The global business jet market continues to make steady recovery from the inertia that followed the economic crisis driven by continued economic recovery underway in the U.S., surge in demand for heavy jets and introduction of a number of new aircraft programs by the industry OEMs incorporating cutting edge technologies & innovations translating into enhanced performance capabilities, safety features & optimized operating economics.
The delivery numbers continue to be dominated by Bombardier in volume terms & led by Gulfstream in value terms respectively with the duo collectively holding over 70% market share (based on revenues) in 2014 with continued, robust demand growth in the heavy & medium jets segments.
Top 3 industry OEMs, namely, Bombardier, Gulfstream & Dassault, with their product portfolios skewed towards the medium & heavy jets segment, continue to hold over 84% market share (based on revenues/aircraft billings for 2014) collectively.
The demand for business jets is likely to continue to improve over near term with improved GDP growth projections in the U.S., Introduction of new aircraft programs by OEMs, improving market accessibility and a favorable oil price trend which is likely to boost fleet utilization & profitability across operators and expand service revenues across OEMs.
Further, long term demand drivers & market fundamentals remain robust indicating towards sustained, steady demand growth for business jets over medium to long term.
Additionally, the market dynamics for business jets are likely to witness major transformation with the era of supersonic business jets likely to become a reality towards the early 2020s with a number of industry OEMs, led by Gulfstream, actively pursuing R&D towards development of a range of supersonic flight technologies capable of enabling feasible supersonic flights while meeting regulatory requirements simultaneously.
(PRNewswire / Yahoo Finance News)