the core of shaping the future of global air travel and be a true disrupter in terms of customer experience,” said Tony Douglas, CEO of Riyadh Air.

“Riyadh Air’s commitment to its customers will see the integration of digital innovation and authentic Saudi hospitality to deliver a seamless travel experience. By positioning the airline as both a global connector and a vehicle to drive tourist and business travel to Saudi Arabia, our new 787-9 airplanes will serve as a foundation for our worldwide operations, as we build the wider network and connect our guests to Saudi Arabia and many destinations around the world,” Douglas said.

“This is a significant order that will support Riyadh Air’s commitment to deliver a world-class travel experience, while supporting American aerospace manufacturing jobs at Boeing and across our supply chain,” said Stan Deal, president and CEO of Boeing Commercial Airplanes. “We are incredibly proud of our nearly eight decades of partnership to drive innovation and sustainable growth in Saudi Arabia’s aviation sector. Our agreement builds on that longstanding partnership and will further expand access to safe and sustainable commercial air travel for decades more.”

The 787-9 provides the longest range of the 787 family of airplanes, flying approximately 300 passengers 7,565 nautical miles (14,010 km), with additional cargo capacity. Passengers enjoy a better experience with the largest windows of any jet, air that is more humid and pressurized at a lower cabin altitude for greater comfort, large overhead bins with room for everyone’s bag; soothing LED lighting, and technology that senses and counters turbulence for a smoother ride.

The 787 family is delivering unmatched fuel efficiency to airline operators around the world reducing fuel use and emissions by 25% compared to airplanes they replace.

This new order will be posted to Boeing’s Orders and Deliveries website once it is finalized.

As a leading global aerospace company, Boeing develops, manufactures and services commercial airplanes, defense products and space systems for customers in more than 150 countries. As a top U.S. exporter, the company leverages the talents of a global supplier base to advance economic opportunity, sustainability and community impact. Boeing’s diverse team is committed to innovating for the future, leading with sustainability, and cultivating a culture based on the company’s core values of safety, quality and integrity.

Source: Boeing Press Release
Photo Credit: Public Investment Fund

You may also check our Terms and Conditions for our Content Policy.

Related Posts

SAUDIA to Grow Long-Haul Fleet with up to 49 Boeing 787 Dreamliners

  • Saudi Arabian flag-carrier to order 39 fuel-efficient 787-9 and 787-10 airplanes
  • Announcement including options for 10 additional jets is part of Saudi Arabia’s broader investment to become a global aviation hub

Boeing and Saudi Arabian Airlines (SAUDIA) announced the national flag-carrier will grow its long-haul fleet with the selection of up to 49 787 Dreamliners. SAUDIA is set to purchase 39 787s, with a further 10 options, utilizing the outstanding efficiency, range and flexibility of the Dreamliner to sustainably grow its global operation. The agreement will include both 787-9 and 787-10 models.

This agreement is part of Saudi Arabia’s wider strategic plan to transform the country into a global aviation hub. In total, Saudi Arabian carriers announced their intent to purchase up to 121 787 Dreamliners in what will be the fifth largest commercial order by value in Boeing’s history. This will support the country’s goal of serving 330 million passengers and attracting 100 million visitors annually by 2030.

“SAUDIA continues its expansion efforts in all aspects of the airline; whether it’s introducing new destinations or increasing the aircraft fleet,” His Excellency Engr. Ibrahim Al-Omar, Director General of SAUDIA Group. “The agreement with Boeing delivers on this commitment and the newly added aircraft will further enable SAUDIA to fulfill its strategic objective of bringing the world to the Kingdom”.

SAUDIA currently operates more than 50 Boeing airplanes on its long-haul network, including the 777-300ER (Extended Range) and 787-9 and 787-10 Dreamliner. The additional 787s complement SAUDIA’s existing fleet, enabling it to effectively harness the value of the 777 and 787 families.

“Adding to its 787 Dreamliner fleet will enable SAUDIA to expand its long-haul service with outstanding range, capacity and efficiency,” said Stan Deal, president and CEO of Boeing Commercial Airplanes. “After more than 75 years of partnership, we are honored by SAUDIA’s confidence in Boeing products and will continue to support Saudi Arabia’s goal to expand sustainable air travel.”

Since revenue service began in 2011, the 787 family has launched more than 350 new nonstop routes around the world, including about 50 new routes since 2020. The Dreamliner reduces fuel use and emissions by 25% compared to the airplanes it replaces.

This order will be posted to Boeing’s Orders and Deliveries website when finalized.

As a leading global aerospace company, Boeing develops, manufactures and services commercial airplanes, defense products and space systems for customers in more than 150 countries. As a top U.S. exporter, the company leverages the talents of a global supplier base to advance economic opportunity, sustainability and community impact. Boeing’s diverse team is committed to innovating for the future, leading with sustainability, and cultivating a culture based on the company’s core values of safety, quality and integrity.

Source: Boeing Press Release
Photo Credit: Boeing

You may also check our Terms and Conditions for our Content Policy.

Related Posts

Saudi Arabia Announces Establishment of Riyadh Air

His Royal Highness Mohammad bin Salman bin Abdulaziz, Crown Prince and Prime Minister of Saudi Arabia and Chairman of the Saudi Public Investment Fund (PIF), announced today the establishment of “Riyadh Air,” a PIF wholly owned company.

The new carrier will leverage Saudi Arabia’s strategic geographic location between the three continents of Asia, Africa and Europe, enabling Riyadh to become a gateway to the world and a global destination for transportation, trade, and tourism.

Riyadh Air will be chaired by Yasir Al Rumayyan, Governor of PIF, while Tony Douglas, who brings more than 40 years of experience in the aviation, transportation and logistics industries, has been appointed Chief Executive Officer. The airline’s senior management will include Saudi and international expertise.

The airline is expected to add US$20 billion to non-oil GDP growth, and create more than 200,000 direct and indirect jobs.

The new carrier will acquire “modern aircraft equipped with the latest technology”, the PIF said. It did not provide details about the planned fleet size, aircraft types, manufacturers or whether the planes would be owned or leased.

Source: PIF
Photo Credit: Riyadh Air (shown as meta image)

You may also check our Terms and Conditions for our Content Policy.

Related Posts