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Plane purchases expected to top trillion-dollar mark in 20 years

By Zheng Xin | China Daily | Updated: 2017-09-07 07:07

Plane purchases expected to top trillion-dollar mark in 20 years

A worker walks past s Boeing 737 MAX-9 under construction at its production facility in Renton, Washington. [Photo/Agencies]

Chinese airlines are predicted to purchase 7,240 airplanes valued at $1.1 trillion over the next 20 years, according to Boeing's annual China Current Market Outlook released in Beijing on Wednesday.

Total airplane demand rose 6.3 percent over last year's forecast, the plane manufacturer revealed at a media briefing.

"China's continuous economic growth, significant investment in infrastructure, growing middle class and evolving airline business models support this long-term outlook," said Randy Tinseth, vice-president of marketing at Boeing Commercial Airplanes.

"China's fleet size is expected to grow at a pace well in excess of the global average, and almost 20 percent of global new airplane demand will be from airlines based in China."

Boeing said the single-aisle airplanes are likely to continue to be the foundation of domestic and regional fleets in China, forecasting the need for 5,420 new single-aisle airplanes through 2036, accounting for 75 percent of total new deliveries.

The prediction arose from last year's prediction of demand for 5,110 new single-aisle airplanes through 2035.

Full-service airlines and low-cost carriers have been adding new single-aisle airplanes and expanding new point-to-point services to cater for both leisure and business travel demand in China and throughout Asia, it said.

Boeing also forecast that the nation's wide body fleet will require 1,670 new airplanes over the next 20 years and airlines will continue to shift to small and medium-wide body airplanes for long-haul expansion and flexibility.

The continuing growth of China's middle class, together with relaxed visa policies offered by some foreign countries, and a wide range of wide body airplanes with new technologies, capabilities and efficiencies, makes Boeing optimistic about the future of China's long-haul market, Tinseth said.

"China's outbound travel market continues its rapid growth toward 200 million passengers annually," he said.

"With new technologies, superior capabilities and advanced efficiency, the 787 and 777X families will play a key role in supporting the growth of China's long-haul market."

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