Aerospace industry: Record low for aircraft orders in July

With just four aircraft orders, all single-aisle and no wide-body aircraft, it was the lowest July on record, a 94%t decrease from July 2019.

No wide-body aircraft orders reflect the current aviation climate with continued consumer uncertainty and less demand for long haul air travel.

Aircraft deliveries continue to be impacted by deferrals with just 53 deliveries in July, making it the lowest for the month on record and a 40% decrease on July 2019.

Single-aisle aircraft deliveries are steadily increasing since the lowest point in April, with 49 aircraft delivered in July. Wide-body aircraft suffered a marginal decrease on the previous month with only four aircraft delivered.

The aircraft firm order backlog has seen another marginal decrease as deliveries outweigh orders but staying at a comfortable 13,581 aircraft. The remaining order backlog represents many years’ worth of work for global aerospace manufacturers and potentially up to £207.5 billion to UK industry.

ADS chief executive Paul Everitt commented: “July was another record low for the aerospace industry in both aircraft orders and deliveries, marking the sharp and sustained reduction in demand.

“The aerospace industry needs further support from the Government to secure its future and return to long-term sustainable growth. The Comprehensive Spending Review and Autumn Budget must put in place a bold plan for economic recovery.

“Government should back a dedicated long-term supply chain investment fund to support SMEs, deliver on the UK’s ‘jet-zero’ ambitions through doubling funding for the Aerospace Technology Institute and investing in Sustainable Aviation Fuels, and ensure direct support is provided to protect jobs and retain skills in sectors such as aerospace which are worse hit.”

ADS www.adsgroup.org.uk