BEIJING, 6 Sept. 2013. Boeing’s (NYSE:BA) latest China Current Market Outlook forecasts demand for 5,580 new airplanes valued at $780 billion in China over the next 20 years, effectively tripling the country’s fleet.
"Thanks to strong economic growth and increased access to air travel, we project China traffic to grow at nearly seven percent each year," says Randy Tinseth, vice president of marketing, Boeing Commercial Airplanes. "China is a key market for Boeing. Our current and future products will allow our customers to meet the growing demand with the most efficient airplanes."
Tourism in China and intra-Asia travel will help spur a strong demand for single-aisle airplanes, with total deliveries in that segment reaching 3,900 through 2032.
Long-haul international traffic to and from China is forecasted to grow at an annual rate of 7.2 percent. The international growth is primarily driven by anticipated passenger traffic between China and North America, Europe, the Middle East, Oceania, and Africa. This growth in the long-haul segment is expected to result in demand for an additional 1,440 new fuel-efficient widebodies, such as the 787 Dreamliner, 777, and 747-8 Intercontinental.
"To compete in the long-haul international market, our Chinese customers are focused on growing their international networks, increasing their capacity and building resources," Tinseth adds. "These trends will shape market demand for airplanes that have high efficiency, low operating costs, environmentally progressive technologies and a great passenger experience. We believe Boeing's current and future widebody families are perfectly aligned to meet those needs."
Boeing projects investments of $4.8 trillion worldwide for more than 35,000 new commercial airplanes to be delivered during the next 20 years. China accounts for approximately 16 percent of the total demand in terms of both new deliveries and market value.
More than 50 percent of all the commercial jetliners operating in China are Boeing airplanes, according to company officials. Further, China has a component role on every current Boeing commercial airplane model–including the Boeing 737, 747, 767, 777, and 787 Dreamliner.