A current slump in business jet sales and deliveries will continue for at least another year until a series of new production introductions drives a recovery after 2018, Honeywell says in a newly released forecast.
The top-line results in the 10-year forecast present a roughly stable market, with 8,600 business jet deliveries worth $255 billion projected through 2026, says Brian Sill, president of commercial aviation for Honeywell Aerospace.
But the near-term outlook offers a more troubling picture. Honeywell surveyed a range of operators owning more than 4,000 business jets about their purchasing expectations over the next five years.
While 25% of the survey respondents plan to grow their fleets by 2021, an uptick of three percentage points from the same survey a year ago, Sill warns that most of the growth plans are back-loaded, indicating a squeeze on expansion plans in the near-term.
Expectations for used jet purchases over five years declined by eight percentage points.