Asia Pacific still driving demand for air cargo

The latest forecast for the region was presented today at the Singapore Air Show

By ·

Airlines in the Asia-Pacific region will take delivery of around 9,370 new aircraft over the next 20 years, according to the latest market forecast by Airbus.

Valued at $1.3 trillion, the deliveries will account for 34 per cent of all new aircraft with more than 100 seats entering service worldwide over the forecast period, with the region overtaking North America and Europe as the world’s largest air transport market.

The latest forecast for the region was presented today at the Singapore Air Show by John Leahy, Chief Operating Officer, Customers, Airbus.

In the cargo sector, the region will continue to dominate the global market. According to the new forecast, the dedicated freighter fleet operated by Asia-Pacific airlines will grow from 300 today to some 820 in 2030, representing 30 per cent of the global freighter fleet. While many of the aircraft will be converted from passenger models, Airbus predicts that around 210 new production freighters will be delivered to the region over the next two decades. As in other world regions, around 40 per cent of the freighters will be in 60 – 70 tonne category served by mid-size widebody aircraft, such as the A330.

“We forecast strong growth for aviation in Asia and the Pacific. That’s good news for Airbus and the region alike. Asia-Pacific is second to none when it comes to current and future business prospects. And aviation growth will bring increased trade and significant wealth creation into the region,” said John Leahy, Chief Operating Officer, Customers, Airbus.

The Asia-Pacific region is a core market for Airbus, accounting for 26 per cent of all orders recorded by the company to date. Today, there are some 1,800 Airbus aircraft in service with over 80 operators across the region, with another 1,700 on order with customers for future delivery. This represents 38 per cent of the company’s total backlog, reflecting the importance of the region as the fastest growing market for new civil aircraft.

Washington, D.C-based Airfowarders Association (AfA) Executive Director Brandon Fried told LM, that while Asia remains a strong market for his constituents, other options are emerging.

“The industry is already seeing some softening in Asian markets where North American buyers are beginning to source products from closer in countries,” he said. “This means that as time passes, more opportunities will develop throughout Latin America as well.”


About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

Air Cargo · Air Freight · Asia · All Topics
Latest Whitepaper
2017 Top 50 3PLs: Investment and Consolidation Maintain Traction
The trend set over the past few years for mergers and acquisitions has hardly subsided, and a fresh injection of equity investment is transforming the marketplace. At the same time, shippers may expect to see 3PLs continue to purchase high-tech “solutions” and hire young professionals for implementation.
Download Today!
From the August 2017 Logistics Management Magazine Issue
Which carriers, third-party logistics providers, and North American ports have crossed the service excellence finish line ahead of their competitors? Our readers have cast their votes, and now it’s time to introduce this year’s winners of the coveted Quest for Quality Awards.
BMW Takes the Inland Road to Efficiency
Global Logistics: No Shortcuts to Security
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Getting the most out of your 3PL relationship
Join Evan Armstrong, president of Armstrong & Associates, as he explains how creating a balanced portfolio of "Top 50" global and domestic partners can maximize efficiency and mitigate risk.
Register Today!
EDITORS' PICKS
34th Annual Quest for Quality Awards: Winners Revealed
Which carriers, third-party logistics providers, and North American ports have crossed the service...
2017 Salary Survey: Fresh Voices Express Optimism
Our “33rd Annual Salary Survey” reflects more diversity entering the logistics management...

LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...
ASEAN Logistics: Building Collectively
While most of the world withdraws inward, Southeast Asia is practicing effective cooperation between...