Airbus 2014 Annual Report Download - page 44
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Please find page 44 of the 2014 Airbus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.MARKET
TRENDS
and freight aircraft, valued at some US$ 4.6 tril-
lion at current list prices. Over 12,000 of these
new planes will replace existing aircraft. By
2033 the global fleet of passenger and freighter
aircraft is expected to more than double to
nearly 37,500 aircraft.
According to Airbus’ forecast, traffic to, from or
within the Asia-Pacific region will account for
the largest share of global traffic in 2033 at
more than 40%, ahead of Europe and North
America combined (37%). Asia-Pacific airlines
are expected to take the largest share of
new deliveries in the 2014-2033 period with
39%, followed by European (20%) and North
American airlines (18%).
DEFENCE SPENDING SEES
SLIGHT UPTURN
Global defence expenditure increased in 2014
for the first time since 2010, according to
Jane’s Defence Budgets 2014 annual report,
reaching US$ 1,597.1 billion. According to the
report, the increase was mainly due to a smaller
drop in the US budget combined with strong
growth in the Middle East and North Africa re-
gion, as well as Russia together with CIS States.
While defence spending rose in absolute terms,
the trend towards lower military expenditure as
a proportion of GDP continued, with total global
spending falling from 2.15% of GDP to 2.10%.
According to Frost, global border security
investment however will grow at over 7% with
investment likely to increase in big data analyt-
ics, Internet of Things technologies and inte-
grated security solutions.
Concerns over Russian actions in Eastern
Europe have led many countries in the region to
reverse spending cuts, the report’s authors say.
Meanwhile, US operations against IS in Syria
and Iraq have halted the fall in operational
spending.
In the longer term, Jane’s Defence Budgets an-
nual report forecasts that global defence
spending will return to steady growth after 2015
and beat its previous 2010 peak of US$ 1,661.7
billion before the end of the decade.
North America continues to dominate global
defence spending. The US alone accounts for
36.7% of all military expenditure. Nevertheless,
this share continues to fall with Asia-Pacific
having increased its share of total budgets from
21.6% in 2009 to 26.0% in 2014, driven by
China, India and the emerging markets of
South East Asia. Western Europe’s gradual
decline continued with its share falling to 14.9%.
There may also be an increased investment in
technologies that provide situational aware-
ness, both for law enforcement but also the
intelligence services. Citizen safety is back at
the top of the political agenda.
HELICOPTER POTENTIAL IN CHINA
The commercial helicopter market proved weaker
than expected in 2014, especially in the US and
Europe, with a reduction in overall market de-
mand compared to the previous year. Longer-
term perspectives are more favourable, however.
According to Airbus Helicopters’ projections,
the US and Canada together represent the
largest market for civil and parapublic helicop-
ters with a forecast overall demand for 3,090
new deliveries over the period from 2014 to
2023. Over the same period Asia-Pacific is ex-
pected to require 2,240, Latin America 2,110,
Eastern Europe (including CIS) 1,680 and
Western Europe 1,310 new civil helicopters.
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China’s civil helicopter market is expected to
show huge growth potential as the government
relaxes low altitude flight restrictions.
The US and Canada combined make up
the largest military helicopter market, with a
forecast 2,680 new deliveries in the 2014 to
2023 period. Asia-Pacific is expected to take
2,470 military helicopters over the same
period, with Eastern Europe taking 1,840 and
Africa and the Middle East 980. Demand for
new military helicopters in Western Europe is
predicted to remain at a comparatively modest
level, with 680 deliveries projected over the
same timeframe.
ANNUAL REVIEW 2014
42
02 PILOTING EFFICIENCY