Boeing published surprisingly optimistic forecasts for demand on their airplanes in China. Part 1
Global demand for new airplanes, apparently will reduce for decades due to COVID-19 pandemic. Nevertheless, Boeing has recently increased own industry forecast of selling aircrafts in China for the next 20 years and it is higher than it was during pandemic.
At present moment Boeing expects that during next 20 years’ total volume of airplanes’ sale to China will make 8600 new airplanes for amount 1,4 trillion USD. This estimation is by 7% higher than the forecast made one year ago.
This is only one example that recovery of Chinese economy outstrips entire world. This also contrast sharply with decline of global demand that Boeing forecasted just one month ago: globally Boeing reduced their 10-years airplanes’ sales forecast in the industry to 18530 that is by 11% lower than forecast of 2019 and reduced own 20-years forecast to 43000 airplanes than is by 2% less than one years ago.
Boeing regularly publishes forecasts of industry demand on airplanes in different regions of the world.
Optimistic company’s view on Chinese market is conditioned by its expectation that passenger flow on this market will grow much faster than in the rest of the world. Boeing expects that during the next 20 years’ annual growth of passenger flow in China will make 5,5 % as compared to annual global growth of passenger flow just for 4% in entire world.
“Though Covid-19 has seriously influenced all passenger markets in entire world, fundamental growth factors in China remain stable and steady”, – Richard Wynne, Boeing Managing marketing director in China says.
Wynne mentioned that China’s recovery after Covis-19 outstrips the rest of the world along with continued state investments to transport infrastructure, big population for increasing rates of air traffic and “glamour local market” and presence of all these factors means that this world region will succeed.
According to follow up of global cases of Covid-19 by Johns Hopkins University in China for the last month have been registered only 922 coronavirus cases and three deaths. For comparison only on Thursday in USA 1973 people died of coronavirus.