Boeing Forecasts Demand in the Middle East

Posted on November 10, 2015 · 2 min read

Boeing Forecasts Demand in the Middle East - Featured Image | MEA Markets
Share this article
Image

Boeing Forecasts Demand in the Middle East

Boeing forecasts airlines in the Middle East will require 3,180 new airplanes over the next 20 years, valued at an estimated $730bn. 70% of the demand is expected to be driven by rapid fleet expansion in the region.

According to the Boeing Current Market Outlook (CMO), single-aisle airplanes such as the 737 MAX will command the largest share of new deliveries, with airlines in the region needing approximately 1,410 airplanes. These new airplanes will continue to stimulate growth for low-cost carriers and replace older, less-efficient airplanes.

“Traffic growth in the Middle East continues to grow at a healthy rate and is expected to grow 6.2% annually during the next 20 years,” said Randy Tinseth, Vice President, Marketing, Boeing Commercial Airplanes. “About 80% of the world’s population lives within an eight-hour flight of the Arabian Gulf. This geographic position, coupled with diverse business strategies and investment in infrastructure is allowing carriers in the Middle East to aggregate traffic at their hubs and offer one-stop service between many city pairs that would not otherwise enjoy such direct itineraries.”

Twin-aisle aircraft will account for a little under half of the region’s new airplane deliveries over the 20-year period, compared to 23% globally. This is demonstrated by the strong order book and deliveries for the 787 and 777, underlining how Boeing is meeting customer demand in the region by focusing on enhancing passenger experience and improving operating economics and capability.

Boeing’s presence and support for the Middle East also includes a growing aftermarket services business that continues to expand offerings to better support regional airlines.

Boeing’s Commercial Aviation Services is a leading provider of aftermarket services in the Middle East, supporting airlines throughout the lifecycle of their fleets from airplane introduction to retirement. Boeing’s Component Support Programs, a segment of Boeing’s GoldCare Services suite, are particularly successful with three new 787 operators in the region contracting Boeing to ensure reliable, timely, and cost effective component management.

“Over the course of our 70 year presence in the Middle East, Boeing has been working with customers to ensure we provide airplanes and services that support their aerospace ambitions,” said Tinseth. “Boeing is well-positioned to continue to address demand in the Middle East and provide airlines in the region with the capability to serve their expanding global networks.”

Boeing has forecasted long-term global demand for 38,050 new airplanes, valued at $5.6trn. These new airplanes will replace older, less efficient airplanes, benefiting airlines and passengers and stimulating growth in emerging markets and innovation in airline business models.

?

You might also like

Looking for more? Gain deeper insights with these recommended articles, selected to provide further value.

November 23, 2015 Global Dermatology Leader Galderma Opens Office in Dubai

Global dermatology leader Galderma S. A. has announced the opening of its branch office in Dubai Healthcare City.

February 18, 2021 Sovereign Reshapes Middle East Management to Deliver a Focus on Growth in the Region

Sovereign Middle East, one of the largest independent corporate and trust service providers in the world, today announced changes to the boards of its Dubai, Bahrain and Saudi Arabia offices that are designed to deliver a focus on growth in the re...

May 10, 2021 The Fourth Industrial Revolution in Sub-Saharan Africa: Key to the Coronavirus Recovery?

The coronavirus pandemic has significantly accelerated the global spread of technologies associated with the so-called Fourth Industrial Revolution (4IR), among them artificial intelligence, internet of things (IoT), big data and blockchain. In su...

Join our newsletter.

Gain Access To Exclusive Content

Stay Updated With The Latest News

It's Free To Subscribe

By signing up, you agree to receive marketing emails.

Join our newsletter box - side image
Trusted by the best teams around the world