Aviation sales are winged into two significantmanufacturers namely Airbus and Boeing. They have a combined market share of 99%, of the total 99% Airbus owns 59.4 whereas Boeing retains 40.6%.
Airbus has become the world's biggest manufacturer just since 2011 subsequent to conveying a figure beating 863 airplanes in 2019, holding onto the crown from troubled U.S. rival.An emergency regarding Boeing's grounded 737 MAX hauls into 2020. Be that as it may, the record European information further underscores the separation Boeing must make a trip to recover its market position. Plane makers receive most of their revenues when aircraft are delivered - minus accumulated progress payments - so the end-year delivery performance is closely monitored by investors.
Boeing conveyed 345 for the most part long stretches flies among January and November, not exactly a large portion of the quantity of 704 accomplished in a similar time of 2018, when the MAX was being conveyed ordinarily. For the entire of 2018, Boeing had conveyed 806 airplanes.
Airbus and Boeing failed to cope up with the flourishing demands of the airplanes, where the demand of Boeing 737 Max and Airbus A320 went through the roof; this is before the pandemic came about. At present the demand for new aircraft is drying up as the world is under lock-down, both the domestic as well as international travel has taken a hit as the visas are temporarily suspended, bringing the booming aviation industry to a standstill.
Boeing CEO Dave Calhoun expresses his worry for the recovery of the aviation sales. In addition to the pandemic hit, Boeing takes another hit as the joint venture with Embraer SA’s is cancelled. The Boeing 737 Max is challenged by the grounding; cancellations for the Max are already piled up pre pandemic due to a software failure. CEO of Boeing further added that it may take several years from commercial airlines to recover from the huge drop-off caused by the coronavirus pandemic, to stay afloat Boeing may need to borrow money and perform severe job and production cuts.
Airbus solution to “bleeding cash at an unprecedented speed” is to furlough 3,200 staff from its north Wales site. The biggest aviation manufacturer placed more than 6000 workers in the United Kingdom and France on Government-funded furlough. Mr Faury the Chief Executive Officer also told Airbus’ 1,35,000 staff to brace for potentially deep job cuts. The sales of Airbus have drastically reduced as Airbus reduces jet production to cope with the coronavirus crisis.
The Aviation sales have drastically reduced due to coronavirus and the biggest manufacturers are fighting to stay afloat. They are fighting to survive against the pandemic where no win is guaranteed.
Khushi Mehra [BBA Aviation]
Asst Manager [ Aviation ]
AirCrews Aviation Pvt Ltd