The global fleet of passenger aircrafts will need to double by 2042 in order to keep up with the demand for air travel, particularly from Asia and Latin America.
That’s according to a new report by aircraft leasing firm Avolon which projected that the number of passenger aircraft worldwide will need to grow by 94% to 46,880 over the next 20 years in order to match demand for travel.
Passenger numbers are expected to rise by 3.5% per year compared to the pre-pandemic numbers of 2019.
The report said that the biggest driver of new passengers will be in Asia — particularly in India and south-east Asia — and Latin America. Mature markets such as North America and Europe will continue to grow but at a more moderate rate.
However, the report did acknowledge that aviation has to confront the challenge of decoupling growth from environmental impact. It said trillions will need to be invested into new lower emission aircraft as well as a ramp up in the supply of sustainable fuels and new energy sources.
The report expects 95% of the global fleet to have transitioned to newer more fuel-efficient aircraft by 2042.
Andy Cronin, Chief Executive of Avolon, said: “Near-term production constraints will remain a feature and will reward those who have secured their orderbook pipeline. The resilience aviation has shown, and its anticipated long-term growth trend, reaffirms the investment case for aircraft as an asset class.”
