Overall Deliveries Rise On Strong Turbine Demand
On Thursday, the General Aviation Manufacturers Association
(GAMA) reported worldwide deliveries of general aviation airplanes
for the first nine months of 2008... and while the overall report
continues to be positive, there's no denying this is a tough time
to be a manufacturer of piston-engined aircraft.
A total of 2,977 airplanes were shipped in the first three
quarters, valued at $18.2 billion, compared to 2,918 units valued
at $15.1 billion during this same period in 2007. That surge comes
on continued strong demand for turbine-powered aircraft, at the
expense of planes powered by reciprocating engines.
Piston-powered airplane shipments totaled 1,646 units compared
to 1,857 units delivered in the first three quarters of 2007, an
11.4 percent decrease. Turboprop shipments increased from 300 units
in the first three quarters last year to 341 units in 2008.
Business jet shipments totaled 990 units in the first three
quarters of 2008, a 30.1 percent increase over the 761 units
delivered during this same period in 2007.
Despite the positive report for the market as a whole, GAMA
President and CEO Pete Bunce cautioned the good times may be coming
to an end, given the shaky state of the US and global
economies.
"Notwithstanding these positive third quarter numbers for
turbine powered aircraft deliveries, our industry is experiencing
difficulties due to the weakness of the global economy," said
Bunce. "Reacting to the lead and lag nature of this economic
slowdown, several companies have announced layoffs and are working
very aggressively to retain orders and encourage new ones. Even as
the price of fuel has declined from the debilitating high levels we
saw this past summer, the uncertainty of financial markets
worldwide is negatively impacting the entire aviation
industry."
All piston aircraft manufacturers listed on GAMA's 2007 and 2008
reports saw declining sales through the first three quarters of
2008, with three exceptions. Liberty Aerospace held steady at 28
deliveries of its XL2 for the same periods in 2007 and 2008, while
Australia's Gippsland Aeronautics saw a two-aircraft uptick in YTD
deliveries for its GA8 Airvan. And Piper Aircraft saw a healthy
increase in its overall sales solely on strong demand for its
Malibu Matrix... which offset steep declines in deliveries of
Piper's other piston lines, and even a slight decrease in Meridian
turboprop deliveries.
Unfortunately, that's where the good news ends for piston
aircraft. Cessna posted declining delivery numbers for its entire
piston line... including a 43 aircraft drop in deliveries of the
newly-rebadged 350 and 400 lines, compared with deliveries of those
aircraft through the first three quarters of 2007 while still
branded as Columbias.
Market rival Cirrus has delivered 36 fewer aircraft this year,
than over the same period in 2007.
Bunce pointed to those declining numbers in calling on the
government to help spur GA sales. "GAMA is committed to working
with the US Congress and the Administration to utilize measures
that in the past have helped stimulate aircraft orders. At the same
time, we will urge US government entities, as well as the European
Commission and Parliament, not to enact new regulation or implement
policies without a full assessment of the economic burden that
would be imposed on aviation operators, manufacturers or their
employees."