Passenger demand surges ahead as Boeing announces record commercial airplane orders for a single year
The Boeing production line is full for the all-new 787 Dreamliner
Fri 4 Jan 2008 – Announcing traffic results for November, the International Air Transport Association (IATA) reported year-on-year international passenger demand rose 9.3% for the month, the fastest growth rate recorded in 18 months. In tune with airline industry optimism, the Boeing Company has taken 1,413 net commercial airplane orders during 2007, reaching more than 1,000 orders for an unprecedented third consecutive year, and setting a Boeing record for total orders in a single year.
Passenger demand in November was higher than the 7.7% growth recorded in October and the 7.5% growth recorded over the first 11 months of 2007. Average international passenger load factors were 75.4% in November, 1.1 percentage points higher than in November 2006.
Results were strong across most regions:
·Asia Pacific +8.8%
·North America +7.6%
·Latin America +20.1%
·Middle East +18.3%
International freight growth slowed to 3.5% in November, down from 3.6% in October, reflecting strong competition with sea shipping and economic uncertainty. Over the first 11 months of 2007 freight demand grew 3.9% compared to the 4.8% recorded over the same period in 2006.
“The global economy ended 2007 on a surprisingly strong note,” reflected Giovanni Bisignani, IATA’s Director general and CEO. “The November surge in passenger demand has been critical in combating high oil prices and helping airlines end 2007 with an industry profit of $5.6 billion – the first since 2000. But against a backdrop of robust world trade, sluggish freight growth continued to be a disappointment.
“We ring in 2008 with a warning bell. Passenger demand growth is expected to fall to 5.0% and the expected increase in freight demand growth to 4.3% will only help us recover some of the ground lost against sea shipping. High oil prices and the impact of the credit crunch will see industry profitability slip to $5.0 billion in 2008.”
Boeing’s order total for 2007 surpasses previous records of 1,044 net orders in 2006 and the 1,002 set in 2005. Unfilled orders for the company’s airplanes now stand at 3,400. Boeing also set new order records in 2007 for the 787 Dreamliner, the 737 and Boeing freighters.
“2007 told us that global demand for commercial airplanes remains strong and sustained,” commented Scott Carson, Boeing Commercial Airplanes’ President and CEO. “And we’ve responded with what is clearly the strongest product lineup that we’ve ever had, from the Next-Generation 737 through the 747-8, 767, 777 and our newest family, the 787 Dreamliner.
“We are able to offer more new-technology airplanes to our customers than ever before, aircraft that are quieter and more fuel efficient, with significantly lower carbon dioxide emissions and reduced impact on local communities.”