Forecast International report says business jet sales 'not yet in recovery'
A study released last week by Forecast International projects that the decline in business jet production, which began in 2008, will continue through 2011. Looking ahead, "The Market for Business Jet Aircraft," predicts a total of 11,437 business jets with an estimated value of $217.5 billion will be produced from 2010 through 2019.
"The business jet market is not yet in recovery, but the worst of the market downturn is over," said Raymond Jaworowski, senior aerospace analyst at U.S.-based Forecast International. "Order intake remains sluggish, but the massive wave of order cancellations and delivery deferrals experienced in late 2008 and much of 2009 has receded. The market is no longer in freefall."
According to the company, slack demand from fractional programs, which fueled a significant percentage of sales before the downturn, is a major factor behind the downturn in orders. "The focus of many fractional providers is on improving operations, reducing costs, and consolidating aircraft fleets," Jaworowski sai