It’s been predicted that the Asia-Pacific will dominate the world in terms of airline activity in 20 years time.

The forecast, called by Boeing, says that the airlines in Southeast Asia will necessitate in additional 2,100 new airliners which represents a total market value of approximately US$330 billion.

Randy Tinseth, Marketing Vice-President of Commercial Airplanes at Boeing revealed the carrier’s forecast and market data at an international and Southeast Asian commercial airplane market media conference on Tuesday.

According to Tinseth, the global air industry will require 29,000 additional aircrafts through 2028, with a market value of US$3.2 trillion.

He added that Boeing has already received 27% of the orders needed for its share of the 20-year forecast. He added that Boeing had 3,400 units on backlog as of the 2009 third quarter, with orders totaling US$254 billion.

Tinseth said that the airline industry, after having suffered through the recession and volatile fuel prices, might experience a peak similar to the one seen in 2008 but not before 2010.

Based on recent figures, he said the recession has bottomed out and improvements can now be seen, but warned that a full recovery on a global scale will be a long and slow process.

He said the increase in air traffic in Southeast Asia will outpace the region’s economic growth. During the next twenty years, economic growth in the region is forecasted at 4.6% while air traffic will jump by 6.9%.

According to Tinseth, the region will easily dominate global air activity in 10 years and added that it will experience 41% of all airline industry activity in 20 years time.

In related news, last week’s Dubai Airshow featured the major players in the air industry attempting to generate orders. Both Boeing and rival Airbus revealed a combined order of 44 new planes, which represents only 10% of their sales at the 2007 edition of the commercial fair.

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Filed under Business & Finance, World News

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