Boeing forecasts that airlines in the Middle East will need 3,350 new airplanes over the next 20 years, valued at an estimated $730 billion. Boeing presented its 2017 Current Market Outlook (CMO) for the region during the Dubai Airshow.
“Traffic growth in the Middle East is expected to grow at 5.6% annually during the next 20 years,” said Randy Tinseth, vice president of marketing, Boeing Commercial Airplanes.
“The fact that 85% of the world’s population lives within an eight-hour flight of the Arabian Gulf, coupled with robust business models and investment in infrastructure, allows carriers in the Middle East to channel traffic through their hubs and offer one-stop service between many cities.”
Twin-aisle airplanes are expected to make up nearly 50% of the new airplanes in the Middle East, and more than 70% of the value at $520 billion. Both percentages are significantly higher than the global average.
During the show, Emirates Airline announced a commitment to purchase 40 Boeing 787-10 Dreamliners in a deal valued at $15.1 billion at current list prices.
More than half of the total deliveries in the Middle East will be single-aisle airplanes, Boeing predicts. Operators in the region will need 1,770 single-aisle airplanes valued at $190 billion, driven by the growth of low-cost carriers.
Around the world, Boeing has forecast long-term demand for 41,030 new airplanes, valued at $6.1 trillion. These new airplanes, it says, will replace older, less efficient airplanes, benefiting airlines and passengers and stimulating growth in emerging markets and innovation in airline business models.