Demand for 10 000 regional aircraft over next 20 years


Embraer forecasts demand for 10 550 new aircraft with up to 150 seats worldwide, worth $600 billion, over the next 20 years.

Embraer on Sunday said the in-service fleet is set to increase to 16 000 aircraft, up from the 9 000 aircraft currently in operation. Market growth will drive 65% of this demand, while the remaining 35% will replace ageing aircraft.

Whilst region-specific outlooks vary considerably, efficiency and sustainability remain the underlying drivers of the projected market demand. The up to 150-seat segment will form an ever more integral part of the global air transport eco system, Embraer said.

The economic performance of the airline industry will mostly depend on how far costs will rise and to what extent the industry can sustain a healthy revenue environment. Aircraft in the up to 150-seat segment are the best placed to combine cost efficiency with stronger yields.
“Past performance is no guarantee of future results. Even though every facet of the industry has excelled over the past years, we are now warming up for the next period of higher costs, with pressures on yields likely to continue unabated. Profits are eroding and gains wiped out with rising costs”, said John Slattery, President & CEO, Embraer Commercial Aviation.

Most demand is predicted to come from the Asia-Pacific region, with demand for 3 000 regional aircraft over the next 20 years, followed by North America (2 780) and Europe (2 240). Africq will required 450 regional aircraft by 2037.