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Aviation Market Mixes It Up in 2013

We’re nearly halfway through 2013, so this is a great time to take the pulse of the aviation market. The numbers are mixed, but generally positive. The high-end, large-jet market and twin turboprop deliveries were the main cause of positive growth within the industry. The light jet market is showing negative growth, with Cessna and Learjet deliveries at a crawl and the manufacturers slowing production lines. Overall, however, the industry continues to make gains:

  • Worldwide, there was a 4% increase in deliveries of corporate jets
  • Q1 of 2013 saw a total of $4.6 billion in billings for all general aviation airplanes—a 31.7% increase over the same period last year
  • The General Aviation Manufacturers Association (GAMA) said there was a nearly 10% growth in aircraft shipments in the Q1 of 2013 compared to the same period last year
  • The twin turboprop market showed an 80% increase, due in part to demand from the agriculture industry

Gulfstream and Bombardier led the industry in positive growth:

  • Gulfstream increased its year-over-year output of jet deliveries by more than 50%
  • Bombardier saw a 34% increase in their jet deliveries compared to last year
  • Bombardier also shipped 13 more business jets in Q1 than they did in Q1 2012

We wrote about predictions for the 2013 jet market last December. Honeywell’s prediction about slow but steady growth holds true, and may have even been a little conservative. While we haven’t seen wild gains, we have seen a steady increase in deliveries over the last year especially within large-cabin jets. That’s better than the flat or slight growth predicted for 2013. The fuel cost roller coaster and unease in foreign markets continue to cloud the ability to predict how 2013 will wrap up. However, if the demand for high-end-large corporate jets and twin turboprops continue, we should all have reasons to celebrate by year end.

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