Welcome to our second V1ewPoint of 2017. In our last issue we wrote about market uncertainty as we headed into 2017, with some of our indicators suggesting a potential turn in the demand cycle which has seen strong growth since 2010. Although we have only seen a couple of months’ data so far, initial indications seem to suggest that we were perhaps a little hasty to call the turn. IATA traffic data for the first two months of the year indicate global passenger traffic growth of 7.0%.
The same cannot be said for the OEMs, which had a quiet first quarter. Airbus and Boeing added only 164 aircraft to their firm order backlogs while delivering a total of 298 passenger and cargo jets.
Outside of passenger growth and the demand and supply cycle, geopolitical factors remain an ever-present risk, with the Chinese ban on tourgroups to South Korea.
Flight Ascend Consultancy’s latest quarterly insight, V1ewPoint, looks at the trends financiers and lessors need to be aware of to help them mitigate the risks 2017 brings.
In this issue
·Commercial operating leasing market dynamics
·The effect of the ban on China-South Korea group tours
·Where is the middle of the market?
·One more ‘reset year’ for the business jet market