Bombardier issued its Commercial Aircraft’s Market Forecast 2017-2036 for the 60- to 150-seat aircraft on November 13. The company expects growth in the Middle East with deliveries of 450 planes in that market segment, which represents 4% of the total 12,550 deliveries envisaged worldwide. The total value of the deals amounts to $820 billion.
The fleet in the region will grow by 3.4 times adding 200 large regional aircraft (60-100 seats) and 250 small single-aisle planes (100-150).
“We are well positioned to take advantage of a move to strict capacity management in the region,” said Jean-Paul Boutibou, Vice President, Sales, Middle East and Africa, Bombardier Commercial Aircraft. “Our Q400 high-speed turboprop, CRJ700, 900 and 1000 regional jets and new C Series small single-aisle jets can meet any requirement from 60 to 150 seats with unbeatable performance, economics and efficiency. We are the only aircraft manufacturer with that capability and we look forward to working with Middle East airlines as they expand their intra-regional networks.”
The forecast envisages decline in the profitability for Middle East carriers. The increase witnessed in the last two years was due mainly to the introduction of low-cost carriers in the region.
There will be a reduction of widebody aircraft deliveries as the US attempts to curb air travel from some Middle East countries, adding pressure on the region’s business model.
As per the forecast, the Middle East airlines need to focus on developing intra-regional connectivity and right-sizing their fleet, which will improve the yields.