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Honeywell Forecasts Increased Civil Rotorcraft Deliveries in 2012
Februrary 24, 2012
There was further encouraging evidence recently of an overall economic turn-around for the business aviation industry. Honeywell issued its 14th Turbine-Powered Civilian Helicopter Purchase Outlook report, forecasting between 4,700 and 5,200 new deliveries between 2011 and 2016. While its overall global purchase forecast dropped six points over 2011, the company noted a surge in 2012 orders should offset concerns over future global instability and sluggish economic growth in Western countries.
“Recent order rates have been healthy and near-term purchase plans remain strong despite lingering tight credit conditions and significant inventories of used current production models for sale, which continue to overhang the industry,” states the report, which was presented February 12 at the 2012 Helicopter Association International (HAI) “Heli-Expo” in Dallas, TX. Review the Honeywell report.
According to Honeywell, China is expected to drive growth in the Asian region over the long-term, with a falloff anticipated in purchases from European countries. The greatest number of new purchases over the next five years are expected to come in the light single-engine helicopter segment, as operators look to replace older aircraft with newer offerings. While the heavy multi-engine helicopter market represents a relatively small percentage of overall purchases, interest has increased in that area as well.
For its civilian rotorcraft forecast, Honeywell surveyed more than 1,000 chief pilots and flight department managers, and took into account current market concerns over political instability in the Middle East, and near-term economic growth projections.
Honeywell's forecast matches earlier – and similarly measured – projections for business aviation growth in 2012. As NBAA reported in December, Forecast International projects a slight improvement in aircraft deliveries in 2012, to 728 aircraft, with pent-up demand spurring continued increases over the next 10 years. That largely matched an October 2011 forecast by Honeywell, stating business aircraft deliveries in 2012 would increase between 3-5 percent over 2011 figures, with a 5-8 percent improvement in dollar totals. Honeywell also expects the industry to deliver approximately 10,000 new aircraft over the next 10 years, with sales totals reaching about $230 billion.