Today, Boeing (NYSE:BA) released its 2023 Commercial Market Outlook (CMO), predicting that Southeast Asia's commercial airplane fleet will quadruple to over 4,000 jets by 2042. The report identifies the region as the fastest-growing single-aisle airplane market in the world, with growth rates double the global average, largely driven by low-cost carriers (LCCs).
As Southeast Asia reopens for travel, Dave Schulte, Boeing's Commercial Marketing managing director for Asia-Pacific, expects a significant surge in air traffic. This increase is anticipated to be fueled by expanded connectivity, tourism, and low fares, particularly among the rapidly growing middle class across the region.
According to the forecast, LCCs are predicted to introduce over 2,000 new single-aisle jets within the next two decades. These additions account for nearly two-thirds of the projected 3,390 single-aisle deliveries in the region. By 2042, LCCs are expected to handle 56% of passenger traffic, a significant increase from their 22% share in 2012.
The report also suggests that 83% of airplane deliveries will support fleet growth, while the remaining 17% will replace older planes with more fuel-efficient models. The widebody fleet is projected to triple in size, requiring nearly 800 airplanes including both passenger jets and freighter models.
This massive expansion in Southeast Asia's aviation industry is expected to generate a staggering demand of $310 billion in aviation services.
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