General Aviation Manufacturers Set Another Record

FLYING Staff

Wednesday, May 21, 2008 at 08:00 AM ET

Verified

Key Takeaways:

The general aviation industry achieved record billings of $21.9 billion worldwide in 2007, marking a 16.5% increase from the previous year, primarily driven by significant growth in business jet and turboprop shipments.
Despite the overall surge, deliveries of piston-powered airplanes experienced a slight decline of 2.9% in 2007.
The U.S. general aviation industry is a strong net exporter, with international sales for turbine aircraft expected to constitute a majority of future deliveries, and the workforce grew by nearly 10%.
Orders for new turbine airplanes remain solid and are backlogged for years, but the industry faces potential concerns regarding FAA reauthorization (user fees), environmental restrictions, and the global economy.

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For the first time the total value of general aviation airplanes delivered in 2007 broke through the $20 billion mark. Thanks to a 28 percent increase in business jet shipments, and an 11 percent growth in the numbers of turboprops, total billings by the General Aviation Manufacturers Association were $21.9 billion worldwide, up a whopping 16.5 percent from the 2006 figure. A total of 4,272 airplanes were shipped last year, giving the average airplane a value of more than $5 million.

The only downbeat news in the GAMA report was a 2.9 percent decline in the number of piston-powered airplanes delivered in 2007. That total number slipped from 2,755 to 2,675. Part of the explanation is a slowdown in deliveries at Columbia while Cessna was completing its acquisition of that company. Also, in past economic downturns piston airplane sales slowed long before there was any measurable dip in jet and turboprop deliveries.