The global aircraft market is undergoing a significant transformation, driven by the rebound in air travel, heightened geopolitical tensions, regulatory shifts, and an industry-wide push toward efficiency and sustainability.

These forces are reshaping competitive dynamics among aircraft manufacturers and influencing long-term investment opportunities in aerospace stocks.

The companies best positioned to capitalize on future demand for new, fuel-efficient aircraft are those that combine technological innovation, strategic partnerships, and regional market adaptation, particularly in high-growth areas such as Asia-Pacific, Africa, and the Middle East .

**Key Trends Driving Aircraft Demand** The resurgence in global air travel, following the COVID-19 pandemic, is a primary catalyst for increased aircraft demand.

The World Travel and Tourism Council projects the global travel and tourism sector will reach $9.5 trillion in 2023, nearly returning to pre-pandemic levels, with robust demand fueled by expanding middle classes in emerging markets like India and China .

Airlines are responding by modernizing fleets, prioritizing fuel-efficient and sustainable aircraft to meet regulatory requirements and consumer expectations .

Sustainability is a central theme, with the aviation industry targeting net-zero carbon emissions by 2050, as mandated by the International Civil Aviation Organization (ICAO) and supported by regional regulatory frameworks .

Sustainable aviation fuel (SAF) is a critical lever, capable of reducing lifecycle greenhouse gas emissions by up to 80% compared to conventional jet fuel .

The SAF market is projected to grow at a compound annual growth rate (CAGR) of 72.4%, reaching nearly $3 billion by 2027, though current production remains a fraction of total demand and costs are significantly higher than traditional fuels .

Technological innovation is accelerating, with manufacturers investing in advanced materials, aerodynamic improvements, and next-generation propulsion systems.

Digitalization, artificial intelligence, and predictive maintenance are enhancing operational efficiency and reducing costs, while additive manufacturing (3D printing) enables lighter, more efficient components .

The rise of urban air mobility (UAM) and electric vertical take-off and landing (eVTOL) aircraft is also reshaping the market, with the UAM sector projected to reach $1.5 trillion by 2040 .

**Regional Market Dynamics** The Asia-Pacific region is the most significant driver of future aircraft demand.

The number of commercial aircraft in Southeast Asia is expected to nearly triple from 1,600 to 4,200 over the next two decades, with a 5.3% annual growth rate in passenger and cargo travel .

China, India, and Japan are leading this expansion, supported by economic development and rising air traffic.

India, in particular, is emerging as a major aviation market, with airlines like Indigo and Air India placing large aircraft orders and the government pushing for domestic assembly lines .

Africa’s aviation market is projected to grow at an annual rate of 5.7% over the next 20 years, outpacing the global average.

This growth is driven by economic expansion, urbanization, and initiatives like the Single African Air Transport Market (SAATM), which promotes open skies policies and regional integration .

However, challenges such as infrastructure limitations, regulatory disparities, and high operating costs persist .

The Middle East is also a key growth region, fueled by infrastructure development and tourism.

Europe remains the highest revenue-generating region in aircraft leasing, while North America maintains a significant market share due to its established aviation infrastructure .

**Aircraft Leasing and Financing Trends** Aircraft leasing is a critical enabler of fleet modernization, offering airlines cost-effective and flexible access to new, fuel-efficient aircraft.

The global aircraft leasing market is projected to exceed $453.2 billion by 2026, growing at a CAGR of 6.8% .

Major lessors such as AerCap, SMBC Aviation Capital, Avolon, and Air Lease Corporation are consolidating their positions, with SMBC’s $6.7 billion acquisition of Goshawk Aviation making it the second-largest player globally .

These companies are strengthening their order books with modern, fuel-efficient aircraft to meet future demand .

Asia-Pacific, especially China and India, offers substantial growth potential for leasing, though India faces regulatory challenges that increase lease costs and reduce competitiveness .

Africa and Latin America also present opportunities, driven by economic development and tourism growth .

**Competitive Strategies of Major Manufacturers** Airbus, Boeing, Embraer, and emerging players are at the forefront of the next wave of aircraft deliveries.

Airbus is actively innovating in aircraft design, focusing on lighter, bionic cabin structures that could reduce weight by up to 40%, directly improving fuel efficiency .

The company is also partnering with Neste to enhance SAF availability and aims to certify aircraft capable of operating on 100% SAF by the end of the decade .

Airbus’s strong presence in Asia-Pacific and Europe, combined with its focus on sustainability, positions it as a leader in the market .

Boeing remains a major player but faces headwinds due to ongoing safety investigations and supply chain disruptions, particularly related to the Russia-Ukraine conflict and titanium supply .

Boeing’s CEO has emphasized the need to resolve production issues to meet future demand for sustainable aircraft .

The company is also investing in digital solutions, such as the FliteDeck Advisor, which has demonstrated significant fuel savings and CO2 emission reductions in partnership with Etihad Airways .

Embraer, through its subsidiary Eve Air Mobility, is capitalizing on the UAM trend by building a factory in Brazil to manufacture eVTOLs, with orders for 2,850 aircraft worth approximately $1.5 billion .

Embraer’s regional focus and innovation in electric aviation position it well for growth in both traditional and emerging markets .

General Electric’s aerospace division is expected to grow substantially, supported by strong aftermarket revenue from aircraft engines.

Barclays analysts have set a price target of $175 for GE Aerospace, implying nearly 19% upside over the next year .

Pratt & Whitney, a GE competitor, is collaborating with NASA on the HyTEC project to develop advanced engine technologies compatible with SAF, underscoring a strategic commitment to sustainable propulsion .

Emerging players such as Archer Aviation, Joby Aviation, Lilium, and Volocopter are advancing eVTOL development, targeting urban mobility and last-mile delivery in congested cities .

Archer, for example, plans to begin commercial operations by 2025 and has secured significant orders from United Airlines and the U.S.

Air Force .

These companies are attracting substantial investment and forming strategic partnerships with traditional manufacturers and airlines .

**Impact of Geopolitical and Regulatory Factors** Geopolitical tensions, such as the Russia-Ukraine conflict and U.S.-China trade disputes, are reshaping supply chains and market access.

Russia’s role as a key supplier of titanium is critical for aircraft manufacturing, and disruptions have complicated operations for Boeing and Airbus .

The U.S.-China trade war has constrained Boeing’s business in China, allowing Airbus to secure major deals in the region .

Regulatory changes are accelerating the adoption of sustainable practices.

The ICAO’s net-zero target and regional mandates for SAF blending are driving manufacturers and airlines to innovate and invest in new technologies .

Governmental support, such as the Biden Administration’s goal to produce at least 3 billion gallons of SAF annually by 2030, underscores policy-level commitment to sustainable aviation .

**Technological Advancements and Operational Efficiency** Artificial intelligence, data analytics, and digitalization are transforming aircraft maintenance and operational efficiency.

Predictive maintenance, enabled by AI, minimizes downtime and optimizes schedules, leading to cost savings and improved aircraft availability .

Digital tools like Boeing’s FliteDeck Advisor and SITA’s operations-as-a-service model enhance fuel efficiency and operational reliability .

Robotics, virtual assembly, and augmented reality are further

The global aircraft market is undergoing a significant transformation, driven by the rebound in air travel, heightened geopolitical tensions, regulatory shifts, and an industry-wide push toward efficiency and sustainability.

The global aircraft market is undergoing a significant transformation, driven by the rebound in air travel, heightened geopolitical tensions, regulatory shifts, and an industry-wide push toward efficiency and sustainability.

The global aircraft market is undergoing a significant transformation, driven by the rebound in air travel, heightened geopolitical tensions, regulatory shifts, and an industry-wide push toward efficiency and sustainability.

These forces are reshaping competitive dynamics among aircraft manufacturers and influencing long-term investment opportunities in aerospace stocks.

These forces are reshaping competitive dynamics among aircraft manufacturers and influencing long-term investment opportunities in aerospace stocks.

These forces are reshaping competitive dynamics among aircraft manufacturers and influencing long-term investment opportunities in aerospace stocks.

The companies best positioned to capitalize on future demand for new, fuel-efficient aircraft are those that combine technological innovation, strategic partnerships, and regional market adaptation, particularly in high-growth areas such as Asia-Pacific, Africa, and the Middle East .

Title:

Content: Global aircraft leasing faces a new shake-up after SMBC Aviation Capital's deal to buy smaller rival Goshawk Aviation for $6.7bn (€6.34bn).

The move comes as firms report a stronger-than-expected recovery — but one increasingly overshadowed by inflation, rising borrowing costs, and the effects of the conflict in Ukraine.

SMBC's deal puts it in the number two industry spot globally, leapfrogging Dublin-based rival Avolon, behind AerCap.

The long-awaited agreed takeover of Goshawk could increase pressure on smaller rivals to follow suit as funding costs rise with higher interest rates, analysts said. Consultant Paul O'Driscoll of advisory firm Ishka told Reuters:

It means only the biggest and strongest lessors can compete at the levels you need to compete at to win.

Leasing companies now control more than half the world's fleet of aircraft and bankers say private equity firms are also hovering over at least one lessor as the industry matures.

SMBC chief executive Peter Barrett, among the crop of leaders that emerged to run the Dublin-led aircraft leasing industry from the roller-coaster empire of Irish tycoon Tony Ryan, has said he expects the industry's growth to continue.

Speaking at the Airfinance Journal conference in Dublin recently, Mr Barrett told delegates that a series of industrial and economic crises would reshuffle the deck.

He did not address longstanding rumours of a tie-up with Goshawk at the event, one of a pair of back-to-back conferences in the world's air- leasing capital.

"You need the motivation of sellers and that is going to change, also because of increased funding costs. That's going to be a factor in whether owners hold these assets or trade them," Mr Barrett told the conference.

AerCap chief executive Aengus Kelly, who shook up the industry by buying ILFC in 2013 and then GECAS last year to secure the number one spot, said size brings increased clout in crucial negotiations with repair shops and jet makers.

"You're just at a different level to the rest of the industry," Mr Kelly told the Airline Economics conference.

"No one wants to do consolidation just to get bigger for the sake of getting bigger... but I would say it's going to be something that will happen over time."

Leasing pioneer Steven Udvar-Hazy, however, warned against deals for their own sake.

"It's not going to change the total worldwide need for aircraft. It's just a redistribution of who's supplying those aircraft to the airlines," the executive chairman of US-based Air Lease Corp ALN said.

We'd rather add more airplanes than more staff and more bureaucracy. So we'll continue to look at it and if there's a golden opportunity will grab it.

After a two-year absence during the Covid pandemic, delegates at the Dublin conferences trumpeted rising demand.

The speed of the US recovery in air travel has defied expectations, flouting amber warnings from higher interest rates to inflation, high oil prices, and geopolitical risk.

For now, there are shortages of key aircraft after Boeing's two-year 737 MAX safety grounding, then Covid-19 and most recently the confiscation of hundreds of planes in Russia.

Even wide-body jet markets are seeing more tightness after years of oversupply, Mr Kelly told analysts.

Higher ticket prices

Lessors warned airlines they were ready to pass on higher funding costs, which for travellers means higher ticket prices.

"The lessors after many years have leverage over lease rates," said Marjan Riggi, senior managing director for corporate aviation at Kroll Bond Rating Agency.

Whether and how quickly inflation and lower disposable incomes could come back to bite the industry is unclear.

Reuters

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Title:

Content: Global sustainable aviation fuel market size to reach USD 2987.5 million valuation by 2027

The latest business intelligence report on ‘global sustainable aviation fuel market’ presents an unbiased analysis of the industry augmentation history and forecast statistics for 2021-2027.

Pune, INDIA

Pune, India, Oct. 28, 2021 (GLOBE NEWSWIRE) -- According to credible sources, global sustainable aviation fuel market size was remunerated at USD 66 million in 2020 and is estimated to record a strong CAGR of 72.4% over 2021-2027, eventually reaching a valuation of USD 2987.5 million by the end of study period.

Proceeding further, the research literature studies the market from the perspective of fuel type, biofuel blending capacity, biofuel manufacturing technology, platform, and geographies to highlight the key areas for investment during the forecast period. Moreover, it explicates the competitive landscape on the basis of the strategies, financials, and recent developments of the leading players in this business sphere.

With increasing environmental awareness, the aviation sector is looking to reduce carbon footprints and lower GHG emissions, hence adopting alternative solutions like renewable jet fuels, hybrid-electric and all-electric aircraft, enhancing aero-engine efficiency through design adjustments, and many more.

Request Sample copy of this Report @ https://www.marketstudyreport.com/request-a-sample/4219606/

However, when compared to other solutions, adoption of sustainable aviation fuels like synthetic fuels, e-fuels, bio jet fuels, green jet fuels, and hydrogen fuels is one of the most practical alternative solutions when it comes to socio-economic benefits and contributes notably to mitigating current and future aviation environmental impacts.

Moreover, airlines across the aviation sector are extending their commercial fleets due to increase in air travel. These factors are majorly driving global sustainable aviation fuel market growth.

For instance, Gevo, Inc. and Trafigura Trading LLC, entered into a binding renewable hydrocarbon purchase and sale agreement in August 2020. Trafigura will be capable of providing SAF to both domestic as well as foreign clients, having rising demand for low-carbon jet fuel.

Geographical outlook

Analysts cite that North America is likely to serve as a lucrative growth avenue for the worldwide sustainable aviation fuel industry participants throughout the study period, as countries such as the U.S. and Canada, are focusing on various programs to use renewable aviation fuel to assist in reducing carbon footprints due to increased air traffic and flying passengers.

Commercial Aviation Alternative Fuel Initiative (CAAFI), Canada's Biojet Supply Chain Initiative, and Midwest Aviation Sustainable Biofuels Initiative (MASBI) are some of the sustainable aviation fuel efforts that are undertaken by countries including the U.S. and Canada.

Moreover, North American market is one of the robust demand areas for sustainable aviation fuel owing to supportive regulations and measures to reduce aviation emissions.

To access a sample copy or view this report in detail along with the table of contents, please click the link below:

https://www.marketstudyreport.com/reports/global-sustainable-aviation-fuel-market-size-research

Global Sustainable Aviation Fuel Market, by Fuel Type (Revenue, USD Million, 2018-2027)

  • Biofuel
  • Hydrogen Fuel
  • Power to Liquid Fuel

Global Sustainable Aviation Fuel Market, by Biofuel Manufacturing Technology (Revenue, USD Million, 2018-2027)

  • Hydroprocessed Fatty Acid Esters and Fatty Acids - Synthetic Paraffinic Kerosene (HEFA-SPK)
  • Fischer Tropsch Synthetic Paraffinic Kerosene (FT-SPK)
  • Synthetic Iso-paraffin from Fermented Hydroprocessed Sugar (HFS-SIP)
  • Fischer Tropsch (FT) Synthetic Paraffinic Kerosene with Aromatics (FT-SPK/A)
  • Alcohol to Jet SPK (ATJ-SPK)
  • Catalytic Hydrothermolysis Jet (CHJ)

Global Sustainable Aviation Fuel Market, by Biofuel Blending Capacity (Revenue, USD Million, 2018-2027)

  • Below 30%
  • 30% to 50%
  • Above 50%

Global Sustainable Aviation Fuel Market, by Platform (Revenue, USD Million, 2018-2027)

  • Commercial Aviation
  • Military Aviation
  • Business & General Aviation
  • Unmanned Aerial Vehicle

Global Sustainable Aviation Fuel Market, Regional Terrain (Revenue, USD Million, 2018-2027)

Asia Pacific

  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Rest of Asia-Pacific

Latin America

  • Mexico
  • Brazil

North America

  • U.S.
  • Canada

Europe

  • U.K.
  • France
  • Germany
  • Italy
  • Spain
  • Rest of Europe

Rest of the World

Global Sustainable Aviation Fuel Market, Competitive Dashboard (Revenue, USD Million, 2018-2027)

  • S.G. Preston Company
  • Red Rock Biofuels LLC
  • Aemetis Inc.
  • Velocys plc
  • Fulcrum BioEnergy Inc.
  • SkyNRG BV
  • World Energy LLC
  • Eni S.p.A.
  • Gevo Inc.
  • Neste Oyj

Table of Content:

Chapter 1. Executive Summary

1.1.         Market Snapshot

1.2.         Global & Segmental Market Estimates & Forecasts, 2019-2027 (USD Million)

1.2.1.     Sustainable Aviation Fuel Market, by Region, 2019-2027 (USD Million)

1.2.2.     Sustainable Aviation Fuel Market, by Fuel Type, 2019-2027 (USD Million)

1.2.3.     Sustainable Aviation Fuel Market, by Biofuel Manufacturing Technology, 2019-2027 (USD Million)

1.2.4.     Sustainable Aviation Fuel Market, by Biofuel Blending Capacity, 2019-2027 (USD Million)

1.2.5.     Sustainable Aviation Fuel Market, by Platform, 2019-2027 (USD Million)

1.3.         Key Trends

1.4.         Estimation Methodology

1.5.         Research Assumption

Chapter 2. Global Sustainable Aviation Fuel Market Definition and Scope

2.1.         Objective of the Study

2.2.         Market Definition & Scope

2.2.1.     Scope of the Study

2.2.2.     Industry Evolution

2.3.         Years Considered for the Study

2.4.         Currency Conversion Rates

Chapter 3. Global Sustainable Aviation Fuel Market Dynamics

3.1.         Sustainable Aviation Fuel Market Impact Analysis (2019-2027)

3.1.1.     Market Drivers

3.1.1.1. Rising need for reduction in GHG emissions in aviation industry

3.1.1.2. Growing air passenger traffic

3.1.1.3. High fuel efficiency of SAF

3.1.2.     Market Challenges

3.1.2.1. Price difference between SAF and conventional jet fuel

3.1.3.     Market Opportunities

3.1.3.1. Increasing demand for SAF by airlines over the world

3.1.3.2. Sustainable marine fuel

3.1.3.3. Government initiatives

Chapter 4. Global Sustainable Aviation Fuel Market Industry Analysis

4.1.         Porter's 5 Force Model

4.1.1.     Bargaining Power of Suppliers

4.1.2.     Bargaining Power of Buyers

4.1.3.     Threat of New Entrants

4.1.4.     Threat of Substitutes

4.1.5.     Competitive Rivalry

4.1.6.     Futuristic Approach to Porter's 5 Force Model (2018-2027)

4.2.         PEST Analysis

4.2.1.     Political

4.2.2.     Economical

4.2.3.     Social

4.2.4.     Technological

4.3.         Investment Adoption Model

4.4.         Analyst Recommendation & Conclusion

Chapter 5. Global Sustainable Aviation Fuel Market, by Fuel Type

5.1.         Market Snapshot

5.2.         Global Sustainable Aviation Fuel Market by Fuel Type, Performance - Potential Analysis

5.3.         Global Sustainable Aviation Fuel Market Estimates & Forecasts by Fuel Type 2018-2027 (USD Million)

5.4.         Sustainable Aviation Fuel Market, Sub Segment Analysis

5.4.1.     Biofuel

5.4.2.     Hydrogen Fuel

5.4.3.     Power to Liquid Fuel

Chapter 6.vGlobal Sustainable Aviation Fuel Market, by Biofuel Manufacturing Technology,

6.1.         Market Snapshot

6.2.         Global Sustainable Aviation Fuel Market by Biofuel Manufacturing Technology, Performance-Potential Analysis

6.3.         Global Sustainable Aviation Fuel Market Estimates & Forecasts by Biofuel Manufacturing Technology, 2018-2027 (USD Million)

6.4.         Sustainable Aviation Fuel Market, Sub Segment Analysis

6.4.1.     Hydroprocessed Fatty Acid Esters and Fatty Acids - Synthetic Paraffinic Kerosene (HEFA-SPK)

6.4.2.     Fischer Tropsch Synthetic Paraffinic Kerosene (FT-SPK)

6.4.3.     Synthetic Iso-paraffin from Fermented Hydroprocessed Sugar (HFS-SIP)

6.4.4.     Fischer Tropsch (FT) Synthetic Paraffinic Kerosene with Aromatics (FT-SPK/A)

6.4.5.     Alcohol to Jet SPK (ATJ-SPK)

6.4.6.     Catalytic Hydrothermolysis Jet (CHJ)

Chapter 7. Global Sustainable Aviation Fuel Market, by Biofuel Blending Capacity,

7.1.         Market Snapshot

7.2.         Global Sustainable Aviation Fuel Market by Biofuel Blending Capacity, Performance-Potential Analysis

7.3.         Global Sustainable Aviation Fuel Market Estimates & Forecasts by Biofuel Blending Capacity, 2018-2027 (USD Million)

7.4.         Sustainable Aviation Fuel Market, Sub Segment Analysis

7.4.1.     Below 30%

7.4.2.     30% to 50%

7.4.3.     Above 50%

Chapter 8. Global Sustainable Aviation Fuel Market, by Platform,

8.1.         Market Snapshot

8.2.         Global Sustainable Aviation Fuel Market by Platform, Performance-Potential Analysis

8.3.         Global Sustainable Aviation Fuel Market Estimates & Forecasts by Platform, 2018-2027 (USD Million)

8.4.         Sustainable Aviation Fuel Market, Sub Segment Analysis

8.4.1.     Commercial Aviation

8.4.2.     Military Aviation

8.4.3.     Business & General Aviation

8.4.4.     Unmanned Aerial Vehicle

Chapter 9.   Global Sustainable Aviation Fuel Market, Regional Analysis

Related Report:

Aviation Fuel Market Size, Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2019 – 2026

Global Aviation Fuel Market is expected to exceed USD 325 billion by 2026. The rising construction and expansion of airports coupled with rising production and delivery of aircrafts are driving the market share. Latin America and Middle East & Africa will witness healthy growth in the aviation fuel market share owing to increasing tourism. Recovering economy in Latin America with cross border merger of the airliners will further fuel the industry demand. Steady growth in air traffic will positively influence the product penetration. Increasing demand of business jets in the MEA is the prime factor driving the regional growth. Few of the major players operating in the aviation fuel market include Shell, BP, Chevron, Gazprom, Reliance Petroleum, and IOCL among others. Industry players are entering into strategic agreements and partnerships for expanding their business share. For instance, in November 2019, BP signed a strategic technical services agreement with Sonangol for expanding its business in Angola.

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The Soaring Ambitions Of West Africa's Aviation Industry

Daniel Danino is the CEO and founder of Volta Metals, an international group focused on energy, industry, trading and aviation in EMEA.

The African aviation sector has long been rife with challenges like infrastructural deficiencies and complex regulatory landscapes. Yet, I find it now to be brimming with untapped potential as a wave of transformation is taking over, particularly in West Africa.

Countries such as Nigeria, Ghana, Senegal and Ivory Coast are capturing attention for their efforts to redefine and reenergize both national and regional carriers. Driven by policy reforms, influxes of strategic investments and a renewed commitment to regional collaboration, I see these nations emerging as the new frontrunners in African aviation.

From my experience, they are not just addressing past challenges but revolutionizing aerospace. This article delves into the rise of West Africa's aviation sector, highlighting the factors that earmark this region for sustainable aviation growth.

A Fresh Trajectory: National Airlines Taking Flight Like Never Before

In the past, the story of national airlines in West Africa was often one of mismanagement, crippling debt and endless challenges. Such issues had been widely documented, casting a pall over the sector's future. However, I believe that the narrative is quickly changing, and today, I see these airlines grabbing headlines for more optimistic reasons.

Take Air Senegal as a shining example. It has ambitiously expanded its footprint, launching new routes to European cities such as Paris and Barcelona. By strategically capturing both leisure and business markets, Air Senegal is creating a vibrant space for itself in international aviation. It's not merely an airline; it's becoming a global ambassador for Senegalese and, by extension, West African tourism and trade.

Then there's Nigeria Air, which is slated for its much-anticipated launch in 2023. The airline is more than just a new player in the aviation scene; it's envisioned as a game-changer. With plans to operate both domestic and international routes, Nigeria Air is poised to reshape the entire region's air travel. In a country with a population of over 200 million, the airline's potential impact on connecting people and fostering economic growth cannot be overstated.

Furthermore, Ivory Coast's Air Côte d'Ivoire and Ghana's Africa World Airlines are also making noteworthy strides. They are modernizing their fleets, enhancing in-flight services and expanding their route networks to serve not just major capitals but also secondary cities, thereby decentralizing air travel and making it more accessible to the wider population.

This sector in West Africa's resurgence is fueled by a combination of national and regional initiatives, targeted investments, policy reforms and technological advancements. I believe taken together, they signal a transformative trajectory that will continue to draw global notice.

West Africa's Aviation Renaissance: A Multi-Dimensional Resurgence Fueled by Investments, Policies And Technology

Regional airlines, often dubbed the unsung heroes of aviation, are taking center stage. I view carriers like Passion Air in Ghana and Air Burkina as breaking the monopoly of larger airlines by offering flights to less-frequented destinations. This decentralization can have a ripple effect, spurring regional trade and tourism and making travel more accessible to smaller markets.

In terms of investment inflows, in my experience with African business, a blend of investments, policies and infrastructure development is crucial for West Africa's aviation industry to thrive as an economic pillar.

With these falling into place, I believe the landscape is ripe for capital investment. Policies across Africa are increasingly friendly toward investors, leading to significant financial stakes from both domestic and international players. A notable example is Qatar Airways' stake in Air Rwanda, signifying international confidence in the region's aviation potential.

At the heart of this resurgence is a slate of policy reforms aimed at liberalizing the aviation industry. Instruments like the Single African Air Transport Market (SAATM) aim to unify African airspace, lowering operational costs and boosting competition. These policies have become linchpins for industry growth, ushering in an era of increased connectivity and economic synergy.

Adding to this is the impact of technology and infrastructure. Investment in cutting-edge technology for managing flight operations, booking systems and customer service is transforming the passenger experience. Simultaneously, major airport upgrades are underway to improve facilities and security measures, meeting international standards.

For business leaders within West Africa's aviation sector or looking into this sector, I recommend that you focus on tapping into niche markets, especially through regional routes and localized services. By fostering strategic partnerships, utilizing technology, engaging with communities and promoting favorable policies and sustainability, I am certain that you can help meet the demands of modern travelers and align with global trends.

In essence, with a focus on these core strategies, small business owners can significantly influence and benefit from the burgeoning aviation sector in West Africa.

Charting A New Course In West Africa's Aviation Sector: A First-Hand Perspective

Having flown across the African skies for over two decades, specifically focusing on West Africa, I can attest to the groundbreaking transformation the aviation sector is undergoing. In my view, these changes are far from incremental; they are revolutionary and promise to overhaul the landscape of the industry while helping to catalyze regional economic growth.

For example, I've witnessed firsthand how governmental commitments to reforms and significant investments in technology and infrastructure are acting as actionable frameworks to set the course for an aviation ecosystem that's becoming more resilient, inclusive and competitive.

I think small businesses can take advantage of this pivotal moment in influencing regional development at large. I see the region as on the cusp of an industry transformation that can grow along with the increasing demand for goods from the region, adoption of digitization and investments in port infrastructure.

For stakeholders in aviation, your boarding call has sounded and I wouldn't recommend missing this flight—it promises to be an unparalleled journey toward redefining the West African economy.

Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?

Follow me on Twitter or LinkedInCheck out my website

What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

**Key Trends Driving Aircraft Demand** The resurgence in global air travel, following the COVID-19 pandemic, is a primary catalyst for increased aircraft demand.

**Key Trends Driving Aircraft Demand** The resurgence in global air travel, following the COVID-19 pandemic, is a primary catalyst for increased aircraft demand.

**Key Trends Driving Aircraft Demand** The resurgence in global air travel, following the COVID-19 pandemic, is a primary catalyst for increased aircraft demand.

The World Travel and Tourism Council projects the global travel and tourism sector will reach $9.5 trillion in 2023, nearly returning to pre-pandemic levels, with robust demand fueled by expanding middle classes in emerging markets like India and China .

Title:

Content: Southeast Asia Commercial Air Fleet Set To Nearly Triple Over Next 20 Years - Boeing

(@FahadShabbir)

WASHINGTON (UrduPoint News / Sputnik - 12th November, 2022) The number of commercial passenger and cargo aircraft operating in the Southeast Asia region is expected to almost triple from the current 1,600 to 4,200 over the next two decades, Boeing announced in its Commercial Market Outlook (CMO) report.

"To meet a projected long-term growth of 5.3% in passenger and cargo travel in the coming years, the CMO anticipates the region's carriers will need more than 4,200 new commercial airplanes over the next 20 years," Boeing said in the report on Friday. "This represents a huge growth in the current size of Southeast Asia's fleet of 1,600 and would make the region the second largest market in Asia."

Boeing said the CMO projected a return to a rapid rate of growth over the next 20 year.

The CMO report was released at the Association of Asia Pacific Airlines (AAPA) 66th Assembly of Presidents conference in Bangkok.

"Boeing expects the region's passenger traffic will surpass pre-pandemic demand over the next few years. We continue to expect ... tremendous upward mobility in this emerging region, with nearly 70% of all new deliveries in Southeast Asia serving growth in demand over the next 20 years,"

Boeing Commercial Marketing managing regional director for Asia Pacific Dave Schulte said in the report.

Southeast Asia's current fleet and number of commercial flights have increased more than 50% in 2022 compared to 2019 before the pandemic, the report added.

Airlines are responding by modernizing fleets, prioritizing fuel-efficient and sustainable aircraft to meet regulatory requirements and consumer expectations .

What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

What impact shall the carbon tax to be imposed by EU in 2026 have on airlines?

They will accelerate the demand for aircraft replacement.

What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

What impact shall the carbon tax to be imposed by EU in 2026 have on airlines?

They will accelerate the demand for aircraft replacement.

Sustainability is a central theme, with the aviation industry targeting net-zero carbon emissions by 2050, as mandated by the International Civil Aviation Organization (ICAO) and supported by regional regulatory frameworks .

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THE E-PLANE COMPANY

The race is on for the world’s first electric air taxi

By Niharika Sharma

Reporter based in New Delhi.

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An Indian startup has joined the race to fly the world’s first electric air taxi.

In 2020, at least two aviation startups had vowed to launch such a service: UK-based Vertical Aerospace planned to begin operations in 2024 while Germany’s Volocopter, which has been readying vertical-take-off craft, had set a 2023 deadline.

Last November, Volocopter even tested a completely electric vertical takeoff and landing (eVTOL) air taxi—with a crew—in Seoul, South Korea.

India’s ePlane Company has now joined the fray. Incubated at the Indian Institute of Technology Madras (IIT-M), the firm expects to fly the country’s first electric air taxi and cargo transport aircraft sometime in the next two years. The plane, an eVTOL, would be small enough for last-mile delivery, the firm has said.

Co-founded by IIM professor Satya Chakravarthy and his student Pranjal Mehta in 2017, the ePlane Company’s aircraft design and prototypes have to now go through the standard certification process.

“…We plan to put out our prototypes for flight tests starting from later this year and put them through the certification process and work with the stakeholders to spawn the network required for operations alongside,” Chakravarthy said.

ePlane to help with India’s traffic problem

The startup, which raised $1 million in its series A round of funding in 2021, will begin hiring pilots as early as next year and launch operations between two cities—Mumbai and Bengaluru—initially.

“ePlane Company will start with 20-25 aircraft initially to offer a credible urban aerial mobility service before spreading to other cities and adding more aircraft per city progressively,” Chakravarthy said.

Looking to offer smoother and more environment-friendly aerial mobility, he believes that time is the one area where their planes will have an edge over road taxis.

Not only could they help reduce India’s traffic problem these aircraft will reduce travel time by up to 10 times at only 2-3X the cost (of regular cabs). It must be noted here that at least three of the world’s worst cities, in terms of road traffic congestion, are in India, according to a 2021 report by a global location technology specialist. These choked cities are Mumbai, Bengaluru, and Delhi.

However, the question then arises: Why hasn’t anybody in India tried operating an electric air taxi yet?

How close is an electric air taxi to reality?

Flying an electric plane is likely to be far more challenging than operating electric automobiles. An appropriately-sized battery that strikes a balance between weight and duration of charge is only the first of these challenges.

Even the successful operations conducted in other parts of the world were limited in duration. Volocopters’ Seoul test flight, for instance, flew only three kilometres in five minutes.

There are other issues as well.

India’s nascent EV sector is already faced with serious safety concerns fueled by a series of blazes across the country over the past few months. Although that hasn’t disheartened Chakravarthy’s five-year-old enterprise.

“Planes go through a stringent certification process. There is quite a good deal of maturity in understanding the limitations of Li-ion batteries that inform the standards adopted for electric aircraft certification today,” said e-Place Company’s founder.

The designs of his company’s eVTOL aircraft, he said, are based on thorough simulations and battery testing of the internationally used cells.

The likely small market size—EVs constitute a mere 1% of India’s automobile sales—for such a service doesn’t bother him either.

“The EV industry is still mostly following an ownership model, whereas this is going to be based on a ride-share model for mass adoption. So, the nascency of the EV industry does not have much to do with electric planes. They are parallel efforts,” Chakravarthy said.

India’s traditional aviation players will soon be taking the EV route, he predicted.

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Is 3D Printing The Sustainable Manufacturing Solution?

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3D printing, or additive manufacturing (AM) as it is called in industrial applications, is gaining a foothold in factories and shop floors across the country. Compared to traditional manufacturing, it can be faster, cheaper, and more flexible, but how sustainable is it? Can it help companies like GE, Siemens, and Volkswagen — companies that have both adopted AM and pledged to lower their carbon footprint — achieve their sustainability goals?

A new tool out this week from Ampower, an EU-based additive manufacturing think tank and consultancy, is designed to help companies measure the energy consumption and CO2 emission of metal 3D printing.

The company’s new Sustainability Calculator is a tool for manufacturers to input and compare various metal material choices and AM technology combinations to determine the resulting CO2 emissions. Customization options and overrides can account for choices made throughout a globally distributed process chain.

“There is no general answer to which manufacturing technology has the lowest carbon footprint,” Ampower says in its new report Sustainability of Metal Additive Manufacturing, since the overall footprint is heavily influenced by the type of metal and the part geometry. However, in comparing two like parts: 1,000 brackets designed to be milled vs. 1,000 similar brackets designed to be 3D printed, the calculator found that sand casting had the lowest CO2 emissions when the parts are made in aluminum. But change the material, and the equation shifts. The same brackets traditionally milled in titanium result in CO2 levels twice as high as AM technologies, such as laser powder bed fusion and binder jetting.

Comparing sustainability of AM and traditional manufacturing doesn’t end when the part is manufactured, many in the 3D printing industry argue. There’s a knock-on effect with additive manufactured parts that enables conservation far down the value chain. Consider the brackets mentioned above, which are used for aerospace applications.

With aircraft parts, the weight is often linked directly to fuel consumption and, therefore, CO2 emissions. 3D printing technology can create shapes not possible with other technology enabling parts that use less material and weigh less but are equal in strength. AMpower’s example bracket designed for AM pictured below uses less material than the conventionally manufactured version.

“We hope that companies will use the tool to optimize their processes and parts toward low carbon footprint,” says Matthias Schmidt-Lehr, Ampower’s managing partner. “Also, it should bring clarity regarding the question, where additive manufacturing can contribute to a lower footprint, and where traditional technologies are more efficient.”

According to Ampower, a 1-kg weight saving in a plane translates to an annual savings of 2,500 liters of kerosine, and, assuming a 20-year lifespan of an aircraft, this results in savings of up to 126,000 kg of CO2. “Similar savings can be made for many other applications, such as engines, pumps or turbines, where weight reduction or performance increase have a large impact on in-use emission,” says Schmidt-Lehr.

When assessing additive manufacturing as a sustainable win for manufacturing, it’s here, in the end-use applications, where the technology can really shine. “In-use savings of weight or efficiency optimized AM designs can be multitudes larger than the emission from part production itself,” Ampower says in its latest report. “However, in-use savings, if any exist, are strongly dependent on the application.”

In addition to their lighter weight design and part consolidation, which increases efficiency, the fact that most additively manufactured parts are produced locally, eliminating shipping and the associated emissions, is another datapoint in AM’s favor. There’s also the emerging practice of keeping spare-part inventories in digital format ready to be 3D printed on-demand as needed, instead of as physical parts sitting in warehouses.

Looking forward, Ampower says increasing recycling rates in raw material production and new metal powder production technologies from 100% recycled material will have a significant impact on reducing 3D printing’s CO2 footprint even further.

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Sustainable aviation fuel (SAF) is a critical lever, capable of reducing lifecycle greenhouse gas emissions by up to 80% compared to conventional jet fuel .

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Sustainable Aviation Fuel Plays Critical Role In The Quest For Net-Zero Carbon Emissions

Greg Fell, CEO, JETNET. We are the trusted source of information and intelligence for the business aviation community.

I was delighted to read that on March 25, 2022, Airbus performed the first A380 flight powered by 100% sustainable aviation fuel (SAF). As Airbus notes in its press statement, the A380 is actually the third Airbus aircraft type to fly on 100% SAF within the past year. These three flights are important data points in the larger picture of aviation progress and innovation.

Wider adoption of SAF is an essential step on our journey to reducing greenhouse gas (GHG) emissions, which are harmful to our atmosphere. Even though business aviation contributes only a tiny fraction (0.04%) of CO2 emissions, I believe we can play a key role in accelerating the transition to SAF. Business aviation contributes $150 billion to the U.S. economy and employs more than 1.2 million people, according to the National Business Aviation Association (NBAA). We have the influence to punch above our weight, and we are uniquely positioned to serve as authentic role models for positive change.

Sustainable aviation fuel sounds too good to be true, but it is true. The great advantage of SAF is that it is safe, certified and ready to use today. It’s a drop-in source of fuel with the potential to reduce the aviation sector’s carbon footprint. That’s why it's important that we, as an industry, champion the production, availability and use of SAF.

SAF is ready for takeoff.

What precisely is SAF? Here’s a handy definition from the U.S. Department of Energy.

“SAF is a biofuel used to power aircraft that has similar properties to conventional jet fuel but with a smaller carbon footprint. Depending on the feedstock and technologies used to produce it, SAF can reduce life cycle GHG emissions dramatically compared to conventional jet fuel.”

The DOE’s Office of Energy Efficiency and Renewable Energy has estimated that the U.S. has the potential to sustainably collect one billion dry tons of biomass each year, enough to produce 50 to 60 billion gallons of low-carbon biofuels.

SAF also provides benefits that go beyond reducing CO2 emissions. According to Neste, the world's leading producer of SAF, not only does SAF reduce GHG by up to 80% compared to fossil jet fuel use, but it also produces lower particulate emissions and less contrail.

Demand is surging, but will supply catch up?

The global market for SAF is expected to grow substantially, driven by demand across every segment of the aviation industry. Bryan Sherbacow, CEO at Alder Fuels, foresees a future in which renewable fuels are the norm and not the exception. The issue isn’t lack of demand. Most of the aviation executives and operators I speak with are genuinely interested in low-carbon fuel.

What’s missing is a coordinated set of targeted economic incentives and regulatory guidelines that will jumpstart the era of broad SAF adaption. In California, operators can take advantage of state and federal incentives to lower the cost of buying SAF. Oregon and Washington reportedly have similar programs in the queue. Ideally, populous states on the East Coast will follow those examples and create their own programs to encourage wider use of SAF.

Net-zero carbon is the goal.

To be sure, SAF is not the only answer to mitigating GHG emissions. Improvements in airframe and powerplant technologies, along with more efficient modes of operation and targeted economic policies, are also part of the solution. In the near future, we’ll probably see more aircraft powered by electricity. Frankly, I look forward to taking short hops around town in an eVTOL (electric vertical takeoff and landing) vehicle. Further into the future, we may even see aircraft operating on hydrogen fuels.

But those alternatives are still largely in test mode. SAF, on the other hand, is here today and ready for use in jet aircraft. SAF is a drop-in fuel that requires no special modifications or additional infrastructure to store, deliver or use.

“The development and commercial deployment of SAF offers the most promising opportunity for reducing net GHG emissions from aviation operations,” according to Fueling the Future: Sustainable Aviation Fuel Guide, a report created by the Business Aviation Coalition for Sustainable Aviation Fuel.

In the U.S., SAF is now available mainly on the West Coast. But even if you’re operating from an airport that doesn’t provide SAF, you can still take advantage of it through a procedure called “book and claim," which allows business jet operators to buy SAF at an airport where it isn’t physically available and receive credit for the reduction in carbon emissions.

I’ll leave you with this thought: Business aviation is an admired industry, and our hearts are in the right place. Our quest to achieve net-zero carbon emissions before 2050 is both noble and practical. Let’s use our leadership skills in concert with the global aviation community to get the job done. Right now, we need more states in the U.S. to join the cause and create programs that will spur wider adoption of SAF.

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The SAF market is projected to grow at a compound annual growth rate (CAGR) of 72.4%, reaching nearly $3 billion by 2027, though current production remains a fraction of total demand and costs are significantly higher than traditional fuels .

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Content: Recaro is eyeing further deals in the urban air mobility market after becoming the latest seating manufacturer to confirm a contract with an electric vertical take-off and landing (eVTOL) developer.

The German company believes that, if the segment takes off as promised in the next few years, it could represent a major opportunity for the interiors sector.

Source: Recaro

Hiller: ‘exciting new chapter for air transport’

Embraer spin-off Eve has contracted Recaro to design, certificate, and produce 75,000 seats – in shipsets of five – with deliveries starting in the first quarter of 2025.

Schwaebisch Hall-based Recaro describes the move as a “historic milestone” in its 51-year history, “demonstrating its commitment to advancing aviation technology”.

Eve unveiled what it called a “fifth generation” concept interior for its eVTOL aircraft at the 2022 Farnborough air show, with a single pilot seat and seating for four passengers – two forward facing and two rearward, split by a double arm rest. It did not reveal a seat partner at the time.

The aircraft is scheduled to enter service in 2026 and earlier this month the developer released a “teaser video” of its first full-scale, non-conforming prototype as it gears up for production at its facility in Brazil.

Recaro chief executive Dr Mark Hiller describes the eVTOL market as “an exciting new chapter for air transport”, and says his company’s “strengths in lightweight design, superior quality and outstanding ergonomics fit perfectly”.

One other seating manufacturer which has announced a contract with an eVTOL developer is Paris-based Expliseat, which is designing and building crew and passenger seats for the Lilium Jet. Lilium is also working with fellow German outfit Diehl, which will act as integrator for cabin design and components.

Technological innovation is accelerating, with manufacturers investing in advanced materials, aerodynamic improvements, and next-generation propulsion systems.

Technological innovation is accelerating, with manufacturers investing in advanced materials, aerodynamic improvements, and next-generation propulsion systems.

Technological innovation is accelerating, with manufacturers investing in advanced materials, aerodynamic improvements, and next-generation propulsion systems.

Digitalization, artificial intelligence, and predictive maintenance are enhancing operational efficiency and reducing costs, while additive manufacturing (3D printing) enables lighter, more efficient components .

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Content: Friday, 08 September 2023 05:25 GMT

Global Single-Aisle Aircraft Market Is Projected To Reach The Value Of $222.20 Billion By 2030 X Herald

(MENAFN- Ameliorate Digital Consultancy) According to the latest report by Virtue Market Research, in 2022, the Global Single-Aisle Aircraft Market was valued at USD 86.6 billion and is projected to reach a market size of USD 222.20 billion by 2030. Over the forecast period of 2023-2030, the market is projected to grow at a CAGR of 12.5%.

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A prominent long-term driver for the Single-Aisle Aircraft market is the growing global demand for air travel. Even though the COVID-19 pandemic had a severe impact on the aviation industry, the long-term trend remains robust. The demand for single-aisle aircraft is fueled by several factors, including the expansion of low-cost carriers, increasing urbanization, and rising middle-class populations in emerging economies.

The COVID-19 pandemic had an unprecedented impact on the aviation sector, leading to grounded fleets, reduced passenger demand, and financial strain on airlines. This setback prompted airlines to rethink their fleet strategies, with some deferring aircraft orders and retiring older aircraft to cut costs. Additionally, the pandemic accelerated the adoption of safety and hygiene measures in aircraft cabins, leading to increased investments in cabin air filtration and touchless technologies.

A notable short-term driver for the Single-Aisle Aircraft market is the rebound in domestic and regional air travel. As countries reopen their borders and vaccination efforts progress, there is a growing preference for shorter flights, leading to increased demand for single-aisle aircraft. Airlines are reactivating grounded aircraft and placing orders for new, fuel-efficient models to meet this surge in regional travel.

An exciting opportunity in the Single-Aisle Aircraft market is the development of next-generation, fuel-efficient aircraft. With a growing emphasis on sustainability and reducing carbon emissions, aircraft manufacturers are investing in research and development to create more eco-friendly models. This includes the use of advanced materials, aerodynamic improvements, and more efficient engines. Airlines that invest in these next-gen aircraft can not only reduce their environmental footprint but also benefit from lower operating costs in the long run.

One of the prominent trends observed in the Single-Aisle Aircraft industry is the rise of digitalization and connectivity. In-flight Wi-Fi, entertainment systems, and integrated passenger services are becoming standard features in modern single-aisle aircraft. Airlines are leveraging these trends to enhance the passenger experience and gain a competitive edge. Additionally, digitalization plays a crucial role in aircraft maintenance and operations, helping airlines optimize their fleet performance and reduce downtime.

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Segmentation Analysis:

The global Single-Aisle Aircraft Market segmentation includes:

By Type of Aircraft: Narrow-Body, Wide-Body, Regional Aircraft

Among these, the Narrow-Body aircraft category stands out as the largest segment. These aircraft are designed for short to medium-haul flights and are favored by airlines for their versatility and cost-efficiency. Narrow-Body aircraft are well-suited for both domestic and international routes, making them the preferred choice for many carriers.

In terms of growth, the Narrow-Body segment takes the lead yet again. The market for Narrow-Body aircraft is witnessing significant expansion due to the increasing demand for regional and domestic travel. Airlines are looking to replace older aircraft with more fuel-efficient and environmentally friendly Narrow-Body models, driving the growth of this segment.

By Engine Type: Turbofan, Turboprop

Among these categories, Turboprop engines are the largest segment. These engines are commonly found in regional aircraft that operate shorter routes and require a different set of performance characteristics compared to their Turbofan counterparts. Turboprop engines are known for their fuel efficiency and reliability, making them a preferred choice for regional carriers.

However, when it comes to growth, Turbofan engines take the lead. The demand for Turbofan-powered Single-Aisle Aircraft is on the rise, driven by the need for higher efficiency, reduced emissions, and greater operational range. Airlines are increasingly opting for Turbofan engines in their narrow-body aircraft to meet the growing demand for longer-haul regional and international flights.

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Regional Analysis:

The Single-Aisle Aircraft market spans across variregions, including North America, Europe, Asia-Pacific, South America, and the Middle East & Africa. Each of these regions has its unique characteristics and influences on the market.

Asia-Pacific emerges as the largest region in this segment. This region encompasses numerfast-growing economies, a burgeoning middle class, and a robust travel and tourism industry. As a result, airlines in Asia-Pacific have been expanding their fleets to meet the increasing demand for air travel. With a foon domestic and regional routes, narrow-body aircraft have been particularly favored in this region, contributing to its leadership in the Single-Aisle Aircraft market.

In terms of growth, Europe takes the lead. Despite being a mature aviation market, Europe is experiencing a surge in demand for narrow-body aircraft, primarily due to the need for more fuel-efficient and environmentally friendly options. European airlines are increasingly looking to modernize their fleets with state-of-the-art single-aisle aircraft, thereby driving the growth of this segment in the region.

The Middle East & Africa region also shows promise in terms of growth, driven by the emergence of airlines in the Middle East as major global players. These airlines are expanding their networks and investing in modern, fuel-efficient narrow-body aircraft to meet the growing demand for long-haul travel.

North America, with its well-established aviation industry, continues to be a significant market for single-aisle aircraft. While it may not be the fastest-growing region, North America remains a stable and vital market for these aircraft, catering to both domestic and international routes.

South America, although a smaller market compared to the other regions, also contributes to the demand for single-aisle aircraft. Airlines in South America are focusing on modernizing their fleets to enhance operational efficiency and reduce emissions.

Latest Industry Developments:

  • One of the key strategies adopted by companies is a strong emphasis on fuel-efficient and environmentally friendly aircraft. With the aviation industry facing increasing pressure to reduce carbon emissions, manufacturers are investing in the development of next-generation single-aisle aircraft with improved fuel efficiency. This includes the use of advanced materials, aerodynamic design enhancements, and the incorporation of more fuel-efficient engines. Furthermore, there is a growing trend towards the electrification of aircraft systems, including electric taxiing systems and more electric aircraft architectures. These innovations aim to reduce the overall carbon footprint of single-aisle aircraft, aligning with global sustainability goals.
  • To enhance their market share, aircraft manufacturers are expanding their global reach and customer base. They are targeting emerging markets with fast-growing air travel demand, such as Asia-Pacific and the Middle East. These regions represent significant opportunities for fleet expansion, especially with narrow-body aircraft designed for short- to medium-haul routes. Another trend is fleet modernization. Airlines, particularly in mature markets like North America and Europe, are retiring older aircraft and replacing them with state-of-the-art single-aisle aircraft. This trend is driven by the need to improve operational efficiency, reduce maintenance costs, and enhance passenger comfort. Manufacturers that offer the latest technology and fuel-efficient options have a competitive advantage in this regard.
  • Connectivity and digital solutions are becoming increasingly important in the aviation industry. Airlines are seeking aircraft equipped with advanced connectivity options to enhance the passenger experience, provide in-flight entertainment, and enable seamless inteaccess. Manufacturers are responding by integrating cutting-edge connectivity solutions into their single-aisle aircraft offerings. Additionally, the use of data analytics and predictive maintenance has gained prominence. Airlines are leveraging data from their aircraft to optimize operations, reduce downtime, and lower maintenance costs. Aircraft manufacturers are incorporating these features into their products to meet the demand for data-driven solutions.

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Virtue Market Research stands at the forefront of strategic analysis, empowering businesses to navigate complex market landscapes with precision and confidence. Specializing in both syndicated and bespoke consulting services, we offer in-depth insights into the ever-evolving interplay between global demand and supply dynamics. Leveraging our expertise, businesses can identify emerging opportunities, discern critical trends, and make decisions that pave the way for future success.

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Content: NASA partners Pratt & Whitney to develop low-emission aviation engine tech

Pratt & Whitney will demonstrate the compatibility of sustainable aviation fuels (SAFs) with advanced combustors for small core engines.

NASA has selected Pratt & Whitney to develop advanced engine technologies to reduce fuel consumption and emissions for next generation single-aisle aircraft. The Hybrid Thermally Efficient Core (HyTEC) project is part of NASA’s Sustainable Flight National Partnership, which will enable breakthrough innovations in support of the aviation industry’s goal to significantly reduce CO2 emissions by 2050.

Through HyTEC, Pratt & Whitney will demonstrate the compatibility of sustainable aviation fuels (SAFs) with advanced combustors for small core engines. The project includes developing and testing the fuel and air mixers for optimal efficiency and then measuring the emissions and noise emitted using Jet A fuel and high blends of SAF.

In the second phase of the HyTEC project, Pratt & Whitney plans to demonstrate a technology-infused core comprised of a high-pressure compressor, high-pressure turbine, and combustor leveraging successes from the first generation GTF core. This phase is planned for 2024 through 2027 and will provide critical learning and increased maturation of the core prior to the next program launch.

Geoff Hunt, senior vice president, Engineering and Technology, at Pratt & Whitney said “Aviation is moving toward a greener, cleaner future. Our partnership with NASA on HyTEC will allow Pratt & Whitney engineers to explore new technologies that will help make future aircraft propulsion systems even more sustainable.”

In October 2021, NASA awarded Pratt & Whitney two contracts under the HyTEC project to develop technologies for a high-pressure turbine that will include next generation ceramic matrix composites (CMC) materials capable of operating at higher temperatures than current CMCs, environmental barrier coatings, and advanced cooling and aerodynamic approaches that will enable new component designs and efficiencies.

Hunt added that this award helps Pratt & Whitney continue to develop advanced propulsion technologies that will be ready for the next-generation aircraft in the next decade., “The use of SAF blends is increasing today to 50% and will reach 100% within a few years. This is a key pathway to achieving the industry’s goal of net zero carbon emissions by 2050. Our engine technology continues to improve in efficiency – flying further, with more power and on less fuel. ”

Collaboration between Pratt & Whitney and NASA has already led to several key advances in sustainable propulsion technologies in recent decades, including low-pressure-ratio fans, low-emissions combustors and high-performance hot section. These collaborations have a vital role to play towards developing and maturing technologies that will ultimately help make aviation more sustainable environmentally and economically.

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Content: DUBAI: Boeing (NYSE: BA) has been selected to provide Etihad Airways with the Jeppesen FliteDeck Advisor digital solution for the carrier’s 787 Dreamliner fleet to optimize operational efficiency and reduce fuel consumption.

Etihad has already found benefits from the use of FliteDeck Advisor. During a trial on several of its 787 Dreamliners, the airline found that the digital solution delivered cruise fuel savings of 1.4%, saving an average of 350 kilograms of fuel and 1,100 kilograms of CO2 per flight.

“We have been very pleased with the fuel and cost savings we have achieved with FliteDeck Advisor,” said Sulaiman Yaqoobi, vice president of Flight Operations, Etihad Airways. “FliteDeck Advisor was tested as part of the Etihad Greenliner program, and it is great to now see it deployed across the 787 fleet, helping Etihad achieve efficiency gains and reduce CO2 emissions.”

Since 2019, Boeing and Etihad have collaborated on sustainability efforts centered on the airline's 787 Dreamliner fleet, including on Etihad’s participation in Boeing’s ecoDemonstrator program, where the FliteDeck Advisor solution was initially trialed. In 2021, the two companies renewed and expanded their sustainability alliance to focus on enhancing the efficiency of navigation and flight operations, airframe technologies and sustainable practices to reduce emissions.

Jeppesen FliteDeck Advisor analyzes airplane-specific performance metrics for all Boeing aircraft, including changes over time with aircraft age and maintenance action. The tool enables flight crews to make small, real-time adjustments to their course, altitude, and speed to optimize fuel use and minimize the carbon footprint of each flight.

“Etihad has been a tremendous partner in advancing sustainable aviation technologies, and we are excited to continue providing them with solutions that help them decarbonize their fleet while meeting their commercial goals,” said Duane Wehking, vice president of Digital Aviation Solutions at Boeing Global Services.

Boeing provides several other digital solutions and services to Etihad's 787 fleet including Jeppesen FliteDeck Pro, Jeppesen Crew Rostering and Boeing Wind Updates, which provide crew scheduling, charting, navigation, and flight efficiency capabilities.

With 39 Boeing Dreamliner airplanes currently in operation, Etihad is the largest operator in the Middle East of the 787, a family of airplanes designed with superior efficiency which allows airlines to profitably open new routes to fly people directly where they’d like to go in exceptional comfort.

Boeing’s strategy to decarbonize aerospace is focused on four key areas, spanning fleet renewal, operational efficiency, renewable energy and advanced technology. Within the operational efficiency strategy, Boeing Global Services provides a portfolio of services including data analytics tools to help customers uncover cost or efficiency savings that reduce fuel consumption.

As a leading global aerospace company, Boeing develops, manufactures and services commercial airplanes, defense products and space systems for customers in more than 150 countries. As a top U.S. exporter, the company leverages the talents of a global supplier base to advance economic opportunity, sustainability and community impact. Boeing’s diverse team is committed to innovating for the future and living the company’s core values of safety, quality and integrity. Learn more at www.boeing.com.

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Content: After Boeing’s European archrival revealed a major deal to provide aircraft to Chinese carriers, the U.S.-based planemaker bemoaned its home country’s trade war with China for bruising its business prospects.

“As a top U.S. exporter with a 50-year relationship with China’s aviation industry, it is disappointing that geopolitical differences continue to constrain U.S. aircraft exports,” a Boeing spokesperson said Friday in a statement.

The agreement for Airbus SE to provide 292 planes to Chinese airlines in a deal worth $37 billion is a stark reminder of Boeing’s uncertain standing in one of the world’s largest travel markets. Both Airbus and Boeing have held long-running talks for large narrowbody aircraft orders that would help China replenish and grow its domestic fleet this decade, said a person familiar with the matter.

But, for now, Boeing can only watch as Airbus celebrates an order bonanza that doubles a 290-aircraft deal the European manufacturer struck in March 2019.

“This is China sending a sign, and it hurts Boeing terribly,” said George Ferguson, analyst with Bloomberg Intelligence.

China plays a critical role in Arlington, Virginia-based Boeing’s turnaround efforts after two fatal 737 MAX crashes, one in 2018 and the other in 2019. Regulators in Beijing were the first to ground the Boeing jet after the second tragedy. While China approved the plane’s return at the end of last year, airlines in that country still haven’t resumed using that aircraft for commercial flights or taken any deliveries.

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Boeing is storing around 150 jets that it built but never delivered to China, most of them narrowbody MAX models. Restarting those handovers would generate cash badly needed to pay down its $58 billion debt. Those deliveries also would help make the case to speed Boeing’s 737 production, Ferguson said.

China’s largest carriers have traditionally carefully balanced deals between the aerospace duopoly in order to maintain maximum leverage. The government, which oversees such purchases, tends to reveal them in carefully timed events — like state visits — to punctuate its policies on trade.

“We continue to urge a productive dialogue between the governments given the mutual economic benefits of a thriving aviation industry,” the Boeing spokesperson said. “Boeing aircraft sales to China historically support tens of thousands of American jobs, and we are hopeful orders and deliveries will resume promptly.”

At the market’s peak in 2018, China took around 350 jets in a single year, notes Richard Aboulafia, analyst with AeroDynamic Advisory. By prioritizing China’s deliveries, Airbus could further squeeze Boeing, he said.

“The Chinese are preparing for a comeback just like you’re seeing in the rest of the world, and it’s pretty clear the U.S. is at a disadvantage,” he said.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

The rise of urban air mobility (UAM) and electric vertical take-off and landing (eVTOL) aircraft is also reshaping the market, with the UAM sector projected to reach $1.5 trillion by 2040 .

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Content: Aviation leasing watchdog cuts India’s compliance rating

Aviation Working Group, a UK-based non-profit that monitors leasing and financing laws in the aviation sector downgrades India’s score from 3.5 to 2 out of 5 citing lessors’ tussle with bankrupt budget airline Go First

September 26, 2023 09:54 pm | Updated 09:54 pm IST - NEW DELH

The tail fins of Go First airline, formerly known as GoAir, seen parked on the tarmac at the airport in New Delhi on May 11, 2023 | Photo Credit: REUTERS

I,

A global aviation leasing watchdog has cut India’s compliance rating with international leasing laws and kept the country on a watchlist with a negative outlook amid a dispute between local airline Go First and its aircraft lessors.

The move by the Aviation Working Group (AWG), a UK-based entity that monitors leasing and financing laws, comes as bankrupt budget carrier Go First is locked in a legal tussle with aircraft lessors seeking to repossess jets.

The courtroom battle started after Go First was granted bankruptcy protection in May. Under Indian law, that prevented lessors from recovering 50-plus grounded Airbus planes. The lessors have complained that critical plane parts are now corroding or getting “robbed”.

The AWG said 130 days had passed since the lessors’ request to repossess their aircraft, more than double the maximum waiting period of 60 days according to India’s obligations under the Cape Town Convention, an international treaty protecting the repossession rights of lessors.

India has ratified the Cape Town Convention but is yet to pass a law resolving conflicts with the country’s insolvency and bankruptcy code, which is backed by Parliament.

“The prolonged failure to make remedies, including repossession and deregistration, available to creditors... and provide for asset maintenance and value preservation... negatively impact scoring,” the AWG’s notice said, warning of further rating downgrades.

The AWG, a not-for-profit entity co-chaired by Airbus and Boeing, has reduced India’s score to 2 from 3.5 out of 5. The move could further hurt lessor confidence in the world’s third-largest aviation market, warned AWG, whose members include major lessors and financial institutions such as Aircastle, BOC Aviation, SMBC Aviation Capital, Deutsche Bank, Goldman Sachs and Morgan Stanley.

SMBC, the world’s second-largest aircraft lessor, which also has some planes leased to Go First, warned in May that India’s decision to block leasing firms from reclaiming the airline’s planes would hit lessors’ confidence in that market.

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Title:

Content: SAFETYLIT WEEKLY UPDATE

We compile citations and summaries of about 400 new articles every week.
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Journal Article

Citation

C.s. K, J. AB. Aircraft Engineering and Aerospace Technology 2022; ePub(ePub): ePub.

Copyright

(Copyright © 2022)

DOI

10.1108/AEAT-10-2021-0300

PMID

unavailable

Abstract

PURPOSE The purpose of this study is to analyze the effect of human factor training in aircraft maintenance accident mitigation and aircraft safety in post COVID-19 aviation scenarios. The cause of aircraft accidents and details of three decades of selective aircraft maintenance accidents are analyzed to arrive to the significant aviation safety factor. The effect of COVID-19 pandemic and related technological applications to maintain high standards of safety and their applications in aircraft maintenance with respect to the view of human factors are discussed in details.

DESIGN/METHODOLOGY/APPROACH This paper details the overview of the human errors, error mitigation and need of human factor applications in aircraft maintenance industry for safe air travel. The criticality of aircraft maintenance in keeping aircraft in airworthy condition to provide safe air transportation without delay and to support airline economy is discussed in this study.

FINDINGS The cause of aircraft accidents and details of three decades of selective aircraft maintenance accidents are analyzed to arrive to the significant aviation safety factor. The effect of COVID-19 pandemic and related technological applications to maintain high standards of safety and their applications in aircraft maintenance with respect to the view of human factors are discussed in details. The route of error mitigation and need of high standard technological training with human factor knowledge, to aircraft maintenance students are analyzed in detail with the opportunity of percentages of error reduction.

ORIGINALITY/VALUE This study bridges, gained knowledge for aircraft maintenance error mitigation, current accident rates and future training needs for safest air travel through high standard quality maintenance in aircraft and its systems.

Language: en

Keywords

Air safety; Air travel; Aircraft maintenance; Augmented reality virtual reality; Computer-based maintenance management; COVID-19 aviation; Error mitigation; Human factors; Maintenance safety; Training

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**Regional Market Dynamics** The Asia-Pacific region is the most significant driver of future aircraft demand.

**Regional Market Dynamics** The Asia-Pacific region is the most significant driver of future aircraft demand.

**Regional Market Dynamics** The Asia-Pacific region is the most significant driver of future aircraft demand.

The number of commercial aircraft in Southeast Asia is expected to nearly triple from 1,600 to 4,200 over the next two decades, with a 5.3% annual growth rate in passenger and cargo travel .

Title:

Content: Africa's aviation and air freight sectors are experiencing a remarkable upswing, propelled by the continent's economic expansion, urbanisation trends, and increasing global trade links. Projections indicate the African air transport market will see 5.7% annual growth over the next 20 years, surpassing worldwide averages. While challenges like insufficient infrastructure, connectivity gaps, and regulatory disparities exist, initiatives to enhance air cargo capabilities and catalyse regional integration are gaining momentum to harness Africa's immense prospects.

The African aviation and air cargo industry is undergoing a remarkable renaissance, fueled by rapid economic growth, urbanisation, and the continent's increased integration into global trade networks. As more Africans embrace air travel and businesses look for efficient logistics solutions, the sector is on track for unprecedented growth, resulting in a new era of connectivity and opportunity across the continent.

According to a projection by the World Bank, African economies are expected to grow by 3.4 in 2024. While a data from the International Air Transport Association (IATA), the African air transport market is projected to grow by 5.7% annually over the next two decades, outpacing the global average growth rate of 4.6%. This growth is fueled by a burgeoning middle class, robust economic development, and the continent's vast untapped potential.

The International Air Transport Association (IATA) has recently announced that global air cargo demand continued its robust growth for the fourth consecutive month, with Africa experiencing significant expansion in March 2024, The IATA figures show that African airlines saw a 14 % year-on-year growth in air cargo demand in March 2024.

The growth in air cargo demand, particularly in Africa, has been influenced by various factors. According to IATA, the moderate increase in global cross-border trade and industrial production has contributed to the growth in air cargo demand. The rise in e-commerce activity has also played a significant role in boosting air cargo demand globally, including in Africa. Furthermore, a notable shift from sea freight to air freight has been observed, especially for cargo moving from the Middle East to West Africa, as shippers opt for air freight to avoid the longer sea route. This longer sea voyage has become necessary due to the ongoing crisis in the Red Sea region, forcing ocean carriers to reroute their ships around the Cape of Good Hope instead of transiting through the Suez Canal. As a result, shippers are turning to air freight as a more timely alternative for cargo bound to West African ports from the Middle East.

Air cargo plays a pivotal role in facilitating trade and economic growth in Africa. However, the sector faces significant challenges, including inadequate infrastructure, limited air connectivity, and a lack of harmonised regulations across the continent.

We need to enhance our infrastructural capabilities in terms of multimodality, an area where we as a continent are lagging behind."
Peter Musola, Kenya Airways Cargo

Additionally operating an airline in Africa incurs significantly higher costs compared to other regions, primarily due to the exorbitant expenses associated with fuel and maintenance. “The average operating costs in the continent are about 4 times higher than operating in other jurisdictions,” states Peter Musola, Head of Cargo Commercial, at Kenya Airways Cargo during the recent Flower Logistics Africa and Perishable Logistics Africa events organised by Logistics Update Africa in Nairobi. Moreover, airline charges on the continent are higher, further burdening carriers and impeding their growth.

“Airlines’ cooperation, commercial agreements, and partnerships are essential to improve connectivity. African Airlines Association (AFRAA) route network and cargo coordination is aimed at creating a forum for airlines to cooperate. Another success factor is airline consolidation. Over the past 18 years, the African continent has had the lowest level of market consolidation compared to the other regions in the globe. The engagement of states, airlines, and all the relevant stakeholders is necessary to effectively achieve the required outcomes on airline consolidation in Africa,” says Abderahmane Berthé, Secretary General, AFRAA.

Berthé also highlighted significant factors such as trade and tourism development. He pointed out that intra-Africa trade currently stands at less than 20 percent, in stark contrast to over 50 percent in other regions. Similarly, intra-Africa tourism remains relatively limited, with the focus often being on tourism from non-African regions. Berthé emphasised the importance of facilitating air travel through visa openness, noting that currently, 50 percent of African citizens require a visa to travel within Africa.

Initiatives like the Single African Air Transport Market (SAATM) and the African Continental Free Trade Area (AfCFTA) are aimed at addressing these challenges by promoting open skies policies, liberalising air services, and facilitating the movement of goods across borders.

“In recent years, the air cargo industry in Africa has become one of the fastest-growing sectors; during the next five years, trade is expected to climb by 15-20%. The export of perishable goods, including as flowers from Kenya, fruits from South Africa, and Cairo, is what is fueling the expansion and presents significant potential for economic development throughout the continent. The goal across the African continent is raising quality standards so that African exports can more easily compete with goods coming from South America and other regions of the world. Improving air cargo capacity provides a growth platform for the entire economy – at Swissport, we see our success hand-in-hand with the success of the entire economic ecosystem,” says Racheal Ndegwa, CEO of Swissport Kenya.

When it comes to infrastructure and to support the growth of the aviation and air cargo sectors, African nations are investing heavily in upgrading and expanding their airport infrastructure. Major airport projects are underway in countries like Ethiopia, Nigeria, Kenya, and South Africa, enhancing capacity, improving operational efficiency, and catering to the increasing demand for passenger and cargo services.

Improving air cargo capacity provides a growth platform for the entire economy.”
Racheal Ndegwa, Swissport Kenya

Cargo Hubs and Logistics Parks play a crucial role in the African air cargo logistics sector, particularly in facilitating the efficient movement of goods across the continent. These facilities serve as strategic locations for the sorting, consolidation, and distribution of cargo, enhancing connectivity and reducing transit times.

Ethiopian Cargo has recently inaugurated a new e-commerce logistics facility, investing USD 55 million. This dedicated warehouse, designed for e-commerce goods, mail, and courier services, represents a significant advancement for the African continent's industry. It positions Addis Ababa as the primary cross-border e-commerce logistics hub for Africa and beyond.

"The e-commerce logistics facility is a significant breakthrough for Ethiopian Airlines Group and the entire African economy. We have implemented high-end technologies in the infrastructure that revolutionise the way goods are transported and delivered in the e-commerce industry in Africa. Through this facility, Ethiopian Airlines paves the way for development of e-commerce services in Ethiopia and the African continent. Built on 15,000 square meters of area, the facility boasts a capacity to handle 150,000 tons annually,” says, Mesfin Tasew, CEO of Ethiopian Airlines Group.

“Swissport will keep making investments to improve our capacity to handle cargo with temperature control. Swissport Kenya, one of our worldwide centers of excellence, has improved its perishable center by adding 750 square meters of connected cold warehouses that provide direct access from the airside to the hub of perishables. There is enough for up to 110 airplane pallets in the cold warehouse. Apart from the floral corridor, we've also constructed a vacuum chiller. This enhances our capacity to guarantee the preservation of the cold chain and the safeguarding of the produce's integrity. Additionally, we are modernising our facilities in Dar es Salaam, where Swissport operates the world's largest facility for the export of fresh meat production,” says, Ndegwa of Swissport Kenya.

Image source: Swissport Kenya

During the recent Flower Logistics Africa and Perishable Logistics Africa events organised by Logistics Update Africa in Nairobi, Caleb Kositany, Chairman of the Board of Kenya Airports Authority, emphasised the expansion plans for various airports. These plans encompass major airports such as Jomo Kenyatta International Airport (JKIA), Kisumu International Airport, Eldoret International Airport, and Moi International Airport.

Key among these developments are the construction of a new terminal building at JKIA, the expansion of cargo facilities, and the lengthening of Eldoret's runway.

IATA has introduced the "Focus Africa" initiative with the objective of bolstering the aviation sector's impact on the economic and social advancement of the African continent. This initiative strives to unite resources from public and private stakeholders to achieve its goals.

“Focus Africa" outlines six key areas for advancement: safety, infrastructure, connectivity, finance & distribution, sustainability, and skilled workforce development. The effective implementation of SAATM will play a crucial role in driving progress across these fronts, especially in addressing challenges to improve connectivity within the continent.

Ensuring the highest levels of safety and security is paramount for the aviation industry. Initiatives such as the ICAO's Comprehensive Regional Implementation Plan for Aviation Safety in Africa (AFI Plan) and the African Development Bank's Infrastructure Investment Programme aim to address these issues through targeted investments, capacity building, and regulatory harmonisation.

As the aviation industry continues to grow, addressing its environmental footprint through the adoption of sustainable practices and technologies has also become increasingly important.

African airlines are engaging in a range of attainable initiatives to mitigate the environmental impact of aviation. These efforts encompass the adoption of newer, fuel-efficient aircraft, recycling practices, utilisation of new technologies, development of systems, strategic route and schedule planning, and optimising flight paths to minimise fuel consumption. Some recent examples include Ethiopian Airlines' order of Boeing 777-9 jets.

The e-commerce logistics facility is a significant breakthrough for Ethiopian Airlines Group and the entire African economy.”
Mesfin Tasew, Ethiopian Airlines Group

The airlines are also expanding their capacity. Ethiopian Cargo has recently announced the addition of two freighter destinations to its global network. The airline will offer twice-weekly air cargo service to and from Hyderabad and Ahmedabad. These are Ethiopian Cargo’s fifth and sixth destinations in India, following New Delhi, Mumbai, Chennai, and Bangalore. Meanwhile, Kenya Airways Cargo has put its second Boeing 737-800 freighter into service, aiming to capitalise on the increased capacity to meet the growing sea-air demand to West Africa.

As Africa continues its journey toward economic growth and regional integration, the aviation and air cargo industry will play a pivotal role in unlocking the continent's vast potential. By addressing infrastructural deficiencies, harmonising regulations, and fostering collaboration among stakeholders, African nations can leverage the power of air connectivity to facilitate trade, attract investment, and promote sustainable development.

The future of African aviation and air cargo is one of immense promise, where efficient logistics solutions, technological advancements, and sustainable practices converge to drive economic prosperity and foster greater regional integration. As the world looks to Africa as an emerging market, the skies above the continent will be a vital gateway, connecting businesses, people, and cultures, and propelling Africa toward a brighter and more prosperous future.

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China, India, and Japan are leading this expansion, supported by economic development and rising air traffic.

China, India, and Japan are leading this expansion, supported by economic development and rising air traffic.

China, India, and Japan are leading this expansion, supported by economic development and rising air traffic.

India, in particular, is emerging as a major aviation market, with airlines like Indigo and Air India placing large aircraft orders and the government pushing for domestic assembly lines .

Title:

Content: Design for sustainable AM

Hayley Everett

When it comes to designing for additive manufacturing, what are the key considerations for engineers, and how can these be applied to ensure sustainable product design?

For high-performing industrial applications, lightweighting essentially involves making a part stronger using less material. However, there is usually a trade-off between cost and the method used to achieve this. For instance, with subtractive manufacturing processes, the more you take material out of a structure, the higher the cost due to additional machining operations. However, using additive manufacturing to lightweight a part can decrease its cost, as generally material usage is a big portion of the total manufacturing cost.

In the past, lightweighting attempts have focused largely on replacing materials with other more lightweight alternatives. Now, engineers have entered the next phase of lightweighting by looking at how parts can be re-engineered to take full advantage of new manufacturing methods.

At the core of these efforts is Design for Additive Manufacturing (DfAM), which can be achieved through sophisticated 3D printing engineering software that offers topology optimisation, generative design, and other vital tools to improve part design. nTop (formerly nTopology) is one key player in this field, with its engineering software for advanced manufacturing enabling engineers to design complex parts with 3D printing that were previously impossible. Through the platform, users can design with complexity while encoding the logic of their design for automation.

Considerations for engineers

So, what do engineers need to consider when taking a DfAM approach to lightweighting? Todd McDevitt, Director of Product Management at nTop, explains: “Engineers need to consider how they can design specifically to take advantage of particular additive manufacturing methods. Most design engineers are familiar with conventional manufacturing methods like casting and injection moulding, and there are many similar considerations for designing with these techniques as there are with 3D printing, for example, minimal wall thickness.”

However, there are additional considerations that engineers must take into account when designing a part that will be 3D printed. “When you additively manufacture something, you’re printing layer by layer. So, if you have an arched shape in your structure, you’re going to need to provide some support for that arch during printing,” McDevitt adds. “This is what we call an overhang angle. Assessing and designing for the overhang angle is important, and requires a manufacturing support which becomes part of the printed structure that you need to consider in your design. Manufacturing the support requires additional material and printing time, which you want to try and minimise, so this needs to become part of an engineer’s thought process during the design phase.”

Another important consideration is the print orientation, he continues: “When you’re printing a part layer by layer, the structure is inherently going to be a little bit weaker in the direction in which you are printing, and the structural integrity between the layers might not be as great. So, engineers must think about the orientation of the printing process, which is also important when deciding on the required supports for the print.”

Particularly in regard to cost, being aware of the build volume of the 3D printer to be used is also crucial. “The build volume space is not a commodity, it is expensive. So, you want to pack as many parts into that build volume as possible. This also comes into play with print orientation: by adjusting the print orientation, you have to think about both the strength of the part and how many parts you can get into the build line to print at once.”

More Sustanable design

On a surface level, additive manufacturing can be a more sustainable method of producing lighter parts, as it generally requires less material. However, support materials are still needed to produce many of these parts, and these materials ultimately still end up as waste once they have been removed during post-processing. Therefore, the sustainability of DfAM can be far better assessed by looking at a part’s impact once it is in use, says McDevitt.

“There’s lots of benefits to taking weight out of a product,” he explains. “From an emissions standpoint, taking weight out of a car or airplane can deliver significantly improved fuel efficiency, and this is where the impact on sustainability is huge.”

According to McDevitt, these are the kinds of considerations that engineers must be aware of during the design phase, looking not just at how parts can be produced more sustainably, but also at the impact they will have during their lifecycle once in use. Naturally, there are trade-offs that engineers will face when designing for sustainability, as there is pressure to print parts both economically and quickly, too.

This is usually decided on a case-by-case basis. For instance, in one scenario printing supports could slow down the manufacturing process as removing these supports can be a time-consuming process that requires extra machinery. However, in another scenario, manufacturing supports can actually accelerate the printing process, as the quality of the support material does not matter because it will just be thrown away, meaning the printer can fly through this stage fairly quickly. These considerations all need to be made during the design process, depending on the nature of the part, the ratio of part material to support material, and what each of these materials are made up of.

“Then there are other arguments,” McDevitt continues. “When designing for additive manufacturing, you need to consider where you are putting the printer, environmental control, the printer’s requirements, humidity and other factors, all of which will have an impact on the sustainability of the manufacturing process. Most importantly, though, it is crucial for engineers to take a step back and look at the design of a part not only during the manufacturing process, but also regarding how it will impact the environment throughout its entire life.”

Africa’s aviation market is projected to grow at an annual rate of 5.7% over the next 20 years, outpacing the global average.

Africa’s aviation market is projected to grow at an annual rate of 5.7% over the next 20 years, outpacing the global average.

Africa’s aviation market is projected to grow at an annual rate of 5.7% over the next 20 years, outpacing the global average.

This growth is driven by economic expansion, urbanization, and initiatives like the Single African Air Transport Market (SAATM), which promotes open skies policies and regional integration .

Title:

Content: Artificial Intelligence In Aviation Market Estimated to grow at a CAGR of 45.3% during 2022-2027

“Artificial Intelligence In Aviation Market”
Artificial Intelligence in Aviation Market is estimated to witness substantial growth over the forecast period primarily due to cost effectiveness, efficiency of the system as well as more timely management of services are driving the artificial intelligence within the aviation market.

Artificial Intelligence in Aviation Market Report Overview

The market for Artificial Intelligence in Aviation Market size is forecast to reach $3.69 Billion by 2027, growing at a CAGR of 45.3% from 2022 to 2027. The Artificial Intelligence in Aviation Market is estimated to witness substantial growth over the forecast period primarily due to cost effectiveness, efficiency of the system as well as more timely management of services are driving the artificial intelligence within the aviation market. Artificial intelligence holds great possibilities for the aerospace industry. Implementation of AI in the aerospace sector can allow aircraft manufacturers reorganize production of various components and lessen various safety issues at airports. AI technologies such as machine learning, computer vision, and natural language processing are capable of bringing dramatic changes across different areas such as customer service, smart maintenance, product design, pilot training, and threat identification. The automation of certain parts of the aviation industry allows for more efficient handling of the general systems as well as to improve customer satisfaction. Virtual assistants personalize recommendations based on traveler preference and entitlement and provide and coordinate travel changes during irregular operations, enables rebooking, re-planning of the remaining itinerary. Context awareness in aviation helps understanding of all the factors and conditions within the fundamental risk elements that affect safety before, during and after the flight.

Artificial Intelligence in Aviation Market Segment Analysis – By Technology

The market segment by technology into machine learning, natural language processing, context awareness computing, computer vision and others. The machine learning segment is expected to grow at a higher CAGR of 18% during the forecast period 2022-2027. It is due to machine learning’s capabilities of collecting and handling big data along with its increased ability to perform previously impossible calculations which is driving the growth of the artificial intelligence in aviation market. Machine Learning can increase speed, efficiency, workload and safety to enable more complex technology like autonomous vision-based navigation and data ecosystems.

Artificial Intelligence in Aviation Market Segment Analysis – By Application

The market segment by application into Virtual Assistants, Smart Maintenance, Manufacturing, Training, Surveillance, Flight Operations, Dynamic Pricing and Others. The virtual assistants are the leading segment of all the segments with CAGR of 20% in the forecast period 2022-2027. AI-based virtual assistants help airline companies improve the productivity and efficiency of their pilots by reducing their recurring works, such as changing radio channels, reading wind forecasts, and providing position information on request, among others. These recurring works are taken care by AI-enabled virtual assistants. Virtual Assistants are also used by airline companies to improve customer services. AI enabled audio panels that help pilots operate these panels without taking their hands off the controls.

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Artificial Intelligence in Aviation Market Segment Analysis – By Geography

Artificial Intelligence in Aviation market by geography has been segmented into North America, Europe, APAC, South-America and RoW. Asia-Pacific is expected to dominate the Artificial Intelligence in Aviation Market due to high demand for artificial intelligence technologies from countries such as China, Japan to increase the efficiency of the aviation sector. For instance Alibaba Group from China has announced to supply AI based solutions to avoid congestion at the Beijing airport. These solutions would help pilots find a parking slot for their aircraft easily. Additionally, the increasing adoption of machine learning and NLP technologies for virtual assistance and training applications within the aviation sector is driving the expansion of the market in this region.

Artificial Intelligence in Aviation Market Drivers

Increased adoption of computer vision at airports is driving the market growth of Artificial Intelligence in Aviation

One of the emerging applications of AI at airports is computer vision, a technique which uses cameras and machine learning algorithms to monitor complex ground servicing activities, detect safety issues in real-time or sound alarms when a service is taking longer than expected. A Computer Vision system with real-time object tracking capability can monitor the behaviour of large groups of people. Computers can keep detailed records of the people flow through certain areas, allowing security personnel to predict and quickly respond to crowds or isolated situations. London Gatwick has been one of the first major airports to use computer vision to increase aircraft turnaround times and provide better safety conditions for ground crews. Following the arrival of the COVID-19 pandemic, the opportunities to implement artificial intelligence at airports have increased.

Artificial intelligence in aviation improves operational performance by automating analytics, machine maintenance, customer service, and a variety of other internal processes and tasks

Artificial intelligence and its cognitive technologies that make a sense of data can streamline and automate analytics, machinery maintenance, customer service, as well as many other internal processes and tasks. AI improves air safety and airplane maintenance, messaging automation, crew management, fuel efficiency and in-flight sales and food supply. AI’s applied predictive maintenance; an airline can reduce expenses connected with expedited transportation of parts, overtime compensation of crews, and unplanned maintenance. It helps speeds up and simplifies customer service employee’s workflows by using algorithms for processing natural language or unstructured text. AI systems with built-in machine learning algorithms collect and analyse flight data regarding each route distance and altitudes and helps in optimal amount of fuel needed for flight. Such factors driving the market growth. In December 2020, Airbus successfully completed a test flight using its AI-enabled fully automatic vision-based take-off and landing technology.

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Artificial Intelligence in Aviation Market Challenges

Security concerns and system malfunctions are restricting artificial intelligence in the aviation market

One of the biggest challenges in Artificial Intelligence in Aviation Market is security of data and malfunctioning of systems in the right time. Artificial Intelligence relies on good data. One needs to identify not only the right sources but the right amount of data. Overloading the system with too many data sources can slow things down significantly. Sudden malfunction of systems in the process abrupt the processes. On the other hand, Ground handling is often one of the biggest challenges keeping an airport on schedule. AI can help predict handling times, plan ideal schedules, and prevent teams from stepping on each other’s toes. AI is an incredible tool for improving communication to make the entire ground handling process move smoothly and more efficiently.

Artificial Intelligence in Aviation Industry Outlook

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the Artificial Intelligence in Aviation Market. The Artificial Intelligence in Aviation top 10 companies include:

Intel

NVIDIA

IBM

Micron

Samsung

Xilinx

Amazon

Microsoft

Airbus

Boeing

Acquisitions/Technology Launches/Partnerships

In July 2021, Tata Power partnered with Autogrid and launched residential demand response programme to pilot the acceptability of consumer demand response. Tata Power-DDL intends to empower consumers to better understand their energy consumption towards reducing peak demand and network capital loss.

In Aug 2021, Johnson Controls International and Apollo Global Management formed a joint venture for residential demand response which will provide services to businesses to help improve the energy efficiency of their buildings.

In June 2020, SparkCognition, an artificial intelligence company formed a joint venture with Boeing called SkyGrid. It is planning to build an aerial operating system to support the next generation of autonomous aviation.

Key Takeaways

AI-powered virtual assistants assist airlines in increasing the productivity and efficiency of their pilots by automating repetitive tasks such as changing radio channels, reading wind forecasts, and providing position information on demand, among other things.

North-America is projected to hold the largest share of Artificial Intelligence in Aviation Market during the forecast period due to to high demand for artificial intelligence technologies from countries such as China, Japan to increase the efficiency of the aviation sector.

Artificial Intelligence in Aviation Market is estimated to witness substantial growth over the forecast period primarily due to cost effectiveness, efficiency of the system as well as more timely management of services are driving the artificial intelligence within the aviation market.

Implementation of AI in the aerospace sector can allow aircraft manufacturers reorganize production of various components and lessen various safety issues at airports

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Title:

Content: Travel demand to remain strong despite recession concerns, WTTC chief says

Exclusive: High inflation could pose a risk to the travel and tourism industry’s recovery, Julia Simpson says

Beta V.1.0 - Powered by automated translation

Travel will remain strong on the back of robust demand in select emerging economies even as a potential recession looms, a top executive at the World Travel and Tourism Council has said.

“At the moment, the bookings we're seeing are record breaking [and] when you survey people, and you ask what are their most important needs in life, travel is now number three,” Julia Simpson, WTTC president and chief executive, told The National in an exclusive interview.

“We also have emerging middle classes. India is a massive growth market, China is an incredible market [and] the Japanese market is coming back.”

The global travel and tourism sector is expected to reach $9.5 trillion in 2023, only 5 per cent below 2019 highs, the WTTC reported.

Despite economic and geopolitical challenges, the industry grew 22 per cent to reach $7.7 trillion last year.

An aggressive return to travel post-Covid-19 has resulted in bottlenecks and delays, particularly in the aviation industry.

The sector has also been facing severe staffing shortages following the lifting of pandemic-related restrictions last year.

“Demand is outstripping supply … the airlines at the minute can only fly 80 per cent of their capacity because there’s a backlog in the number of planes that people can buy and also in some parts of the world, there are some labour shortage pressures,” said Ms Simpson.

“We've got people that may have left the sector [and] not all of them have come back, although that is beginning to improve.”

Global passenger traffic rebounded to 15 per cent below its pre-pandemic levels in February, led by airlines in the Asia-Pacific region, which recorded the fastest growth, the International Air Transport Association said in a report last month.

Total passenger traffic worldwide increased by 55.5 per cent on an annual basis in February, despite the uncertainty hanging over the global economy, Iata said.

The global economy faces a “rocky” recovery as geopolitics, monetary tightening and inflation continue to weigh on growth, the International Monetary Fund said last month.

The IMF lowered its global economic growth estimate for this year by 0.1 percentage points to 2.8 per cent, from what it previously projected in January, with the estimate below the 3.4 per cent expansion recorded in 2022 and the historical growth average of 3.8 per cent from 2000 to 2019.

High inflation could also pose a risk to the travel and tourism industry’s recovery, Ms Simpson said.

Although airports and airlines try to avoid passing higher costs on to their customers, “it has to be paid for” at the end of the day.

“That is why you will see some higher fares in the market and also higher prices in hotels,” she added.

Meanwhile, Ms Simpson also called for an increase in sustainable aviation fuel production using economic incentives.

SAF, which is made from resources such as agricultural waste, green hydrogen and cooking oil, is widely considered to be the most significant contributor to helping the sector reach its net-zero emissions target by 2050.

Countries could consider introducing policies similar to the US Inflation Reduction Act, which provides SAF producers with a tax credit of $1.25 per gallon, Ms Simpson said.

Current SAF production only meets 0.1 per cent to 0.15 per cent of the requirement, despite a 200 per cent jump in production last year, according to the WTTC.

“One of the big problems with SAF at the minute is it can cost up to five times as much as jet fuel. Now, aviation is a very price-sensitive business … that’s why we need the financial offsets [and] some form of grants or subsidies,” said Ms Simpson.

Updated: May 18, 2023, 2:48 PM
editor's picks

However, challenges such as infrastructure limitations, regulatory disparities, and high operating costs persist .

Title:

Content: Russia-Ukraine Crisis: Global impact and lessons for India

Russia has made it clear in its communication that any attempt to bring Ukraine into the NATO fold will have consequences

By Lt Col Manoj K Channan

“War is good, it teaches you a bit of geography and a bit of contemporary history too”

Russian intervention in Ukraine has been seen as a serious breach of international treaties and a violation of a sovereign country. Putin has been painted the villain by the Western Leaders and the electronic and print media, including those in India.

Russia believes Ukraine was an artificial creation of the Bolsheviks after Brest Litovsk in 1917 and “never had a tradition of genuine statehood”. A choreographed effort to show that all key countries agree on far-reaching sanctions, words “massive” and “devastating” are being repeated ad nauseam, as if it were an agreed script. But this Potemkin unity is unlikely to alter the Kremlin calculus. The West cannot activate serious measures because it risks an asymmetric response, a lighter variant of ‘mutual assured destruction’ from the Cold War.

Let us take a step back and revisit the famous quote of Henry Kissinger “to be an enemy of America can be dangerous, but to be a friend is fatal.” This is historically proven and is now more often repeated and is factual. Issue of violation of Ukrainian sovereignty is not the decisive issue as the West has violated the sovereignty of many countries, Yugoslavia, Serbia, Iraq, Syria, Libya, Panama, Cuba, Vietnam, Laos, Cambodia, to name a few and very recently Afghanistan, where after spending trillions of dollars and as fate would have it came to an agreement with the Taliban and left the Afghan nationals in a lurch.

If the US and its NATO allies could find the above-mentioned interventions in their National Interest, why would the definition change for the Russians? Post the implosion of the erstwhile USSR in 1991, the cold war era came to an end as most of the Warsaw Pact countries, having become independent countries, joined NATO.

The Ukraine intervention is directly challenging the US and NATO. Russia has made it clear in its communication that any attempt to bring Ukraine into the NATO fold will have consequences. President Joe Biden and his administration did not give this assurance, which would have definitely de-escalated the situation. Instead, warlike stores were supplied, hoping that the Ukrainian forces would be able to stall the offensive. US / NATO have been condemning the intervention but have not clearly stated the red lines which could have disastrous effects globally.

Russia has been supporting the separatists in the Eastern region of Ukraine and as per media reports, these separatists were being engaged by the Ukrainian forces, on their request, President Putin sent in the troops.

The Putin – Xi Jinping meeting on the sidelines of the Winter Olympics seems to have been the occasion to orchestrate and set the stage for the intervention. Both the leaders see the US and European leadership as weak and incapable of taking a hard decision. Xi must have given Putin a green light of sorts over Ukraine. Otherwise, Russia would not have pulled most of its military forces out of the Far East to wage war in the West, leaving the Chinese border exposed.

The US has pulled back from various flashpoints and is no more in the leading position of a global policeman. To do a turnaround and put boots on the ground is the least likely option.

If one were to observe China, it has been replaced by Russia as the bigger evil and as one international analyst stated, Europe has witnessed the cold war, with Russia’s intervention in Ukraine finding their feet closer to the fire and wouldn’t want to be caught in this imbroglio.

China is focused on challenging the US to become the world leader and is using its diplomacy, including coercive, to turn over the fence-sitters on its side. The US focused on Russia allows China to continue its intrusions and dominance of Taiwan, Hong Kong, the South China Sea and the Sea of Japan. China has its interest in Afghanistan and is engaged in eyeball-to-eyeball contact along the Line of Actual Control with the Indian Army.

What are the likely options that China may exercise during this crisis?

The two critical areas which need to be watched closely are mentioned below.

The option along the Line of Actual Control is limited and as in the case of Russia, China too has violated and ignored past bilateral treaties and continues to ignore the settling of the border dispute. The Indian Armed forces will respond and strongly and that is something PLA will not like to explore at the moment.

Any attempt to invade Taiwan would be crossing a red line as far as the US is concerned, while it must be understood that the US is limited in its ability to take on two nuclear powers by itself.

Markets, Inflation and Supply Chains – What OSINT reveals

•          Oil prices could hit $120 to $140 per barrel, well above current levels.

•          Natural gas prices are also likely to keep climbing. Europe is a captive of Russian gas, and as a result, it dares not eject Russia from the SWIFT system of international payments because it would suffer a more immediate crisis than fortress Russia itself.

•          Given the current high rates of inflation, and corresponding concerns about it feeding higher inflation expectations, it’s possible that this adds to the list of reasons for policymakers to raise interest rates.

•          Washington threatens to cut off Russian access to the global market for semiconductor chips. This would be the modern equivalent of a 20th-century oil embargo since chips are the critical fuel of the electronic economy. It would gradually asphyxiate Russia’s advanced industries, and would in theory reduce Putin’s regime to a stunted technological dwarf. But this too is a dangerous game. Putin has the means to cut off critical minerals and gases needed to sustain the West’s supply chain for semiconductor chips, upping the ante in the middle of a worldwide chip crunch. Furthermore, he could hobble the aerospace and armaments industry in the US and Europe by restricting the supply of titanium, palladium, and other metals. By controlling Ukraine, his control over key strategic minerals would be even more dominant, giving him leverage akin to Opec’s energy stranglehold in 1973. The Kremlin could unleash an inflation shock every bit as violent as the first oil crisis, with a recession to follow.

•          US semiconductor companies were at risk until the critical materials firm Technet revealed the extent of US dependency on Russian supply of C4F6 gas, neon, palladium, scandium. Some 90pc of the world supply of neon, used as laser gas for chip lithography, comes from Russia and Ukraine. Two-thirds of this is purified for the global market by one company in Odessa. There are other long-term sources of neon in Africa but that is irrelevant in the short run. Technet said Russian C4F6 gas is used for etching node logic devices. Palladium is used for sensors, plating material and computer memory (MRAM). The world’s biggest producer of titanium is VSMPO-AVISMA, located in the ‘Titanium Valley’ of Western Siberia. It is owned by ROSTEC, the state conglomerate controlled by Sergey Chemezov, an ex-KGB operative who served with Putin in East Germany. Russia and Ukraine together account for 30pc of the global supply of titanium.

•          This understates their hegemony over the production chain. VSMPO-AVISMA supplies 35pc of Boeing’s titanium, mostly for 737, 767, 777, and 787 jets. It is used in engines, fans, disks and frames, prized for its resistance to heat and corrosion, and for its ratio of weight to strength.

•          The US Bureau of Industry and Security published a report last October warning that VSMPO-AVISMA was providing titanium sponges to customers in the US at “artificially low” prices, with Russian state support, enabling it to capture a “significant share of Boeing’s business”. This should have raised a red flag. Weeks later Boeing committed to even deeper ties with the company. In effect, Russia has been doing what China did earlier with rare earth metals: establishing a lock hold by selling below cost and knocking out the Western supply chain. The report said Russia is increasingly able to use this dominance “as a tool of geopolitical leverage”.

•          The Bureau warned that the US is down to one ageing plant capable of producing titanium sponge at scale, and no longer has any titanium reserve in the National Defense Stockpile. It relies on supply from a hostile state-controlled entity to build US fighter jets, rockets, missiles, submarines, helicopters, satellites, and advanced weaponry. The report called for urgent measures to rebuild domestic production and acquire strategic reserves. What a shambles.

•Airbus is even more vulnerable. Half its titanium sponge comes from Russia. Britain’s aerospace industry depends on Russian supply. VSMPOAVISMA has an operation near Birmingham, making commercial alloys for aerospace, medical technology, and the military. Putin knows that the pain threshold in the West is low after the fiasco of US sanctions against the aluminium producer Rusal in 2018. The US Treasury thought aluminium was a fungible commodity and that cutting off Rusal supply would not matter much. It learned a harsh lesson in market reality: global alumina prices doubled; the supply chain seized up, and there was collateral damage everywhere. The bureaucrats had failed to understand the stringent certification process in the industry. But the point is deeper. Russia cannot be strangled because it is systemically central to the world economy. Nor can Washington easily deny Russia semiconductor chips over the long run. The country has its own home-grown chip companies, led by Baikal and Micron. They can make midgrade chips down to 28-nanometres (nm), adequate for mobile phones and the like. These companies could undoubtedly raise their game if it were a top national priority. Russia cannot make 5nm and 7nm wafers needed for 5G mobile, artificial intelligence, or CPU and GPU technology. The US controls the global ecosystem of advanced chips and could prevent Taiwan’s TSMC or Korea’s Samsung from supplying Russia. It would hurt over time. But the semiconductor chain is notoriously complex and populated by middlemen. There would be all kinds of workarounds: Russia wouldn’t be able to get the cutting-edge stuff but it could get by with intermediate chips for most of its weapons. They can always fall back on the Chinese, and this would dilute the sanctions. It would not be easy for Russia because you can’t just switch over. Everything has to be redesigned to accept the Chinese chips, and they’re not the best either. It would set them back two or three years. Chinese companies were reluctant to breach US sanctions after the annexation of Crimea in 2014. It is a different world today. Xi Jinping has made it illegal for them to comply with US extraterritorial sanctions.

•          Focus on potential impacts to commodity trade flows over the coming months. We would expect a diversion of Russian exports of commodities away from Europe and North America, and towards China. Some experts are estimating that 15 million tons of wheat exports from the Black Sea region could be at risk if there were disruptions. Ukraine may still have 7 million tons of wheat available to add to Russia’s export quota of 8 million tons, he wrote in a report.

•          Let’s consider a roster of commodities in which Russia and Ukraine have a significant presence. For example, the region is a major global supplier of wheat, corn and sunflower oil and Ukraine’s rich, fertile soils have earned its nickname as the breadbasket of Europe. The country is the second-largest global grain shipper, while Russia often tops the ranking for wheat exports.

•          Russia is also one of the world’s most important sources of metals including aluminium and nickel. Aluminium consumers are already facing growing shortages during a booming period for demand, with surging orders from sectors including construction and packaging helping to drive inventories in European warehouses.

•          Palm oil also rocketed to a fresh record in Malaysia, climbing past 5,800 ringgit ($1,386) a ton on concern the global vegetable oils market would tighten further. Russia and Ukraine make up 80% of global sunflower oil exports.

•          Once you drill into the menu of western sanctions, it becomes painfully clear that the economic deterrent does not add up, either because the measures are less than they seem or because retaliation risk makes them unusable.

Lessons for India

It is clearly visible that a Nation with a weak Military will not be able to sustain itself against a technologically advanced adversary, it is therefore important that the civil-military gap be bridged. Leadership should be professionals and not with political leanings for personal gains. The defense services allegiance must remain to the constitution and not to the ruling dispensation / political party.

To sum up, while all the variables are known, President Putin and President Xi Jinping have played their cards, considering the OSINT factors, it is more of a stalemate, unless, the US and Europe want to engage the Bear and the Dragon in a mutually assured destruction conflict. President Putin may install a regime of his choice, how long will it last and dance to the tune of Moscow is unknown. The possible backlash is to replace Putin with someone more moderate, which is unlikely under the current circumstances.

(The author is an Indian Army Veteran. Views expressed are personal and do not reflect the official position or policy of Financial Express Online. Reproducing this content without permission is prohibited).

Get live Share Market updates and latest India News and business news on Financial Express. Download Financial Express App for latest business news.

Title:

Content: ACHR

2 Reasons Not to Take Archer Aviation Stock for Granted

InvestorPlace - Stock Market News, Stock Advice & Trading Tips

Archer Aviation (NYSE:ACHR) stock has surged 226% year-to-date. Like all high-flying stocks, it’s possibly due for a correction.

Still, it’s a top flying car stock to watch. A 20% dip could offer an entry point for future gains. Archer recently got FAA approvals for flight tests in early 2024, a potential catalyst for ACHR stock.

Let’s look into the following reasons ACHR should be in your portfolio now.

Cathie Wood Bought More ACHR Stock

Cathie Wood’s Ark Invest funds increased their holdings in eVTOL manufacturer Archer Aviation (ACHR) last month across several ETFs.

Archer makes up roughly 1% of ARKK’s portfolio. ACHR’s stock started today at $6.39, reaching its yearly high at $7.49 in late August. Archer’s market cap is around $1.8 billion, with no reported revenue.

Ark started these trades following Archer’s partnership with Boeing’s Wisk Aero, resolving a lawsuit and securing $215 million in PIPE funding. Archer had $675 million in liquidity last month.

Archer secured a $142 million contract with the U.S. Air Force for six eVTOL aircraft. Major airlines like Delta, American, and United are investing in eVTOLs as air taxis. FAA plans to approve air taxi services by 2025, with Archer revealing its Midnight eVTOL on Sept. 12.

Solid Fundamentals

Archer Aviation finished Q2 with $407.6 million in cash, benefiting from Stellantis’ $25 million credit. Reduced cash burn of $67.3 million ensures funding for six quarters leading up to commercialization in 2025.

The Boeing partnership and $215 million investment from Stellantis, United Airlines, and Boeing are significant developments.

This may help Archer address pilot shortages, and they’ve settled the lawsuit on undisclosed terms.

The $215 million investment includes $70 million from Stellantis, with $145 million in new funds and $55 million untapped, resulting in $677.6 million in cash for a 10-quarter runway to 2025 commercialization.

What Now

Archer, although revenue-free, secured FAA certification for its Midnight vehicle. This allows it to fly in U.S. airspace, targeting Department of Defense deliveries and commercial operations by 2025.

The future of this industry is uncertain, but it appears poised for growth. Morgan Stanley (NYSE:MS) predicts the urban air mobility market could reach $29 billion annually by 2030 and exceed $1 trillion by 2040.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.

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The Middle East is also a key growth region, fueled by infrastructure development and tourism.

The Middle East is also a key growth region, fueled by infrastructure development and tourism.

The Middle East is also a key growth region, fueled by infrastructure development and tourism.

Europe remains the highest revenue-generating region in aircraft leasing, while North America maintains a significant market share due to its established aviation infrastructure .

**Aircraft Leasing and Financing Trends** Aircraft leasing is a critical enabler of fleet modernization, offering airlines cost-effective and flexible access to new, fuel-efficient aircraft.

**Aircraft Leasing and Financing Trends** Aircraft leasing is a critical enabler of fleet modernization, offering airlines cost-effective and flexible access to new, fuel-efficient aircraft.

The global aircraft leasing market is projected to exceed $453.2 billion by 2026, growing at a CAGR of 6.8% .

Major lessors such as AerCap, SMBC Aviation Capital, Avolon, and Air Lease Corporation are consolidating their positions, with SMBC’s $6.7 billion acquisition of Goshawk Aviation making it the second-largest player globally .

Title:

Content: Asian markets are expected to open lower Monday as investors flee stocks for safe havens ahead of a possible Russian military attack on Ukraine that the White House says could occur any day.

A telephone conversation on Saturday between President Biden and Russian President Vladimir Putin did nothing to ease the tension over the massive Russian military buildup surrounding Ukraine, a senior administration official told reporters.

The impasse has investors braced for further volatility this week, with stocks already struggling amid inflation worries and signals from the Federal Reserve of an interest-rate increase next month.

A White House statement on Friday that said the Russian military could lunge toward Kyiv at any time clipped the Dow Jones industrial average and pushed up the prices of Treasury bonds and gold.

In a more than one-hour-long talk, Biden warned the Russian leader Saturday of “swift and severe costs” if he attacks Ukraine. Administration officials insist any allied response this time will be much harsher than the sanctions imposed following Russia’s 2014 takeover of Crimea.

“That was meant to cost them money. This time, it’s meant to blow them up,” said Brian O’Toole, a former Obama administration Treasury sanctions official who’s now with the Atlantic Council.

The prospect of tough financial sanctions, probably targeted at Russia’s state-owned banks, is meant to deter a Russian invasion by highlighting the danger of capital outflows, a plunging currency and bank runs. Russian investors already have paid for Putin’s belligerence: The benchmark RTS stock index is down by about 25 percent since its late-October high.

But sanctions also could boomerang on U.S. and European economies, particularly if Putin retaliates.

Though its role in the global economy pales alongside that of China, Russia is a key supplier of critical materials, such as titanium for Boeing airplanes and palladium for automotive catalytic converters. More than 400 U.S. companies have a major supplier based in Ukraine, and 1,100 have a “Tier 1” vendor in Russia, according to Interos, a supply chain risk management company in Arlington, Va. U.S. agribusiness giants such as Cargill and ADM have sizable operations in Ukraine.

Putin also might respond to sanctions by unleashing crippling cyber attacks against power grids, banks or corporate networks in the United States or Europe, further rattling investors.

“A land war in Europe is something that would probably shock the complacency of financial markets more broadly than people are appreciating,” said Douglas Rediker, a partner at International Capital Strategies. “I don’t know how many analysts or investors are remotely prepared to understand the consequences of this.”

All three major U.S. stock indexes already have lost ground so far this year, as the highest inflation in 40 years has the Fed poised to raise borrowing costs for the first time since 2018. Hardest hit has been the technology-rich Nasdaq, which is down almost 12 percent since Jan. 1.

Financial fallout from a Russian move against Ukraine would depend upon the scale of the attack and the extent of the U.S. and allied sanctions imposed in the aftermath. A full-scale air, artillery and ground offensive to seize the country would probably draw a more punishing U.S. response than would a limited move in the separatist Donbas region in eastern Ukraine.

On Sunday, Sen. Lindsey O. Graham (R-S.C.) said on ABC’s “This Week” that Congress should quickly approve legislation authorizing sanctions “that would destroy the ruble and cripple the Russian economy.”

The ruble fell more than 3 percent against the dollar on Thursday and Friday and is now worth less than half its early-2014 value. A further weakening of the Russian currency would make imported goods more expensive for Russian consumers, exacerbating inflation that already is running at an annual rate of nearly 9 percent.

Russian banks will probably be a primary target for U.S. sanctions. The five largest — Sberbank, VTB Bank, Gazprombank, Rosselkhozbank and Otkritie — account for more than 60 percent of the banking system’s assets, according to the Institute of International Finance (IIF).

More than half of Russian wages and pensions are paid via Sberbank alone. Tough sanctions targeting the institution, which is majority-owned by Russia’s central bank, could trigger a depositor run, analysts said.

Blocking U.S. banks and companies from all dealings with one or more of these institutions could seriously interfere with the ability of Russian banks and businesses to send money across borders. That would imperil Russia’s more than $700 billion in two-way trade flows, especially with European firms.

As part of what one analyst labels a “Fortress Russia” strategy, Putin in recent years has developed a domestic payment system known as SPFS. Although it can process all financial transactions within Russia, its international links are limited.

“We’re talking here about the financial sector’s plumbing,” said Elina Ribakova, IIF’s deputy chief economist. “If Russia were disconnected, it would have a devastating effect.”

In other respects, however, the Russian economy is less exposed to outside pressure than at the time of Putin’s takeover of Crimea. Since mid-2014, Russia has reduced its total foreign debt to $478 billion from $733 billion.

Russian borrowers owed global banks $121.5 billion at the end of September, according to the Bank for International Settlements in Basel, Switzerland. That’s roughly half the amount they owed in early 2014.

French and Italian banks have the largest positions, at about $25 billion each. But U.S. banks are owed $14.7 billion.

The reduced need for foreign financing was the result of Russian government policy and the earlier sanctions, which effectively forced Russian borrowers to repay debts as they came due rather than refinance them, Ribakova said.

Thanks to high oil prices, Putin also has been able to build up a war chest of foreign exchange reserves, which could be deployed to defend the ruble against attacks or to bail out wounded state banks. The Russian central bank is now sitting on $630 billion, up from $356 billion in spring 2015.

Although Russia has thinned its ties to the U.S.-dominated global financial system, individual industries and corporations retain vital two-way linkages. The country is a major supplier of many industrial metals and fertilizers, as well as oil and gas.

Global companies with Ukrainian or Russian suppliers also could suffer supply interruptions in the event of a major conflict, with or without the added complication of sanctions. Many companies could switch to alternative sources of goods or materials.

“But it would take time to find these alternatives and to get contracts in place,” said Jennifer Bisceglie, chief executive of Interos.

Dan Ujczo, a trade attorney at Thompson Hine in Columbus, Ohio, said clients have been calling for advice on the possible effects of sanctions on multinational corporations with a presence in both the United States and Ukraine or Russia.

“The Black Sea region is pretty important for our clients,” he said. “There’s been a lot of concern.”

Russia’s prominence in commodity markets also is drawing attention amid the geopolitical showdown.

The price of palladium, used in catalytic converters, is up more than 30 percent since mid-December. And the U.S. aircraft industry relies upon Russia for the titanium used in jet engines. Just three months ago, Boeing signed a “memorandum of understanding” with VSMPO-AVISMA, a titanium producer, confirming that it would remain the largest supplier for Boeing aircraft.

Titanium parts from the Russian company are used on 737, 767, 787, 777 and 777X models, as well as in products made by Airbus, Rolls-Royce, General Electric and Pratt & Whitney.

If titanium supplies were interrupted, “we’re protected for quite a while, but not forever,” Boeing CEO David Calhoun told investors last month.

On Friday, national security adviser Jake Sullivan vowed that the United States — along with the United Kingdom, the European Union and Canada — would impose “severe economic sanctions” on Russia following any attack.

“It will face massive pressure on its economy and export controls that will erode its defense industrial base,” he told reporters.

Any new constraints would be on top of existing measures imposed following the Crimean invasion, which restrict the Russian financial and energy sectors’ access to capital markets. The United States also prohibits Russian oil giants from obtaining the most advanced exploration technologies for use in Arctic offshore or shale formations.

Further restraining Russia’s economic development without inadvertently damaging U.S. or allied economic interests will be a delicate job.

Indeed, the United States was forced to backtrack in 2018 on sanctions it imposed on Rusal, an industrial metals producer controlled by Russian oligarch Oleg Deripaska. After the Treasury Department announced the measures, aluminum prices spiked by 30 percent, sparking complaints from U.S. manufacturers that used aluminum to make products such as cars and beverage cans.

The measures were eased 17 days later and eventually repealed after Rusal and a second company controlled by Deripaska agreed to restructure to reduce his stake.

“There’s no way to avoid collateral damage. That’s what happens with any sanctions program,” said Doug Jacobson, a sanctions specialist at Jacobson Burton Kelley in Washington. “There’s going to be collateral damage to U.S. companies.”

These companies are strengthening their order books with modern, fuel-efficient aircraft to meet future demand .

Title:

Content: The news is by your side.

Aircraft leasing as panacea for survival

The harsh aviation environment is forcing airlines to explore survival options. To reduce the cost of operations, given the soaring price of aviation fuel, airlines are navigating new bends to keep their operations afloat. KELVIN OSA OKUNBOR reports.

The unfriendly business environment is pushing investors/operators to rejig their strategy.

This is coming on the heels of the increase in the price of aviation fuel otherwise known as Jet A1.

In Nigeria, the price of jet gas is hovering around N1,000 per litre depending on where the product is sourced.

With a big aircraft such as Boeing 737/MD 83 consuming between N50 million and N70 million fuel daily, operators are cutting flight frequencies to keep afloat.

To stave off the hammer of the regulator – Nigerian Civil Aviation Authority (NCAA) – which is looking into the books of indigenous carriers to ascertain their financial/technical health- operators are leasing aircraft.

The leasing option, which experts say could either be the dry/wet option, requires an operator to use the airplane of another carrier for its flight.

Investigations by The Nation revealed that Arik Air, Air Peace, United Nigeria Airlines and others have adopted this option in the last dozen months.

Last week, the oldest Nigerian carrier Aero Contractors Airlines opted for a joint venture with another indigenous carrier – UMZA Express Limited.

Aero Contractors Airlines, according to the deal, entered into the joint venture to utilise Dash 8 (Q-400)  aircraft on the fleet of the partner to resume scheduled flights to be made public soon.

Experts have described the joint venture as equipment investment by UMZA Express Aviation Services in Aero Contractors.

The first of the Dash 8 Q-400 aircraft arrived at Abuja Airport last week. Other aircraft are expected in the coming weeks.

Aero has taken delivery of the first set of two Dash-8 (Q-400) aircraft at the Nnamdi Azikiwe International Airport, Abuja. The Nigerian registered aircraft owned by UMZA Air will be operated by Aero Contractors.

The Dash 8 is one of the most- fuel efficient and modern aircraft in the market and has a capacity for 74 seats.

Speaking after taking delivery of the aircraft, Aero Contractors Managing Director Captain Abdullahi Mahmoud said: “This is part of our recovery strategies since most of our aircraft are undergoing maintenance and we want to ensure that when we are coming back as we promised, we come back very strong.”

He said Umza’s investment is “a strategic business alliance” that we see both companies share in the profits the aircraft will make.

“If you look at the aircraft, it is not like a wet lease because it is a Nigerian registered aircraft, so it is our crew that are going to operate it. Our pilots, cabin crew are going to operate it. We have finished signing the agreement with them. There are five aircraft coming in and this is the first,” he said.

“We are getting prepared to resume operation as soon as possible. I don’t want to give the exact date that we are resuming but we are going to resume as soon as possible. So, we are working day in and day out because we don’t want to rush coming back.”

UMZA Express Aviation Services Chief Executive Officer Mahammed Abubakar described the decision to invest in Aero Contractors as strategic.

He said: “We are diversifying into aviation despite the troubling situation because some people have to take the risk.”

He said the aircraft to be brought were Dash 8 Q-400.

“I think it is the best because of the fuel efficiency,” he added.

NCAA Director-General Captain Musa Nuhu said the situation in global aviation necessitated the need for airlines to rejig their strategy.

He said there was nothing wrong for carriers to adopt any partnership that would enable them keep their operations afloat.

In particular, he said, the rising price of jet gas calls for the right use of aircraft.

In a related development, the NCAA boss reaffirmed his commitment to ensuring the continued sustenance of safe and secure flight operations.

In an interview with reporters in Lagos, at the weekend, Nuhu said the regulatory agency would continue the implementation of its responsibilities of  ensuring the confidence of the flying public.

Nuhu said investigations were ongoing into the operations of the suspended Dana Air. He said the carrier would remain grounded until the identified issues were resolved in compliance with the Nigerian Civil Aviation Regulations (Nig.CARs).

He said the NCAA had carried out audit of the airline, which outcome showed a weak financial position and violations of Nig.CARs, that led to  the suspension of the airline’s Air Transport License (ATL) and Air Operators Certificate (AOC).

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What impact shall the carbon tax to be imposed by EU in 2026 have on aircraft market?

It is conducive to the sales of new aircraft with better fuel efficiency.

What impact shall the carbon tax to be imposed by EU in 2026 have on airlines?

They will accelerate the demand for aircraft replacement.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

Asia-Pacific, especially China and India, offers substantial growth potential for leasing, though India faces regulatory challenges that increase lease costs and reduce competitiveness .

Title:

Content: ADVERTISEMENT

India Must Remove Legal Hurdles To Drive Aviation Sector Growth

The industry is beset by legal challenges, hampering expansion and growth.

Photo by Artturi Jalli on Unsplash

India's aviation sector has seen multiple airlines fail even as it offers a huge growth potential, giving the country's young demographic and rising incomes.

NEPC, Kingfisher, Modiluft, and Jet Airways are among the carriers that couldn't stay afloat because of high costs and unsustainable debt. One of the most recent examples is Go First, which filed for bankruptcy in July 2023.

Rising crude prices, high taxes on aviation fuel, lack of enough pilots and shortage of homegrown aircraft maintenance infrastructure are some of the challenges that airlines face. The industry is also beset by legal challenges, hampering expansion and growth.

Legal Obstacles

According to Syed Tamjeed Ahmad, co-managing partner at Spaviatech Law, enforcing legal remedies for aircraft lessors, and bar on fractional ownership of aircraft are among the legal hurdles that the aviation industry faces in India.

India ratified the Cape Town Convention & its Aircraft Protocol, which deals with lessors' rights in aircraft lease transactions. However, compliance has raised concerns due to conflicts with the Insolvency and Bankruptcy Code, enacted in 2016. These conflicts have not been addressed because because international treaties must be passed by the legislature to become domestic law.

While the Cape Town Convention Bill was drafted in 2018, it has not been approved. According to Adithya Variath, a faculty member at the National Law University, Mumbai, this has, in general, created a conflict in India with regard to India’s international compliance.

Insolvency  Law Hurdle For Lessors

The Aircraft Rules, 1937, acknowledge the rights of lessors to take back the aircraft. On the other hand, the insolvency law that introduced a "moratorium" is governed by the Insolvency and Bankruptcy Code of India.

According to legal principles, if there's a conflict between a "rule" (delegated legislation) and a law passed by parliament, the latter takes precedence. So, when a moratorium is imposed, the lessors' rights under the Aircraft Rules are secondary to the IBC proceedings.

According to Ahmad, due to these prevailing concerns, the lessors often charge higher lease rentals and security deposits from Indian companies than their European counterparts. This often acts as a hindrance for Indian companies in expanding or sustaining in the market, he said.

Other than that, allowing fractional ownership of aircraft will help. It lets an aircraft to be owned by more than one entity, helping in sharing costs and making ownership more affordable.

Onerous Rules, Taxes

Heavy regulation in the aviation business along with high taxation rates on different aspects of the sector are another set of hurdles for the industry, according to Nitin Sarin, Managing Partner at Sarin & Co.

As per Indian regulations, an airline needs to have 20 aircraft in its fleet before it can fly internationally. That means that they have to scale up in the initial stages itself.

Moreover, Sarin said, the aviation is still considered a luxury business and is heavily taxed. For instance, "when it comes to fuel taxes, we pay significantly more than many other countries," he said.

According to Vikrant Pachnanda, partner at Fox and Mandal, another obstacle is that rising fuel costs affects the ability to maintain competitive prices along with a good profit margin.

Variath said aviation is vulnerable to financial difficulties arising out of rising operational costs.

Foreign direct investment is permitted up 49% through the automatic route, beyond which government approval is necessary. Additionally, the process of obtaining a licence through the DGCA is both time-consuming and expensive, and there is insufficient enforcement, said Pachnanda.

What Can Be Done

Experts suggest start with the Cape Town Convention.

The first thing India needs to do to ensure the confidence of the leasing community is to bring a parliamentary statute to enforce the provisions of the Cape Town Convention/Aircraft Protocol, Ahmad said.

Since this will have a bearing upon the CPC, Specific Relief Act as well as the IBC, in the meantime, the government can issue a directive u/s 14(3)(a) insolvency code to exclude aircraft lease transactions from the ambit of the moratorium, he said.

Variath also suggested that apart from working on the infrastructural issues, the government needs to streamline regulatory framework governing the aviation sector.

Ahmad said a long overdue reform for general aviation is to permit fractional ownership of aircraft, at least for corporates. This, he said, will ensure that there would be less dependency on lessors for the players from the general aviation industry.

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Content: THE International Air Transport Organisation (IATA) has condemned the Federal Government over what it called excessive taxes and charges which it said have been hindering the growth and profitability of indigenous carriers.

Speaking at the ongoing 7th Aviation Africa summit and exhibition in Abuja, lATA’s vice president, Africa and Middle East, Kamil Al Alwadhi. said research shows that Nigeria ranks highest in airport charges in Africa, with Abuja airport becoming the most expensive airport in Africa followed closely by Lagos airport.

The IATA VP lamented the stagnant growth in the region, especially Nigeria, urging the Nigerian government to create a conducive environment for airlines to thrive.

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According to Al Awadhi, “in a recent research conducted, we discovered that the most expensive airport in Africa is Abuja airport, followed by Lagos airport. With all these exorbitant charges, Nigerian airlines can’t compete with their foreign counterparts.

“Africa has put itself in a place where it cannot help its own, expensive fuel, excessive charges, leasing and insurance through the roof, the airlines need to be financially viable too. The airlines contribute to the country, but Nigeria needs to decide what to do to them to survive.” He maintained that carriers based in Africa are expected to generate a moderate combined loss of around $484 million in 2023 because the continent remains a difficult market to operate an airline, with economic, infrastructure and connectivity challenges impacting the industry performance.

Al Alwadhi stated: “However, despite the challenges, the industry continues to move towards profitability after the COVID 19 disruption.

He further explained that underpinning this is the robust demand for air travel. As we saw in the second quarter of 2023 – and for two consecutive quarters – African carriers had one of the world’s highest annual passenger traffic growth rates, second only to Asia Pacific.

“With total traffic up 38.9 percent compared to the same quarter in 2022, African carriers growth outperformed the industry-wide average for total and international traffic, even though the region has not fully recovered to pre-pandemic levels. Q2 2023 RPKs were 9.2 percent below the same quarter in 2019. Despite this continued positive performance, the region still confronts economic challenges that severely limit the affordability of air travel, in addition to a range of infrastructure issues that curb capacity and hinder the development of consistent air service, “he said.

Looking further ahead, over the next 20 years, he said Africa’s passenger traffic will double, eclipsing 300 million passengers by 2040 at an annual average rate of 3.4%.

“As you can see, the continent stands out as the region with the greatest potential and opportunity for aviation. But this potential is limited by safety incidents, infrastructure constraints, blocked funds, high costs, lack of connectivity, regulatory impediments, slow adoption of global standards and skills shortages, among other factors, ‘he added.

The issues that have conspired to affect the continent’s carriers are high interest rate at over 25 percent which he further said are killing the carriers and prevented them from competing with their counterparts in other parts of the world.

“Equally worrisome is aircraft lease rental rate which are three times higher than of Europe, with charges that are killing, “he said.

Copyright © 2022 Nigerian Tribune Provided by SyndiGate Media Inc. (Syndigate.info).

Africa and Latin America also present opportunities, driven by economic development and tourism growth .

**Competitive Strategies of Major Manufacturers** Airbus, Boeing, Embraer, and emerging players are at the forefront of the next wave of aircraft deliveries.

**Competitive Strategies of Major Manufacturers** Airbus, Boeing, Embraer, and emerging players are at the forefront of the next wave of aircraft deliveries.

Airbus is actively innovating in aircraft design, focusing on lighter, bionic cabin structures that could reduce weight by up to 40%, directly improving fuel efficiency .

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GE Aerospace Stock Has 19% Upside, According to 1 Wall Street Analyst

GE Aerospace (NYSE: GE) stock has performed exceptionally well since becoming a separate company. A Barclays analyst recently set a $175 price target and an "overweight" rating on the stock, indicating a nearly 19% upside over the next 12 months.

The bullish case for GE Aerospace

The analyst is optimistic about GE Aerospace's long-term profit growth and cash generation potential. The aircraft engine business model involves initially selling engines at a loss, followed by decades of lucrative aftermarket revenue, particularly through customized service agreements (CSAs). It takes time before engines are utilized enough to need servicing and overhauling. As such, there can be periods where aggressively ramping engine production leads to margin pressures while aftermarket revenue from legacy engines starts to slow.

That's why CEO Larry Culp told investors that the guidance for operating profit of $6 billion to $6.5 billion in 2024 "implies flat margins year-over-year, given the growth in LEAP, initial 9X shipments for the 777X platform, and other growth investments." The LEAP engine is the sole engine option on the Boeing 737 MAX, the Comac C919, and one of two options on the Airbus A320 neo family.

The good news is that new engines mean new aftermarket revenue down the line, and the Barclays analyst sees substantial opportunity for margin expansion in the future as lucrative aftermarket revenue kicks in.

I agree with the assessment and point out two things. First, every new engine delivered (GE plans to ramp LEAP deliveries by 20%-25% in 2024 after a 38% increase in 2023) is negative for near-term profit margins, but it builds long-term value. As such, negative engine margin pressure should be welcomed.

Second, GE Aerospace continues to generate strong growth in its spares rate sales.

Ongoing growth in spares sales will help offset the margin pressure from more engine deliveries in 2024. When LEAP aftermarket sales start to kick in in a few years, at the same time as engine deliveries begin to slow, there's likely to be a substantive margin expansion opportunity.

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GE Aerospace Stock Has 19% Upside, According to 1 Wall Street Analyst was originally published by The Motley Fool

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What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

The company is also partnering with Neste to enhance SAF availability and aims to certify aircraft capable of operating on 100% SAF by the end of the decade .

Title:

Content: autoevolution
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Airbus Partners With the Biggest SAF Producer to Ramp Up Sustainable Fuel Availability

Although they’re working on pioneering electric and hydrogen-based propulsion solutions, the biggest players in the aviation industry, such as Airbus and Rolls-Royce, are perfectly aware that that’s going to take a long time. Aviation is one of the most difficult transportation sectors to decarbonize. In the meantime, SAF (Sustainable Aviation Fuel) can effectively act as the best temporary solution, as long as its production is scaled up all over the world.
7 photos
Neste is turning out to be one of the most important names when it comes to SAF. It claims to be the world’s largest producer, gearing up to increase its capacity even more, aiming for 5.5 million tons per year, starting 2023.

It will do so by extending its presence. New facilities will start operating in Singapore and California, in addition the ones in Europe. This will also make Neste one of the few SAF producers with operations on three continents.

In addition to that, it has recently partnered with two aviation giants, Rolls-Royce and Airbus. Last month, Rolls-Royce announced that it will start working with Neste on the implementation of SAF for diesel engines. This collaboration isn’t limited to aviation, but extends to rail and construction work as well.

Following that, Airbus recently made a similar announcement, confirming that it has also partnered with the Finnish company.

That’s because low availability is still one of the main challenges in the wide-scale adoption of this alternative fuel, according to Airbus. Plus, current aircraft are only certified to operate on 50% SAF, so there’s work to be done in order to reach a full 100%. Airbus hopes to achieve this by the end of this decade.

Neste was also linked to one of the most important milestones for the use of SAF. Earlier this year, a Malaysia Airlines Boeing 737-800 completed the world’s first passenger flight powered by SAF, which was provided by Neste.

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What is Airbus doing to achieve sustainable aviation?

It is working on adopting innovative strategies.

It is investing in sustainable aviation fuel production projects.

What is the main objective of the ReFuelEU Aviation initiative?

To increase demand and supply for sustainable aviation fuel

Airbus’s strong presence in Asia-Pacific and Europe, combined with its focus on sustainability, positions it as a leader in the market .

Boeing remains a major player but faces headwinds due to ongoing safety investigations and supply chain disruptions, particularly related to the Russia-Ukraine conflict and titanium supply .

Title:

Content: Flying taxi debuts in Dubai: What is an air cab and how will it change the way we travel?

China’s XPeng Inc successfully tested its two-seater flying taxi in Dubai, paving the way for the future of transportation. These vehicles are believed to be the answer to short-trip mobility and congested roads

FP Explainers October 11, 2022 16:40:26 IST

XPeng's eVTOL flying car X2 makes its first public flying in Dubai. AP

The future is here! The dream of whisking people through cities high above any traffic is inching towards reality after a Chinese firm tested out its electric flying taxi in Dubai.

Here’s a better understanding of how flying taxis work, their benefits and what it will look like to travel in one.

Flying taxi, explained

A flying taxi, also called an air taxi, is literally a flying car —  a small commercial aircraft or a helicopter for short flights on demand. It is considered as an alternative for travel in urban centres with congested roads and is also called urban air mobility (UAM) vehicle.

For some time now, air taxis have become an attractive option, with many companies such as Toyota, Uber, Hyundai, Airbus and Boeing working on their models and hoping to delve into the urban air mobility market.

According to a Morgan Stanley Research study, the autonomous urban aircraft market may be worth $1.5 trillion by 2040. Another urban air mobility (UAM) study, by Frost & Sullivan, sees air taxis beginning in 2022 in Dubai and expanding with a compound annual growth rate of about 46 per cent to more than 430,000 units in operation by 2040.

The flying taxi in Dubai

On Monday, Guangzhou-based XPeng Inc’s aviation affiliate tested out the XPeng X2 at the Marina District in Dubai.

The sleekly designed vehicle can carry two passengers and is powered by a set of eight propellers. The company says it has a top speed of 130 kilometres (80 miles) per hour.

The company claims that although Monday’s presentation used an empty cockpit, a manned flying test was actually conducted in July 2021.

After taking off, the X2 completed its historic 90-minute test flight. According to the company, the X2 is equipped with an intelligent flight control system and autonomous flight capabilities. It is also eco-friendly as it produces zero carbon emissions during its flight.

The company has said that the flying car has a maximum flight altitude of 1,000 metres and is equipped with fixed-skid type landing gear.

A man looks at the XPeng X2, an electric flying taxi developed by the Guangzhou-based XPeng, Inc's aviation affiliate, being tested in front of the Marina District in Dubai, United Arab Emirates. AP

The flying taxi market

China’s XPeng Inc isn’t the only company trying to develop and test their flying taxis.

On 3 October, air taxi startup Wisk Aero, which is backed by Boeing, unveiled its sixth-generation aircraft, an all-electric four-seater that can fly without a human pilot.

Wisk’s aircraft features six front rotors, each with five blades that can tilt either horizontally or vertically as well as six rear rotors that each consist of two blades and remain fixed in a vertical position. The company says it has a cruising speed of 120 knots, a range of 140 kilometres with reserves, and can fly at an altitude of 2,500-4,000 feet above ground.

The company has said that it aims to one day provide an intercity flying taxi service that can be summoned with an app, like Uber. The plan is for the vehicle to not have a pilot on board; instead, it will be flown mainly by an autopilot system, with supervision from a human pilot situated remotely.

Also read: Unmanned air mobility fast becoming a reality: Why India should not miss the bus

In 2020, Toyota announced it was investing $394 million into Silicon Valley-based Joby Aviation, which is developing a piloted all-electric vertical takeoff and landing (eVTOL) air taxi.

Similarly, Hyundai has partnered with Uber and both the companies showed of a mockup of a large flying taxi in Las Vegas in 2020. The firms said that the electrically powered PAV or “personal air vehicle,” would have the capability of carrying four passengers on trips of up to 60 miles at speeds reaching 180 mph.

The Airbus also showed off its version of a flying taxi, called the CityAirbus NextGen, in September 2021. The CityAirbus NextGen has room for four passengers and its battery can last for 80 kilometres.

Turbulence ahead

Most transportation experts believe that flying vehicles is the next phase of mobility. Joe Praveen Vijayakumar, Frost & Sullivan senior industry analyst, was quoted as telling CNBC, “Urban centres across the globe are struggling to come to terms with the rising vehicle numbers and the resulting congestion, especially during peak traffic hours. When air taxis become widely commercialised, they will definitely ease the traffic burden on city roads. They will usher in a nimble form of intracity travel, transporting people on the shortest possible route between two locations

However, there are challenges that companies have to overcome. Safety of these vehicles is of utmost significance.

Another concern is that these vehicles can become an easy target for hackers. Costing is another huge issue with flying taxis. Some believe that the market would be ‘ultra niche’ similar to how private helicopters and airplanes operate.

With inputs from agencies

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Content: Image: LiveFist

India stands on the cusp of pioneering its aircraft development, a potential reality in the near future. With the Indian aviation market poised to become one of the world’s top five largest markets, there’s a burgeoning demand for carriers like Indigo, Air India, and Akasa. Together, they’ve placed orders for over 1400 aircraft from Boeing and Airbus, marking one of the highest orders in the aviation industry.

‘Made In India’ Passenger Aircraft

To transform the dream of a ‘Made in India’ passenger aircraft into reality and propel the local aerospace ecosystem, India requires a comprehensive National Aerospace Policy. Notably, Airbus and Boeing have yet to establish final aircraft assembly lines (FALs) within India, spurred by the significant orders received.

India has exerted considerable pressure to establish assembly lines domestically, mirroring the success of similar initiatives abroad. With its aviation market growing at an unprecedented rate, India boasts the largest order book for new aircraft, estimated at a staggering $70 billion over the next decade. Existing airports bustle with travellers while new ones are either under construction or in the planning phase.

The timeline for India to realize the Prime Minister’s vision of a Made in India commercial aircraft hinges on various factors. Leveraging its prowess in exporting IT services and aerospace technologies, India is poised for the next stage of development.

The Success Rate of China’s C919 And ARJ21 Programs

In the realm of commercial aerospace manufacturing, Europe and the US have long held the reins, but China has emerged as a formidable contender in recent years. China’s journey began in 2002 with the ARJ21, a regional jet, and later the C919, a larger narrow-body aircraft. While the ARJ21 encountered delays and is seen as a modest achievement, the C919 boasts over one thousand orders, marking a significant success.

Both programs heavily rely on foreign technologies sourced from global original equipment manufacturers (OEMs), underscoring the importance of collaborations and creating an appealing environment for foreign companies to operate within China.

Indian HAL Has 80 Years of History

India, too, boasts a rapidly growing aerospace sector that traces its roots back to pre-independence times, predating China’s endeavours by over 60 years. Hindustan Aeronautics Ltd (HAL), initially established as Hindustan Aircraft Ltd in 1940, spearheaded this journey. Given its early establishment, India was poised to become a major player in aerospace manufacturing.

HAL shoulders much of the responsibility for developing aircraft for defense purposes, including the TEJAS, attack and multirole helicopters, trainer aircraft, and notably, the Dornier D228, a passenger version aircraft representing a significant breakthrough for the Indian Aerospace Industry. Demand for helicopters is also on the rise, further showcasing India’s potential in the aerospace domain.

India’s Aviation Market Demand

One drawback in the defence sector is the inherent uncertainty surrounding government budgets and delays in allocating funds for helicopter purchases. On the civilian front, aircraft demand remains consistently high, especially when they meet passenger needs and receive regular approvals from authorities.

India’s aviation market is distinct, calling for unique aircraft programs. With a high density of flyers, there’s a prevalent preference for short-haul flights from rural areas to major cities. As the air travel network expands to Tier-2 and Tier-3 cities, the number of operational airports is expected to surge from the current 140 to 230-240.

The demand for smaller aircraft, particularly for serving Tier 1-3 cities, is paramount for airlines. While the Dornier aircraft has been utilized for some routes, its availability limitations and noise levels have raised concerns. Jet planes emerge as preferable options for Indian travellers due to their efficiency and comfort, aligning better with the needs of airlines.

Establishing a sustainable aircraft program requires long-term commitment and substantial risk capital, often necessitating government support akin to what’s observed in developed markets. For instance, COMAC, over its lifetime, received significant state-related support ranging from $49-72 billion, while Airbus, over the years, obtained $22 billion from the EU.

Encouraging private investment is crucial for fostering growth in the aerospace sector and nurturing indigenous aircraft development in India. Such initiatives could significantly bolster the country’s aviation industry and enhance its self-reliance in this critical domain.

Indian Regional Jet (IRJ)

Introducing the Indian Regional Jet (IRJ), a cutting-edge project led by India’s National Aerospace Laboratories (NAL) and set to be manufactured by Hindustan Aeronautics Limited (HAL). This regional airliner aims to redefine air travel with its design, offering a capacity of 80–100 passengers. The base model, known as the RTA-70, will boast 80–90 seats while distinguishing itself with a cost that’s 20 percent lower than its global counterparts.

Development is well underway, with plans for a 90-seater variant expected to take flight by 2026. This next-generation aircraft promises impressive specs, including a range of 1,350 nm (2,500 km), and requiring a take-off and landing field length of 900m (2,950 ft). With dimensions of 28.6m in length and a wingspan of 29.4m, it reaches a service ceiling of 30,000 ft and cruises at 300kt, all while meeting Stage 4 noise criteria.

SARAS Aircraft

Meanwhile, NAL’s innovative spirit extends to the NAL SARAS, another project in the works. Already, prototypes like the MK-1 and its successor, the second version dubbed ‘MK-2,’ are pushing boundaries. The SARAS MK-2 showcases versatility, offering ranges of 600 km with 19 passengers, 1,200 km with 14 passengers, and an impressive 2,000 km with eight passengers. With a top cruise speed exceeding 600 km/h and an endurance of six hours, it’s a game-changer.

Power Plant

SARAS is powered by two Pratt and Whitney Canada. PT6A-67A turbo-prop engines (flat rated to 1200 shp) driving 2.6 m diameter 5 bladed constant speed propellers at 1700 rpm in a Tractor configuration.

Weights

Max. take-off : 7600 kg (16755 lb)
Operating empty wt. : 5100 kg (11244 lb)
Max. fuel weight : 1832 kg (4039 lb)
Max. pay load : 1710 kg (3770 lb)

Main Dimensions

Span : 18 m (59.05 ft)
Length : 17.3 m (56.8 ft)
Height : 5.5 m (18 ft)

Performance (ISA)

Take-off Distance : 820 m (2690 ft)
Landing Distance : 665 m (2182 ft)
Max. rate of climb : 10 m/s (1980 ft/min)
Max. Range (19 Pax) : 750 km (405 nm)
Max. Range (10 Pax) : 2350 km (1270 nm)
Ferry Range 2400 km (1295 nm)
Max. cruise speed : 485 km/hr (260 Kts)
Endurance : 6 hours . With 45 min reserve

Equipped with propeller engines initially, the SARAS is poised for future upgrades to jet engines if project requirements align. NAL’s ambition shines through in its cost-effective approach, targeting ₹50 crore per unit for the SARAS MK-2, undercutting the ₹55 crore Dornier 228 with its unpressurized cabin and altitude restrictions. Anticipating government support, NAL aims to secure orders for 50-60 units to ensure manufacturing viability, with an initial order of 15 aircraft from the Indian Air Force potentially expanding to 120–140 units in the coming years.

Boeing’s CEO has emphasized the need to resolve production issues to meet future demand for sustainable aircraft .

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Content: India's goal to clean up transport with sustainable aviation fuel

Around the world, more than 360,000 flights have already been powered by SAF

S Dinakar Amritsar

6 min read Last Updated : Dec 06 2023 | 10:48 PM IST

Last month, a Virgin Atlantic flight running solely on sustainable aviation fuel (SAF), a non-polluting variant, completed its journey from London to New York, making it the first trans-Atlantic flight by a commercial airline to use a 100 per cent blend of jet fuel, although it must be mentioned that the flight had no paying passenger or cargo.

The aircraft was a Boeing 787 Dreamliner, using Rolls-Royce Trent 1000 engines. It carried around 60 tonnes of SAF and consumed three-fourths of it. Existing standards allow for a 50 per cent SAF blend in commercial jet engines, though this voyage demonstrated that in-production Rolls Royce engines for long-haul aircraft are compatible with 100 per cent.

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Closer home, SpiceJet operated India’s first domestic biofuel test flight on a 25 per cent blend of SAF in 2018, followed by Indigo last year. In March this year, Vistara operated a wide-body aircraft on a long-haul international route using sustainable aviation fuel. A blend of 30 per cent SAF and 70 per cent conventional jet fuel was used on a ferry flight between Charleston International Airport, South Carolina, to Indira Gandhi International Airport, New Delhi, which resulted in the reduction of approximately 150,000 pounds of carbon-dioxide emission over the fuel’s life cycle. Later, Vistara also operated a Boeing 787-9 Dreamliner, flying from Delhi to Mumbai, on a blend of 17 per cent SAF and 83 per cent conventional jet fuel, resulting in reduction of approximately 10,000 pounds of CO2 emission, says a Vistara spokesperson.

However, the government diluted plans for a blanket SAF blending mandate from 2025, announced by Oil Minister Hardeep Singh Puri earlier this year, and, instead, introduced a 1 per cent SAF blending target for international flights starting in 2027. The SAF target rises to 2 per cent from 2028. The target was essential for India to comply with the mandatory phase of the International Civil Aviation Organization’s Corsia, or Carbon Offsetting and Reduction Scheme for International Aviation, which excludes emissions from domestic flights.

“The SAF opportunity is validation of the long-term road map to introduce ‘biomass-based’ fuel variants in all segments of the economy,’’ says Suhas Baxi, chief executive officer (CEO), BiofuelCircle.

Around the world, more than 360,000 flights have already been powered by SAF.

India’s tryst with SAF

India’s SAF requirements for international aviation would total 100 metric tonnes per day at a 1 per cent blending ratio, and for domestic aviation, 300 metric tonnes per day, according to the government’s recently released Energy Transition Report. India consumed 7.4 million tonnes of jet fuel, which is derived from processing crude oil, in financial year 2022-23. Earlier this year, Puri talked of a 1 per cent SAF blending mandate from 2025, covering domestic and international flights, rising to 2 per cent by 2026 and 5 per cent by 2030.

Though the aviation industry contributes less than 1 per cent of India’s total emissions today, it is among the fastest growing sectors of a country on track to becoming the world’s third-largest aviation market by 2024. Curbing emissions from air transport is important for New Delhi to meet its 2070 net-zero goal.

The International Energy Agency said SAF will need to make up 10 per cent of the global jet market by 2030 to be in line with the agency’s net-zero pathway. Europe has imposed mandates to scale up usage of SAF across the European Union, while the United States is offering incentives in the Inflation Reduction Act to promote SAF. China has not released a SAF policy yet.

The oil ministry attributed the calibration of SAF commitments to feedback from stakeholders, the capacities of upcoming SAF plants, and projected jet fuel sales. Indian carriers point out that SAF is at least two to seven times the price of conventional jet fuel, making it harder to be profitable in India’s cut-throat airline market. Go First and Jet Airways have already been forced into bankruptcy, and Spice Jet is facing extreme financial pressures.

Globally, Boeing has set an ambitious target to address the long-term sustainability of commercial aviation by committing that its commercial airplanes will be capable and certified to fly on 100 per cent SAF by 2030, says Salil Gupte, president, Boeing International Corporation India. “In India, we view SAF as an opportunity for growth.”

Cost factor

Fuel is 40 per cent of an Indian carrier’s operational cost, compared to 25 per cent for overseas carriers. Air France/KLM CEO Anne Rigail said at an International Air Traffic Association event in Spain in October that a tiny 1 per cent share of SAF in their aircraft cost $100 million last year and the 10 per cent SAF target by 2030 would add $1 billion to their fuel costs.
For instance, jet fuel for December sells at Rs 1,06,000/Kl. SAF, if available, can cost anywhere from Rs 2,00,000/Kl to Rs 7,00,000/Kl, according to oil ministry data. Carriers already pay high taxes on jet fuel: 25 per cent higher for fuel for domestic routes compared to international operations.

“Since fossil jet fuel is relatively cheaper, shifting to SAF will require the support of the government, industry, and consumers, particularly as growth in the Indian aviation market accelerates,’’ according to India’s Energy Transition Report, overseen by Tarun Kapoor, an advisor in the Prime Minister’s Office, and chairman, Energy Transition Advisory Committee.

India may have a huge potential for alcohol-to-jet SAF, given its huge sugar industry, with potential production capacity estimated at 24-30 billion litres a year. But lack of takers has put off investors in SAF facilities. India’s ethanol business surged only after state oil companies committed offtake at state-set rates, but that commitment will be harder to come from airlines, which are privately owned.

The alcohol-to-jet (ATJ) fuel process to make synthetic kerosene is best suited to India's domestic feedstock profile because of the existing facilities, said US trade publication Jet Fuel Intelligence. Though the HEFA method, which yields synthesised paraffinic kerosene from hydro-processed esters and fatty acids, used in the Virgin flight, to make SAF may be cheaper than ATJ, limited access to used cooking oil feedstock in India poses a problem.

“Critical end-use applications such as aviation will demand a more stringent quality management process for the fledgling biofuels industry and the feedstock supply chain will have to quickly come around to meet these expectations,” says Baxi of BiofuelCircle.

IndianOil is working with US ATJ specialist LanzaJet to build a joint-venture plant converting ethanol made from refinery off-gases into SAF at its Panipat refinery in northern India. That 37.9 million litre-a-year facility could be up and running by 2025. But that is still a fraction of the more than 9 billion litres of jet fuel India consumes annually.

“Flight100 proves that SAF can be used as a safe drop-in replacement for fossil-derived jet fuel, but there is simply not enough SAF and, in order to reach production at scale, we need to see significantly more investment,’’ said Virgin Atlantic CEO Shai Weiss. “But that investment will come “only when regulatory certainty and price-support mechanisms, backed by the government, are in place”.

Topics :Aviation fuelsustainable firmsClean fuelAviation sector

First Published: Dec 06 2023 | 10:48 PM IST

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The company is also investing in digital solutions, such as the FliteDeck Advisor, which has demonstrated significant fuel savings and CO2 emission reductions in partnership with Etihad Airways .

Title:

Content: There were 1,963 press releases posted in the last 24 hours and 355,742 in the last 365 days.

Avolon: 2022 Full Year Results

Avolon delivers strong underlying net income and cash generation as global aviation approaches full recovery

Avolon, the international aircraft leasing company, announces results for the full year, 2022.

- Strong performance in adjusted net income with a 5x increase year-on-year to $253 million which excludes the impact of Russia;

- 35% increase in operating cashflow to $1.2 billion in 2022; exceeding the full year cashflow generated in 2019, prior to onset of Covid-19;

- 9% increase in lease revenue year-on-year to $2.3 billion;

- Total available liquidity of $5.6 billion at year end, including $655 million of unrestricted cash and $4.9 billion of undrawn debt facilities;

- Upsized unsecured revolving facility to $4.6 billion, bringing total revolving debt capacity to over $6.0 billion at year end;

- Raised $2.2 billion of new debt, including Avolon's inaugural JOLCO financing; and

- Ended the year with net debt to equity of 2.3 times, a secured debt to total assets ratio of 22% and approximately $16 billion of unencumbered assets.

2022 | PERFORMANCE HIGHLIGHTS

- Owned and managed fleet of 576 aircraft at year end, with total orders and commitments for 258 fuel-efficient, new technology aircraft;

- Executed a total of 237 lease transactions comprising new aircraft leases, follow-on leases and lease extensions;

- Delivered a total of 35 new aircraft and transitioned 35 aircraft to a total of 27 customers;

- Sold 36 aircraft during the year;

- Added 10 new customers during 2022, ending the year with a total of 146 airline customers operating in 63 countries;

- Agreed a landmark transaction with Malaysia Airlines for the financing of 20 A330-900neo aircraft valued at over $2 billion;

- Delivered our first A330 to IAI for conversion to dedicated freighter operations;

- Received inaugural ESG Rating from Sustainalytics with a score of 16.0 placing Avolon in the ‘Low Risk' category and the top 5% of our industry grouping; and

- Fully placed our order for 500 Vertical Aerospace eVTOLs.

Andy Cronin, Avolon CEO, commented:

"Momentum in global aviation continued throughout 2022 and we worked closely with our customers to support their demand for aircraft. Our financial performance was strong, with a five-fold increase in adjusted net income and 9% growth in lease revenue. Operating cashflow was 35% higher than 2021 and also ahead of our pre-pandemic cashflow in 2019. A non-cash impairment charge on aircraft in Russia impacted our reported performance but the underlying financial strength of our business is clear.

The outlook for 2023 is positive, and we expect the reopening in China will be the catalyst to drive global traffic to pre-pandemic levels by June. Increasing demand for aircraft to service strong passenger demand, combined with a shortage of new aircraft, is putting upward pressure on lease rates and is positive for long-term residual aircraft values. Avolon's low leverage, high levels of liquidity, and our order book of new technology fuel-efficient aircraft position us well to take advantage of attractive opportunities to deploy capital in the year ahead."

About Avolon

Headquartered in Ireland, with offices in the United States, Dubai, Singapore, Hong Kong and Shanghai, Avolon provides aircraft leasing and lease management services. Avolon is 70% owned by an indirect subsidiary of Bohai Leasing Co., Ltd., a public company listed on the Shenzhen Stock Exchange (SLE: 000415) and 30% owned by ORIX Aviation Systems, a subsidiary of ORIX Corporation which is listed on the Tokyo and New York Stock Exchanges ((TSE: 8591,IX. Avolon is a global leader in aircraft leasing with an owned, managed and committed fleet, as of 31 December 2022 of 834 aircraft. www.avolon.aero

View source version on businesswire.com: https://www.businesswire.com/news/home/20230208006028/en/

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

It is working on adopting innovative strategies.

Embraer, through its subsidiary Eve Air Mobility, is capitalizing on the UAM trend by building a factory in Brazil to manufacture eVTOLs, with orders for 2,850 aircraft worth approximately $1.5 billion .

Title:

Content: ACHR

10 Questions for the CEO of Archer Aviation

Electric air taxi company Archer Aviation (NYSE: ACHR) is one of Cathie Wood's favorite stocks.

In August, the tech stock maven added 4.4 million Archer shares to her ARK Invest ETFs. ARK's $120 million investment in Archer now makes up more than 1% of its combined holdings. And if "1%" doesn't sound like a lot, well...Archer only has a market capitalization of about $1.4 billion. Wood owns almost 10% of that.

But what is it about Archer that makes it so attractive? I was curious and so, to find out, I asked the company's CEO, Adam Goldstein, a few questions. Here's what he had to say (edited for clarity and brevity).

1. What advantages does (electric vertical take-off and landing) eVTOL aircraft have over ground and helicopter transportation?

As of 2023, 56% of the world's population lives in cities today according to the World Bank, with their projection being that it will rise to nearly 7 of 10 people by 2050. Traffic delays alone cost the U.S. economy over $120 [billion] per year. One key to solving this problem is unlocking the skies for everyday intercity travel.

The biggest advantage to traveling in the skies versus via the ground is that you can fly over traffic. A taxi from the East Side of Manhattan to Newark Liberty International airport can take 90 minutes or more. Our eVTOL aircraft can make that same trip in approximately 10 minutes. Helicopters can't do that at scale because of the noise they generate, safety concerns, and high cost.

Our Midnight eVTOL aircraft take-off and land like a helicopter but fly forward like a traditional airplane. Spinning 12 small propellers rather than one large rotor lets us spin them at lower tip speeds, with noise levels almost 100 times quieter than a helicopter. And with 12 propellers for multiple redundancy, they're designed to be far safer than helicopters.

2. In the future, what might passenger fares for a 10-mile trip via Midnight be versus taxi fare?

Today, you can take a 20-mile Uber Black from Manhattan to JFK airport for about $150. That trip is only 7 miles by air, and we aim to fly it for a price that is competitive with Uber Black.

3. That sounds great. Now add the advantage in travel time. Is the long-term vision that eVTOL will replace ground transport?

Our goal is to make eVTOL flight an everyday option for urban travelers. Our aircraft will complement overburdened ground transportation networks, not replace them.

4. What are Archer's advantages over your competitors?

First, often, companies design their product and then look for a use case. We designed our aircraft for a specific use case, the 20 [to] 50 mile trip that takes an hour or more by car. Everything about the aircraft is optimized for this trip. As an example[,] we optimized our powertrain to be able to charge in about 10 minutes between successive trips.

Second, we designed our aircraft [alongside] the [Federal Aviation Administration], which we believe has allowed us to advance our aircraft through the FAA certification process. We did not develop a design and take it to the FAA to certify, as there, potentially, would have been feedback that required us to redesign our aircraft.

Finally, it's nearly impossible to certify an aircraft with less than $1[billion] of capital. Archer is one of only a few eVTOL companies to hit that mark.

5. Sketch out the time line for going from eVTOL concept to eVTOLs routinely flying city to city.

Our timeline has four parts: technology development, FAA certification, manufacturing[,] and commercialization.

On technology development, we've validated our core design through extensive flight testing of our aircraft, and we've translated that learning to our certification, manufacturing, and commercialization efforts.

Certification requires significant cooperation with the FAA. We are one of only two companies with Airworthiness Criteria for their eVTOL aircraft published in the Federal Register by the FAA. We've been working closely with the FAA on the remaining steps to achieve Type Certification, and expect to begin for-credit flight testing in 2024 with our goal to begin commercial operations in 2025.

On manufacturing, we want to build aircraft at scale. We've partnered with automaker Stellantis to build a high-volume facility in Georgia. Initial capacity will be up to 650 aircraft per year, which can ramp to over 2,000 per year with a phase 2 build out.

Finally, on commercialization, United Airlines has agreed to buy up to 300 of our Midnight aircraft, and our plan is to collaborate with them on our first air taxi routes in the [U.S.] Advancing all of these [work streams] is intended to set us up to achieve commercialization in 2025 and scale by 2028.

6. How long after certification should investors expect to see revenue from the "Archer UAM" air taxi business?

The goal is for our UAM business to begin generating revenue in 2025 but remains dependent on us receiving Type Certification of our aircraft from the FAA.

7. United Airlines has agreed to buy anywhere from $1 billion to $1.5 billion worth of eVTOLs from you. How many aircraft would that be?

As discussed previously, United Airlines has agreed to buy up to 300 of our Midnight aircraft, and our plan is to collaborate with them on our first air taxi routes in the [U.S.] They've already paid a $10 million pre-delivery payment for the first 100 aircraft.

8. Archer burned more than $200 million in cash last year. You expect "significant expenses and continuing losses for the foreseeable future." How safe is this stock for individual investors?

We believe we have a [once-in-a-generation] opportunity to be one of the first companies to meaningfully deploy a transformational technology that will forever change how people move in and around cities around the world. Morgan Stanley predicts urban air mobility to be a $66 [billion] market by 2035, and a $1 [trillion] market by 2040. Individual investors must decide what risk they are willing to take with any investment, but we agree with Morgan Stanley that the opportunity in this industry is massive and our focus is on delivering on our mission of making urban air mobility and creating value for our shareholders.

9. CEO Carlos Tavares at your partner Stellantis advocates "cross-industry collaboration" between car companies and eVTOL. Can you elaborate?

eVTOL aircraft are only possible because of advancements in high-density lithium-ion batteries by electric vehicle makers such as Stellantis and Tesla. This technology directly benefits urban air mobility, and we're building on that foundation.

For eVTOL aircraft to be successful they must also be manufactured at scale -- more like cars than like airplanes. Historically, aircraft OEMs have assembled vehicles almost entirely by hand. A single airplane can take over 90 days to manufacture. Automakers are typically more heavily automated, and so we've partnered with Stellantis to build a manufacturing facility in Georgia that can eventually produce more than 2,000 aircraft per year.

10. In 1943, IBM president Thomas Watson predicted "there is a world market for maybe five computers." Electric air taxis sound wild today, but in 70 years, will private ownership of eVTOLs be as common as owning a PC today?

When we look at the market for eVTOL aircraft, we're confident that it will be larger than anything we can predict today. This has the potential to be the first major change to how people travel since the mass adoption of commercial flight.

Replacing a large portion of the helicopter market is our first opportunity. We estimate that it would take us nearly a decade to capture only a third of the global commercial helicopter market, and that doesn't count the tens of thousands of expensive and cumbersome military helicopters that eVTOL aircraft could replace.

Beyond helicopters, eVTOL aircraft low noise profile opens key airport transfer and commuter routes in most major metropolitan cities that people currently transit by car.

Ultimately, we believe we can unlock leisure routes and latent demand that today remains completely unfulfilled. For example, Midnight can take you from downtown Los Angeles to the beach in approximately 5 minutes, making it easier -- and faster -- to see your friend in Santa Monica more often than you do today.

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Rich Smith has positions in Stellantis. The Motley Fool has positions in and recommends Tesla. The Motley Fool recommends International Business Machines and Stellantis. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Embraer’s regional focus and innovation in electric aviation position it well for growth in both traditional and emerging markets .

General Electric’s aerospace division is expected to grow substantially, supported by strong aftermarket revenue from aircraft engines.

General Electric’s aerospace division is expected to grow substantially, supported by strong aftermarket revenue from aircraft engines.

General Electric’s aerospace division is expected to grow substantially, supported by strong aftermarket revenue from aircraft engines.

Barclays analysts have set a price target of $175 for GE Aerospace, implying nearly 19% upside over the next year .

Title:

Content: BA

Boeing CEO says supply chain pressure could continue through 2024

Credit: REUTERS/DAVID RYDER

Recasts with supply chain comments, adds quotes

DOHA, May 23 (Reuters) - Boeing BA.N Chief Executive Dave Calhoun on Tuesday said it could take until the end of next year to cure sector-wide supply chain problems that have disrupted jetliner production.

"Priority one for the two airplane manufacturers is stability," Calhoun told the Qatar Economic Forum, referring to Boeing and European rival Airbus AIR.PA.

"We have to resolve the supply chain issues and the surprise associated with it; and we have to resolve it sort of once and for all," Calhoun told the Bloomberg-organised event.

"That is not a short-term job. It sounds like it might be, but I think it could take all of this year and probably all of next year."

In April Calhoun had reported progress in tackling the supply chain and repeated November guidance that "significant supply chain improvement" was unlikely "until well into 2024".

On Tuesday Calhoun said he did not think recent problems with production of the best-selling 737 narrow-body jet would delay manufacturing for more than a month or one and a half months.

Calhoun also said the industry was unlikely to introduce all-new jet designs before the mid-2030s, citing the pace of emerging propulsion and wing technology.

Qatar Airways Chief Executive Akbar Al Baker, however, told the same event he would advise Boeing, Airbus and Brazil's Embraer EMBR3.SA to "start looking now" at sustainable new platforms.

(Reporting by Andrew Mills and Tim Hepher Additional reporting by Valerie Insinna Editing by David Goodman)

((tim.hepher@thomsonreuters.com; +33 1 49 49 54 52; Reuters Messaging: tim.hepher.thomsonreuters@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Pratt & Whitney, a GE competitor, is collaborating with NASA on the HyTEC project to develop advanced engine technologies compatible with SAF, underscoring a strategic commitment to sustainable propulsion .

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Content: ADVERTISEMENT

Countries must be allowed to prepare own plans for SAF: India

May 31, 2023 08:59 pm | Updated 08:59 pm IST - NEW DELHI

Urges support for achieving sustainability in aviation alongside other challenges

India on Wednesday asserted that global mandates for Sustainable Aviation Fuel with 2050 as the target year was “too early” and that each State must be allowed to develop its strategy as per its national plans. It also sought support from the UN Aviation watchdog ICAO to achieve carbon net zero goals alongside other priorities in the aviation sector such as growing aspirations of passengers.

The 41st International Civil Aviation Organisation (ICAO) Assembly adopted a long-term global aspirational goal (LTAG) for international aviation of net-zero carbon emissions by 2050 in support of the UNFCCC Paris Agreement’s goal to limit global warming to 1.5 degree celsius and reach net zero by 2050. This was preceded by a resolution at the 77th IATA Annual General Meeting in Boston, USA, on October 4, 2021, where a resolution was passed by member airlines committing them to achieving net-zero carbon emissions from their operations by 2050.

“Any global mandates for SAF with milestones to 2050 are too early as each State must be allowed time to develop its own strategy for reaching LTAG as per its national plans,” said Secretary, Ministry of Civil Aviation, Rajiv Bansal at ICAO Global Implementation Support Symposium 2023 at Seoul, South Korea.

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He added till SAF production, certification and availability are ensured, any volumetric mandates will not be consistent with the ideology of long-term global aspirational goal (LTAG), which doesn’t impose specific obligations but recognises each State’s special circumstances and capabilities to contribute to the LTAG within its own national timeframe. India will start participating in the ICAO’s Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) and the LTAG from 2027.

India also sought ICAO’s support to achieve sustainability goals alongside other competing priorities such as cyber security, growing aspirations of passengers and the industries, building resilience in the aviation system and developing harmonized standards for advanced air mobility.

India has pledged net zero by 2070 and reduce the carbon intensity of its economy by less than 45% by 2030 and urged developed countries to provide climate finance of $1 trillion at the earliest. Airlines such as the Lufthansa Group as well as Air France KLM have set a target of becoming carbon neutral by 2050 and the European Union in April agreed to a deal to set binding targets for airlines in Europe to increase their use of SAF with fuel supplies required to ensure 2% SAF at EU airports in 2025, 6% in 2030, 20% in 2035 and 70% in 2050.

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Emerging players such as Archer Aviation, Joby Aviation, Lilium, and Volocopter are advancing eVTOL development, targeting urban mobility and last-mile delivery in congested cities .

Title:

Content: Aircraft Leasing Market Overview by Recent Opportunities, Growth Size, Regional Analysis and Forecasts to 2032

The global aviation industry is experiencing unprecedented growth, fueled by increasing air travel rates and the demand for efficient aircraft. In tandem with this growth, the aircraft leasing market has emerged as a critical component of the aviation ecosystem, providing airlines with flexible leasing options to meet their fleet requirements. A recent report by Report Ocean forecasts that the aircraft leasing market size is poised to exceed USD 453.2 billion by 2026, with a robust growth rate of 6.8% during the forecast period.

Request To Download Free Sample of This Strategic Report @-https://reportocean.com/industry-verticals/sample-request?report_id=Pol8

Driving Factors Behind Market Growth

The surge in air travel rates is a primary driver propelling the demand for aircraft leasing. Airlines are opting for leasing arrangements to expand their fleets and meet the escalating demand for air travel. Aircraft leasing offers flexibility and cost-effectiveness compared to outright aircraft purchases, enabling airlines to optimize their fleet size based on fluctuating market conditions.

Aircraft leasing encompasses two primary lease types: dry lease and wet lease. In dry leasing, aircraft are leased without crew members, while wet leasing involves leasing aircraft along with trained crew, maintenance, and insurance. This flexibility allows airlines to tailor leasing agreements to their specific operational needs, further driving the adoption of aircraft leasing.

Additionally, factors such as the growth in global aviation industry, increasing regulations, demand for fuel-efficient commercial aircraft, attractive tax policies, and affordable lease rates contribute to the burgeoning aircraft leasing market. Emerging economies present significant growth opportunities for aircraft leasing, with technological advancements further enhancing the appeal of leasing options.

Regional Insights and Market Dynamics

Europe emerged as the highest revenue-generating region in the aircraft leasing industry in 2019, driven by high disposable income, advanced living standards, and the development of new aircraft. The region witnessed increasing adoption of aircraft leasing due to the operation of efficient commercial aircraft and technological advancements. However, North America is also a significant market for aircraft leasing, with well-established aviation infrastructure and a robust demand for air travel.

Get a Free Sample PDF copy of the report @-https://reportocean.com/industry-verticals/sample-request?report_id=Pol8

Asia-Pacific is poised to exhibit substantial growth in the aircraft leasing market, propelled by countries such as China, India, and Japan. Rising air traffic, economic development, and increasing demand for air travel in the region contribute to the growing adoption of aircraft leasing. Latin America, the Middle East, and Africa also present lucrative opportunities for market players, driven by factors such as infrastructure development and tourism growth.

Competitive Landscape and Key Players

The global aircraft leasing industry is characterized by the presence of both international and small to medium-sized vendors. Leading companies such as Aviation Capital Group, Boeing Capital Corporation, Air Lease Corporation, and International Lease Finance Corporation dominate the market. These companies continually innovate and collaborate with other industry players to meet the evolving needs of consumers and launch new products to stay competitive.

Segmentation and Market Outlook

The aircraft leasing market is segmented based on lease type, aircraft type, and region. Dry leasing and wet leasing represent the primary lease types, catering to the diverse needs of airlines. Aircraft types include wide-body aircraft and narrow-body aircraft, each serving specific operational requirements. Regionally, North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa constitute the key market segments, offering insights into regional market dynamics and growth prospects.

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Future Outlook and Conclusion

In conclusion, the global aircraft leasing market is poised for significant growth driven by increasing air travel rates, demand for fuel-efficient aircraft, and favorable market conditions. As airlines seek to optimize their fleets and enhance operational efficiency, aircraft leasing emerges as a strategic solution to meet evolving market demands. With technological advancements and infrastructure development, emerging economies present lucrative opportunities for market players. As the aviation industry continues to soar to new heights, aircraft leasing remains a vital component facilitating the expansion and modernization of airline fleets worldwide.

These responses will function a complete examination of the:

  • The markets’ present-day infrastructures
  • Market possibilities and challenges
  • Future plausible for increase in particular industries
  • Major geographic and market segments to target, and end-user goal organizations and their viable operational volumes
  • Representative and a price chain probability breakdown
  • Market dimension and boom price during the expected time frame.
  • The market’s important using forces
  • Key market traits are impeding market expansion.
  • Obstacles to market expansion.
  • Market’s pinnacle merchants.
  • Thorough SWOT analysis
  • Threats and possibilities confronted with the aid of the modern carriers in the world market.
  • Trending elements that affect the markets in the quite a number region.
  • Initiatives with a strategic center of attention on the pinnacle vendors.
  • PEST find out about of the five essential market regions.

Access Full Report Description, TOC, Table of Figure, Chart, etc.-https://reportocean.com/industry-verticals/sample-request?report_id=Pol8

(*Note: The historical years and projected period in the report are flexible and can be tailored upon request. Additionally, the scope of the published report is adjustable to meet specific requirements, and customized analyses based on particular geographies or countries can be included as part of the customization.)

About Report Ocean:

Report Ocean is a renowned provider of market research reports, offering high-quality insights to clients in various industries. Their goal is to assist clients in achieving their top line and bottom line objectives, thereby enhancing their market share in today’s competitive environment. As a trusted source for innovative market research reports, Report Ocean serves as a comprehensive solution for individuals, organizations, and industries seeking valuable market intelligence.

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Title:

Content: United just ordered 200 more flying taxis — see inside Embraer's Eve eVTOL, which can fly up to 150 mph

  • United Airlines has ordered 200 of Eve Air Mobility's electric vertical take-off and landing (eVTOL) aircraft.
  • The flying taxi is designed to transport passengers between city centers and airports to avoid roadway traffic.
  • A mockup of the five-seater Eve aircraft was on display at the Farnborough International Air Show in July — take a look.

United Airlines seems confident eVTOLs — electrically powered vertical take-off and landing vehicles — will be the future of short-haul, urban flights.

On Thursday, United announced it has paid $15 million to secure a conditional prepurchase agreement for 200 electric flying taxis being developed by Eve Air Mobility (EAM), the startup founded by Brazilian planemaker Embraer.

The deal also includes options for another 200 Eve aircraft and comes a month after the airline paid a $10 million pre-delivery deposit for 100 eVTOLS being developed by Archer Aviation. United, in partnership with Mesa Airlines, has 200 on order.

United Airlines is getting serious about electric flying taxis that ferry passengers to nearby airports. Take a look at the Archer Aviation 'Maker' prototype.

United expects to receive the first deliveries of the electric Eve by 2026, despite the fact the eVTOL is yet to be certified by aviation regulators.

Certification will be a complex process as the urban air mobility industry still lacks regulatory oversight, robust infrastructure, and an air traffic management plan, among other hurdles.

"You're operating at lower levels," Simon Whalley of Skyports, a UK startup working to develop a network of vertiports, told Insider.

"You're close to people, you're close to buildings," he continued. "So, you're dealing with things like visual and sound blight, for example. All those things are going to have to be taken into consideration by the industry."

However, the Federal Aviation Administration and the United Kingdom Civil Aviation Authority have started "discussions focused on facilitating certification and validating new eVTOL aircraft, production, continued airworthiness, operations, and personnel licensing."

Source: Federal Aviation Administration

Thursday's announcement makes United the first major airline to invest in two separate eVTOL companies, Michael Leskinen, president of United Airlines Ventures, said in a press release.

Source: United Airlines

Major airlines, including American Airlines and Virgin Atlantic Airways, are betting big on eVTOLs as part of their ambition to cut carbon emissions.

See inside the flying taxis American Airlines and Virgin want to use to carry 4 passengers on 30-minute flights between airports and across cities

The vehicles are designed to travel at low altitudes on short-haul flights in urban areas, and designers expect airlines and tour operators to use them to transfer passengers between city hubs and airports.

Eve unveiled a mockup of the five-seater aircraft at the Farnborough International Air Show in July — here's what it looks like.

See inside Embraer's 4-seat electric flying taxi that could be shuttling passengers between airports and city centers by 2026

Eve is being designed to travel distances of up to 60 miles and fly up to 150 miles per hour, according to the company. The flying taxi will cover 99% of intra-metro travel, EAM's David Rottblatt told news outlet eVTOL in February.

Source: eVTOL

The cabin can seat up to four people in two rows facing each other.

The cockpit is separate from the passenger seats.

Source: Insider

The mockup had limited flight controls, like a display screen...

...and a small control stick. However, the company told Insider that the design is likely to change after flight testing.

Aerospace company Thales will develop the avionics, flight controls, navigation, and other systems in Eve.

Source: Eve Air Mobility

Eve also has the potential to reduce noise levels by as much as 90%, United said in a statement.

While the cabin on display was a mockup, Eve will use feedback from companies operating the vehicle to fine-tune the final design, Flavia Ciaccia, Vice President of User Experience and Market Intelligence at Eve, told Insider.

With an order book now exceeding 2,000 orders, the New-York listed Eve Air Mobility leads the way compared to other eVTOL makers.

EAM is hoping to start deliveries of the eVTOL by 2026 and receive certification before then, Ciaccia told Insider.

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Airbus Reveal The Future Of Travel In 2035

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Yesterday, Airbus held a press conference to launch their new vision for how flying could be more sustainable and decarbonized in the future and what the passenger experience may look like. The focus was on the aircraft cabin, which research shows can contribute between 10-20% to the aircraft's overall environmental impact during its lifecycle.

The aircraft manufacturer is working with ten major airlines, including the Lufthansa Group and Delta, as well as eight technology partners, to work on new concepts for future cabins. The aim is to ensure future cabins are less damaging to the environment while still delivering an improved traveler experience.

The most powerful lever that Airbus can pull to reduce the impact of the cabin is to reduce its weight. Creating lighter, bionic designs for new cabins could help reduce their weight by up to 40%. Before the flight, passengers would be invited to pre-order their meals for long-haul flights. Several airlines already offer these options, with some going further and giving the choice of stating you do not want a meal at all, such as Japan Airlines and Delta. The airline knows in advance what meals to load, so it carries less weight which reduces fuel costs, and there is less waste. It could even mean dispensing with the galley area altogether on short flights.

Another interesting concept was that of shorter flights, giving passengers a pre-order choice that they collect prior to boarding. Again, while reducing waste, this would further reduce the weight due to needing fewer trolleys for service, which are heavy. Airbus believes it could help reduce food waste and weight by up to 15%. In the future, passengers should be provided with more transparent information about their individual journey's carbon footprint and use technology to offer more choices, such as carbon offsetting or meal choices.

Onboard, there will be further use of technology to allow passengers to operate everything using their own smartphones. Virgin Atlantic recently launched its new Airbus 330neo cabin, which gives passengers the ability to control the in-flight entertainment using their own device, even in economy.

Airbus has a vision that future cabins will have more nature-based cabin designs with a sense of space and light. However, aircraft manufacturers often devise these concepts only for airlines to try to cram in as many seats as possible to maximize profits. There will also be a long-term focus on how aircraft cabin manufacturers can reuse materials or parts and use elements made from recycled materials. Not only is this better for the planet, but it could lead to lower costs for producing new aircraft cabins.

Of course, all the initiatives to reduce weight would be less critical to the environment if sustainable fuel was used more. SAF (sustainable aviation fuel) is already being produced and has been used on a number of commercial flights. However, less fuel burn of any kind is always a way to reduce costs for airlines, no matter how small the weight difference. However, Qatar Airways CEO Akbar Al Baker recently commented on the feasibility of SAF production, saying he doubts achieving the target of 65% of airline fuel being sustainable by 2050 is achievable.

Airbus is expected to reveal more details of its Cabin Vision 2035+ concepts at the AIX Aircraft Interiors Expo, which takes place in the first week of June.

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Archer, for example, plans to begin commercial operations by 2025 and has secured significant orders from United Airlines and the U.S.

Archer, for example, plans to begin commercial operations by 2025 and has secured significant orders from United Airlines and the U.S.

Archer, for example, plans to begin commercial operations by 2025 and has secured significant orders from United Airlines and the U.S.

Air Force .

Title:

Content: Want climate-friendly flights? It could take a while

Sustainable aviation fuel is the industry’s best hope to hit its 2050 net-zero goal. Producers say SAF reduces greenhouse gas emissions by up to 80%, compared to regular jet fuel, over its life cycle. Made from sources like used cooking oil and plant waste, it can be blended with conventional jet fuel but costs much more and will eventually trickle down to the passenger.

  • Updated On Jul 5, 2023 at 09:10 AM IST
When it comes to flying, going green will not only cost more, it will also involve a long wait before the strategy can take off.

At the recently concluded Paris Air Show, the world’s largest aviation event, airlines and manufacturers said new planes will be more fuel efficient than the ones they will replace. But most of those planes will burn conventional, kerosene-based jet fuel. While work on electric-powered aircraft is going on, these won’t catch on as quickly as electric vehicles. “It’s a lot easier to pack a heavy battery into a vehicle if you don’t have to lift it off the ground,” said Gernot Wagner, a climate economist at New York University, US.

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That means sustainable aviation fuel (SAF) has become the industry’s best hope. Producers say SAF reduces greenhouse gas emissions by up to 80%, compared to regular jet fuel, over its life cycle. Made from sources like used cooking oil and plant waste, it can be blended with conventional jet fuel but costs much more. As of today, SAF still accounts for just 0.1% of all jet fuel.

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But suppliers are “going to be able to kind of set the price”, said Molly Wilkinson, American Airlines vice-president. “And we fear that at that point, that price eventually is going to trickle down to the passenger.”

Critics speak

Which is why critics call airlines’ promises about ramping up the use of SAF overly ambitious, while also doubting if the industry can hit its net-zero goal by 2050.

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Delta Air Lines is being sued by critics who say the carrier falsely bills itself as the world’s first carbon-neutral airline, and that Delta’s claim rests on carbon offsets that are largely bogus.

And in the European Union, a consumer group filed a complaint accusing 17 airlines of greenwashing. The group says airlines are misleading consumers and violating rules on unfair commercial practices by encouraging customers to pay extra to help finance development of SAF and offset future carbon emissions created by flying. In one case, the group’s researchers found Air France charging up to 138 euros for the green option.

“Sustainable aviation fuels are the biggest technological potential, but the main problem...is that they are not available,” said Dimitri Vergne, a senior policy officer at BEUC. “We know that before the end of the next decade — at least — they won’t be available in massive quantities” and won’t be the main source of fuel for planes, he added.

The International Air Transport Association, an airline trade group, estimates that SAF could contribute 65% of the emissions reductions needed for the industry to hit its 2050 net-zero goal. But very few flights are powered by SAF because of the limited supply and infrastructure.

McCann Worldgroup checks-in with the Air India ad biz

The selection process for this partnership entailed a rigorous evaluation as part of an exhaustive multi-agency pitch. The appointment comes as Air India has embarked on a five-year turnaround plan to become a world-class global airline by investing in customer service, technology, and products, the company stated in the press release.

Is Air India retiring its Maharaja? The aging mascot hits a crossroads

Air India's iconic mascot, the Maharaja, is facing an uncertain future as the airline undergoes a makeover under its new owner, the Tata Group. The Tatas have enlisted advertising agency McCann Worldgroup India to revive Air India's advertising and branding, creating a new brand platform and multi-channel marketing communication. While last year there were discussions about creating a new mascot, the CEO of Air India has stated that the Maharaja will remain a part of the brand.

  • Published On Jul 5, 2023 at 09:10 AM IST

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These companies are attracting substantial investment and forming strategic partnerships with traditional manufacturers and airlines .

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Content: autoevolution
Car reviews:

This Wingless eVTOL Can Handle Challenging Urban Spaces With Top-Level Avionics

Every newcomer on the urban air mobility (UAM) scene is trying to bring something new to the table, which sets it apart from everyone else. Israel-based Urban Aeronautics has come up with a wingless eVTOL (electric vertical take-off and landing vehicle) that’s specifically designed to operate smoothly in the most crowded urban spaces.
6 photos
The Israeli aerospace company is continuously upgrading the design of its compact eVTOL, the CityHawk. Since it was designed to provide air taxi and ambulance services even in the most challenging urban spaces, enhanced landing, navigating and night vision capabilities were essential.

The CityHawk’s unique compact design, without wings and with a fully-enclosed rotor system, was already confirmed through hundreds of test flight hours, conducted over the past years. Now, it was time to work on the aircraft’s software. Sensor fusion and augmented reality are the main technologies that will take the CityHawk to the next level. The manufacturer has recently joined forces with an expert in avionics, to make the future air taxi even more agile than before.

Universal Avionics has developed an Enhanced Flight Vision System (EFVS) and an Advanced Video Management Device that will help the CityHawk navigate more easily through the city, have better nighttime vision, and be able to take off and land safely, even in confined and crowded spaces.

These are essential capabilities, considering that the CityHawk is meant to operate as an emergency medical services (EMS) vehicle that needs fast and smooth access in difficult locations. Even as an air taxi, this eVTOL is supposed to easily fly from the rooftop of an office building to that of an apartment building.

The avionics company will provide a complete package including an augmented reality platform, sensors, and a headset for the pilot. With this technology, the future eVTOL pilots will benefit from enhanced situational awareness, a key element, especially for emergency operations.

Urban Aeronautics is also working with other partners on developing UAM infrastructure in the Middle East, and adapting hydrogen fuel cell technology for eVTOLs.
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**Impact of Geopolitical and Regulatory Factors** Geopolitical tensions, such as the Russia-Ukraine conflict and U.S.-China trade disputes, are reshaping supply chains and market access.

**Impact of Geopolitical and Regulatory Factors** Geopolitical tensions, such as the Russia-Ukraine conflict and U.S.-China trade disputes, are reshaping supply chains and market access.

**Impact of Geopolitical and Regulatory Factors** Geopolitical tensions, such as the Russia-Ukraine conflict and U.S.-China trade disputes, are reshaping supply chains and market access.

Russia’s role as a key supplier of titanium is critical for aircraft manufacturing, and disruptions have complicated operations for Boeing and Airbus .

The U.S.-China trade war has constrained Boeing’s business in China, allowing Airbus to secure major deals in the region .

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Content:   • This paves the way for airlines of all sizes to outsource part of their operations, not only enhancing efficiency and scalability but also leveling the playing field in a challenging, high-volume industry with strong seasonality.

SITA, the leading technology provider for the air transport industry, has just taken the big step of moving into the operations as-a-service market with the acquisition of ASISTIM, a company renowned for its airline flight operations services. This move illustrates SITA’s never-ending search for new ways to help airlines handle challenges and stay ahead, making air travel better for everyone.

This deal boosts SITA’s role as a top partner for ambitious airlines, offering them comprehensive solutions no matter their size or passenger volume. As air travel evolves, airlines face issues like staff shortages, rising costs, and changing demands. SITA’s acquisition of ASISTIM addresses these problems head-on by offering centralized airline Operations Control Center (OCC) services supporting multiple customers at the same time. In addition, SITA now has access to its own OCC where it can closely monitor its own implemented technology with the aim to optimizing it further and taking its innovative solutions to a whole new level.

By combining ASISTIM’s expertise with SITA’s unique airline OCC software & IT solutions and global customer reach, this enhanced service will allow more airlines to outsource critical operations. It will help airlines overcome the challenges of recruiting, training, and keeping their own OCC staff. It ensures they’re ready to operate at the highest standards, as SITA democratizes access to advanced technology, robust processes, and experienced personnel typically reserved for larger operators. This means airlines get a trusted operational partner to improve their efficiency, reliability, and scalability, no matter their size or passenger capacity.

“Acquiring ASISTIM is a big move for SITA’s Managed Services portfolio journey. It’s a step towards our goal to support all airlines by making the best of our capabilities and expertise available to them, in this case OCC services, whether we take on full OCC activities or a subset,” said David Lavorel, CEO of SITA. “By centralizing OCC services, we help airlines manage daily or peak operations more smoothly, providing a scalable solution for all sizes. Now, we’re ready to build on ASISTIM’s legacy of service excellence to expand our offerings, but also to bring their key operational insights back into our software product development plans. This will solidify our position as the go-to OCC provider and is another bold step in SITA’s vision to offer a full range of products and services in the air transport industry.”

ASISTIM, founded 15 years ago, has made a name for itself with its innovative and unique triad of OCC, IT and training academy services. This means airlines find a one-stop-shop for comprehensive services, including managed OCC services, OCC software integration and automation, and top-tier dispatcher training, now backed-up by an established industry leader such as SITA.

Patrick Rossman, ASISTIM founder and Managing Director, added: “Joining forces with SITA is a huge milestone. Our combined expertise will help us lead change in our industry. SITA’s products, airline relationships, and 75 years of experience will help us set new standards and bring more value to airline operations.”

-Ends-

About SITA

SITA is the air transport industry's IT provider, delivering solutions for airlines, airports, aircraft and governments. Our technology powers more seamless, safe and sustainable air travel.

With around 2,500 customers, SITA’s solutions drive operational efficiencies at more than 1,000 airports while delivering the promise of the connected aircraft to customers of 17,000 aircraft globally. SITA also provides technology solutions that help more than 70 governments strike the balance of secure borders and seamless travel. Our communications network connects every corner of the globe and we bridge 45% of the air transport community’s data exchange.

In 2021, SITA became a certified CarbonNeutral® company. We are reducing our greenhouse gas emissions for all our operations, while also developing solutions to help the aviation industry meet its carbon reduction objectives, including reduced fuel burn and greater operational efficiencies. In 2022, we announced our commitment to setting science-based emission reduction targets aligned to the Science Based Targets initiative Net-Zero Standard.

SITA is 100% owned by the industry and driven by its needs. It is one of the most internationally diverse companies, providing services in over 200 countries and territories.

For further information, go to www.sita.aero.

Regulatory changes are accelerating the adoption of sustainable practices.

Regulatory changes are accelerating the adoption of sustainable practices.

Regulatory changes are accelerating the adoption of sustainable practices.

The ICAO’s net-zero target and regional mandates for SAF blending are driving manufacturers and airlines to innovate and invest in new technologies .

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Content: SAO PAULO: Brazilian aeronautics company Embraer and its urban mobility subsidiary Eve said on Thursday (July 20) they would build a factory near Sao Paulo to manufacture electric flying taxis that could take off as soon as 2026.

The factory for “electric vertical take-off and landing aircraft” or eVTOL, will be built in the city of Taubate in Sao Paulo state, the companies announced on the 150th anniversary of the birth of Brazilian aviation pioneer Alberto Santos Dumont.

Taubate is a city of some 310,000 inhabitants about 140km from Sao Paulo, Brazil’s economic capital.

The drone-like passenger vehicles, which resemble small helicopters, will initially be used in taxi fleets, with the first flights costing about US$50 to US$100 per person per trip, company sources told AFP.

The initial flights will have a pilot, but a later rollout of self-piloted vehicles is also on the cards. Each eVTOL can carry four to six passengers.

The vehicles will be 100% electric, allowing for emissions-free flights.

Embraer said it has already received orders for 2,850 eVTOLs worth about US$1.5 billion (RM6.8 billion) from 28 clients in several countries, including helicopter operators, airlines and flight-sharing platforms.

Listed on the New York Stock Exchange, Eve Air Mobility, which has not yet reported revenues, recorded a net loss of US$25 million in the first quarter of 2023, due in particular to expenses related to research and development of the eVTOL.

Sao Paulo, a megalopolis of 11.5 million people with monster traffic jams, has the largest helicopter fleet in the world.

“We believe in the enormous potential of the global Urban Air Mobility market,” Embraer president Francisco Gomes Neto said in a statement.

Added Eve vice president of programme management and operation, Alice Altissimo: “We are equipped to efficiently scale the production volume sustainably to meet the demands of a growing market.” – AFP

Governmental support, such as the Biden Administration’s goal to produce at least 3 billion gallons of SAF annually by 2030, underscores policy-level commitment to sustainable aviation .

**Technological Advancements and Operational Efficiency** Artificial intelligence, data analytics, and digitalization are transforming aircraft maintenance and operational efficiency.

**Technological Advancements and Operational Efficiency** Artificial intelligence, data analytics, and digitalization are transforming aircraft maintenance and operational efficiency.

**Technological Advancements and Operational Efficiency** Artificial intelligence, data analytics, and digitalization are transforming aircraft maintenance and operational efficiency.

Predictive maintenance, enabled by AI, minimizes downtime and optimizes schedules, leading to cost savings and improved aircraft availability .

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

What is Airbus doing to achieve sustainable aviation?

It is making efforts to improve aircraft efficiency.

Digital tools like Boeing’s FliteDeck Advisor and SITA’s operations-as-a-service model enhance fuel efficiency and operational reliability .

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Content: Highlights

  • The Biden Administration released the U.S. National Blueprint for Transportation to detail the federal government's strategy to achieve net-zero emission reduction goals by 2050.
  • The Blueprint, developed by the U.S. Departments of Energy, Transportation, and Housing and Urban Development, along with the U.S. Environmental Protection Agency, provides a "framework of strategies and actions to remove all emissions from the transportation sector by 2050."
  • The Blueprint is meant to serve as a "guide for future policymaking and research, development, demonstration, and deployment in the public and private sectors."

The Biden Administration released the U.S. National Blueprint for Transportation Decarbonization (Blueprint) on Jan. 10, 2023, setting forth a comprehensive strategy for federal leadership and partnerships to decarbonize the transportation sector in order to achieve the economy-wide 2030 and 2050 emissions reduction goals.1

Background

The Biden Administration published a long-term strategy in November 2021 with a goal of achieving net-zero greenhouse gas (GHG) admissions by 2050 and 50 percent to 52 percent reductions from 2005 levels by 2030. The new Blueprint seeks to coordinate how to get there between all levels of government and in partnership with the private sector. The document stems from a September 2022 memorandum of understanding (MOU) between the U.S. Departments of Energy (DOE), Transportation (DOT) and Housing and Urban Development (HUD), along with the U.S. Environmental Protection Agency (EPA), which committed the agencies to release the Blueprint.

The transportation sector is the largest source of GHG emissions in the U.S., responsible for one-third of all emissions. Further, transportation is closely interconnected with other sectors of the economy. For example, electric vehicles (EV) rely on electricity generation and will have different implications for manufacturing relative to manufacturing of internal combustion engine vehicles. Specific strategies to reduce full life-cycle emissions associated with transportation activities are not addressed in the Blueprint, but they are needed to achieve the Biden Administration's goals.

Both the MOU and the subsequent Blueprint note billions of dollars in clean transportation investments in the recent Inflation Reduction Act of 2022 (IRA) and Infrastructure Investment and Jobs Act (IIJA), which was enacted in 2021. While Bipartisan Infrastructure Law (BIL) and IRA equip the U.S. with many of the appropriate tools for decarbonizing the transportation sector, implementation will be critical. The scope, scale and speed of the economic shift will continue to require solutions that leverage market forces and private sector investments, which government policies and investments are intended to jumpstart and guide.

Continued innovation, research, development and demonstration across the transportation industry will be necessary to further efforts to achieve net-zero carbon emissions by 2050. The Blueprint identifies key areas of focus that the agencies will target in the coming years, including EVs and supporting infrastructure, hydrogen and hydrogen refueling networks, and sustainable aviation fuels. Additional funding opportunities and incentives will continue to be made available to promote and further their development and demonstration.

According to the document, the four agencies created the Blueprint to serve as a guide for future policymaking and research, development, demonstration and deployment in the public and private sectors, all built upon five guiding principles:

  1. implement bold actions to achieve measurable results
  2. embrace creative solutions across the transportation system
  3. ensure safety, equity and access
  4. increase collaboration and
  5. establish U.S. leadership

The strategy will focus on research and investment to support deployment before 2030, then shift to scaling up clean solutions deployment between 2030 and 2040, and complete the transition between 2040 and 2050. The Blueprint's milestones are broken down as follows:

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Strategies to Decarbonize Transportation

The Blueprint focuses on each major transportation mode and identifies specific decarbonization opportunities and challenges, highlighting the roles of various clean technologies for various applications.

The Blueprint identifies three key strategies to implement immediately to achieve the nation's 2030 emissions reduction goals:

  1. increase convenience by improving community design and land use to prioritize access and proximity to work opportunities, community services and entertainment to reduce commute burdens
  2. increase options to travel more efficiently by enabling shifts to more efficient vehicles and reducing reliance on energy-intensive modes of transport
  3. transition to clean options by deploying zero-emission vehicles and fuels for all passenger and freight travel modes

The Blueprint acknowledged that the first two strategies will contribute to reducing GHG emissions and produce significant co-benefits. The Blueprint notes that the third strategy of transitioning to clean options is expected to drive the majority of emissions reductions.

Adoption and market penetration of clean technologies for travel modes is essential to transition to zero-emission vehicles and fuels. This involves adopting highly efficient zero-emission battery vehicles, hydrogen fuel cell vehicles and sustainable fuels for vehicles and applications that are more challenging to electrify.

The following figure provides a summary of vehicle improvement strategies and technology solutions for different travel modes.

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Source: U.S. National Blueprint for Transportation

Applying the Strategies by Transportation Mode

Below is a summary of the Blueprint's application and its strategies by transportation mode.

Light-Duty Vehicles

49 percent share of current transportation emissions

With more than 280 million vehicles on the road, light-duty passenger vehicles (LDV) – cars, sport utility vehicles (SUVs) and pickup trucks – are the primary mode of passenger travel in the country and account for more than 75 percent of total U.S. passenger miles traveled. The fuel economy of new LDVs has improved by about 30 percent over the past 15 years, driven largely by regulations, including EPA GHG emissions standards and the Corporate Average Fuel Economy (CAFE) standards established by the National Highway Traffic Safety Administration (NHTSA).

The Blueprint cites increasing global sales and manufacturers' investments in EVs and battery development as evidence that EVs are clearly a viable technology to dramatically reduce GHG emissions from LDVs by 2050. The Blueprint presents strategies to ensure high market penetration of EVs over the next few decades. As such, the Blueprint underscores the importance of addressing EV charging and clean fuel infrastructure needs to enable every person and business to meet their mobility requirements.

Federal GHG Emissions Reduction Goals

  • achieve 50 percent of new vehicle sales being zero-emission by 2030, supporting a pathway for full adoption, and ensure that new internal combustion engine vehicles are as efficient as possible
  • deploy 500,000 EV chargers by 2030
  • ensure 100 percent federal fleet procurement be zero-emission by 2027

Strategy to Achieve Emissions Reduction Goals

  • implement policy and regulation to expand the market share and use of EVs, including:
    • potential GHG emissions and fuel economy policies at DOT and EPA to ensure internal combustion engine efficiency
    • tax credits and incentives established in the IRA to reduce costs of EVs and strengthen supply chains for domestic manufacturing
    • leveraging federal procurement to transition the federal fleet to EVs
  • continue EV charging infrastructure investments and planning to ensure access to convenient and affordable charging whenever needed
    • These actions will entail an equitable expansion of access to charging, including widespread public charging solutions for those without access to home charging (workplace, curbside, multi-unit buildings with shared parking) and ubiquitous fast-charging networks.
    • With the influx of EVs and the expectation that EVs will become one of the largest electricity load categories by 2050, development and implementation of solutions for effective vehicle-to-grid (V2G) integration are critical.
  • fund research and innovation that will continue to improve vehicle, battery and charger performance and reduce costs, leveraging investments from IIJA, IRA and the CHIPS and Science Act to develop a domestic EV manufacturing supply chain

Medium- and Heavy-Duty On-Road Trucks and Buses

21 percent share of current transportation emissions

While medium-duty and heavy-duty vehicles (MHDV) represent only 5 percent of total vehicles on the road, they are responsible for an outsized 21 percent of transportation emissions. MHDVs include a wide range of vehicles that vary in size from heavy-duty pickup trucks to long-haul semi-trucks. The use of these vehicles is correspondingly diverse, as this category encompasses vehicles used for local delivery, refuse collection, public transportation, long-haul goods delivery and many other purposes.

Virtually all MHDVs on the road today rely on internal combustion engines fueled with diesel (81 percent), gasoline (17 percent) and natural gas (1 percent).

The Blueprint notes increasing investments by manufacturers in zero-emission electric or hydrogen fuel cell electric powertrains. Since MHDVs are used for a variety of purposes, there will likely be a suite of zero-emission technology solutions in the future to cover various use cases. The Blueprint projects a strong role for hydrogen in the long-haul trucking sector, where the weight and size of vehicles, as well as the use case, makes battery power impractical.

Federal GHG Emissions Reduction Goals

  • aim to have 30 percent of new vehicle sales be zero-emission by 2030 and 100 percent by 2040
  • ensure 100 percent federal fleet procurement is zero-emission by 2035

Strategy to Achieve Emissions Reduction Goals

  • fund research and innovation to develop viable technologies to replace fossil fuel vehicles for all MHDV applications, with an emphasis on lower-cost and higher-energy-density batteries and fuel cell applications, as well as the use of clean hydrogen and sustainable fuels to fully decarbonize MHDVs
  • implement policy and regulation to reduce new vehicle GHG and criteria emissions and set ambitious targets for transitioning to zero-emissions vehicles on a timeline consistent with achieving economy-wide 2030 and 2050 emissions reduction goals
  • invest in strategic demonstration and deployment to support the build-out of interoperable EV charging and refueling infrastructure through coordinated planning, policy and funding opportunities

Aviation

11 percent share of current transportation emissions

As aviation demand continues to grow, the development and introduction of new aircraft and engines by manufacturers will be critical to reducing future emissions. With investments by industry and the federal government, new more fuel-efficient aircraft could be introduced.

The Blueprint emphasizes that sustainable aviation fuels (SAF) will be critical to the long-term decarbonization of aviation. The SAF production industry is still developing, but SAF production will also be aided by the new tax credits and a competitive grant program the IRA established.

Aviation decarbonization will require various vehicle and fuel solutions. In addition to SAF, battery electrification and hydrogen fuel are also potential options for replacing petroleum-based aviation fuels. These technologies can play an important role in the coming decades by decarbonizing short-distance flights and dedicated regional cargo routes. However, the Blueprint holds that they are not expected to provide a solution by 2050 for the medium- and long-haul flights that generate most of the aviation sector's carbon emissions.

Federal GHG Emissions Reduction Goals

  • reduce aviation emissions by 20 percent compared to a business-as-usual scenario
  • achieve net-zero GHG emissions from the U.S. aviation sector by 2050
  • catalyze the production of at least 3 billion gallons of SAF per year by 2030 and approximately 35 billion gallons by 2050 – enough to supply the entire sector

Strategy to Achieve Emissions Reduction Goals

  • policy and regulation to incentivize low-emission aviation innovations through new and breakthrough technologies, and to reduce emissions by providing access to and use of proven technologies from other transportation sectors
  • research and innovation to advance technological, operational and sustainable aviation fuels solutions to reduce emissions
  • expand stakeholder engagement and partnerships around the world to address the challenges and opportunities inherent in the international nature of aviation, including standards that incentivize the most effective technologies

Off-Road Vehicles

10 percent share of current transportation emissions

There are a wide range of engine sizes, power requirements, duty cycles and vehicle applications. Unlike most on-road vehicles, an off-road vehicle's engine typically provides power to propel the vehicle and to perform auxiliary work such as digging or harvesting. As a result, different applications in the off-road sector have specific requirements for ruggedness, durability and other operational constraints. Strategies for decarbonizing the off-road sector will leverage technologies similar to other sectors, including battery electric and fuel-cell EVs and sustainable fuels. However, the exact roles of different technologies and solutions across these use cases have many nuances. A deeper understanding of real-world operations and requirements is needed to enable comprehensive data-driven analysis that can identify viable pathways at the vehicle and system level.

Federal GHG Emissions Reduction Goals

  • work to establish specific targets
  • focus resources to develop technology pathways and set efficiency and zero-emissions vehicle and equipment targets

Strategy to Achieve Emissions Reduction Goals

  • increase targeted research and innovation efforts to better understand the spectrum of available technologies and collect real-world operational data to enable a deeper understanding of off-road vehicle and mobile equipment requirements
  • implement policy and regulation, including establishing GHG and efficiency standards for off-road vehicles and mobile equipment and setting ambitious targets for transitioning to zero- or low-emission technologies
  • invest in strategic demonstration to understand EV charging and clean fuel refueling infrastructure needs and support deployment through coordinated planning, policy and funding opportunities

Pipeline

4 percent share of current transportation emissions

While pipelines primarily transport fossil fuels today, in a future sustainable energy system, pipelines could also transport carbon dioxide to injection wells for carbon capture and sequestration and to other end users. They could also be used to transport hydrogen and other sustainable liquid fuels like SAF. There are several risks and barriers associated with the transportation of alternative fuels by pipeline, and potential integrity threats posed by different fuels must be fully examined and understood.

Federal GHG Emissions Reduction Goals

  • work to establish specific targets
  • by 2036, repair or replace 1,000 miles of high-risk, leak-prone, community-owned legacy gas distribution pipeline infrastructure, as well as an estimated reduction of 1,000 metric tons of methane emissions
  • eliminate leakages and enable use of pipelines for clean sustainable fuels

Strategy to Achieve Emissions Reduction Goals

  • policy and regulation that continue to increase the stringency of methane emissions limits, tackle emissions associated with pipeline operations and promote the viable use of electricity or other clean energy sources
  • infrastructure investments and improved design and planning for pipelines as made possible through provisions in the BIL
  • research and innovation to continue to develop tools and reporting systems for accurate disclosure of methane emissions, including direct measurement and remote sensing technologies; performance-based risk reduction for design, construction, operations, maintenance and fire protection of liquid natural gas (LNG) facilities; improved safety systems for underground natural gas storage facilities; and new technologies to mitigate risk posed by excavation damage to pipelines

Maritime Vessels

3 percent share of current transportation emissions

The maritime industry is international in scope, with the largest share of GHG emissions originating from international voyages. Therefore, effective decarbonization will require intergovernmental collaboration that aligns with industry and community needs.

Despite the variety of potential decarbonization fuels, technologies and policies in development, the best pathway for decarbonizing the maritime sector is unclear. New maritime technologies can be slow to be adopted, particularly when safety and operational standards still need to be established. Vessels have a long fleet turnover time – 30 years or more – so understanding the costs, standards and requirements is critical for long-term investment planning. Decarbonizing the sector by 2050 will require innovative practices, targeted regulations and a strong and immediate commitment to innovation and deployment of new and emerging technologies.

Federal GHG Emissions Reduction Goals

  • continue to support the Zero-Emission Shipping Mission (ZESM) goals to ensure that 5 percent of the global deep-sea fleet are capable of using zero-emission fuels by 2030, at least 200 of these ships primarily use these fuels across the main deep sea shipping route, and 10 large trade ports covering at least three continents can supply zero-emission fuels by 2030
  • support the U.S. domestic maritime sector by performing more research, development and demonstration into sustainable fuels and technologies and incentivize U.S. commercial vessel operators to move towards lower GHG emissions
  • work with countries in the International Maritime Organization (IMO) to adopt a goal of achieving zero emissions from international shipping by 2050

Strategy to Achieve Emissions Reduction Goals

  • research and innovation on viable alternative fuels and new technologies to determine the most promising paths to decarbonizing the maritime sector; promising fuels and technologies that can support maritime decarbonization include:
    • sustainable liquid and gaseous fuels
    • electric vessels
    • cold-ironing
    • energy efficiency and hybridization
    • renewable energy
    • exhaust treatment and carbon capture
  • international and domestic stakeholder engagement to develop and implement effective decarbonization strategies and regulation
  • infrastructure investments and improved design and planning in clean technologies and fuels for maritime applications funded through new and existing federal programs

Rail

2 percent share of current transportation emissions

The United States has the largest rail network in the world, and it is used primarily to support freight movement. While electric rail technologies are widely used worldwide, freight rail carriers in the U.S. almost exclusively use diesel locomotives. Intercity passenger and commuter carriers also heavily rely on diesel, though there are some partially or fully electrified lines. According to the Blueprint, the rail industry is currently exploring opportunities to maintain its comparative energy use advantage on a ton-mile basis by transitioning to direct use of electricity (e.g., overhead catenary charging, third-rail systems), batteries, hydrogen fuels, sustainable fuels or hybrid solutions.

Also, according to the Blueprint, the electrification of commuter rail fleets offers promising opportunities for further emissions reduction. Longer-distance rail for passengers and freight may require fuel technologies in addition to electric batteries and fuel cells to achieve emissions reductions goals, and pathways to total decarbonization still need to be determined.

Federal GHG Emissions Reduction Goals

  • work to establish specific targets
  • focus resources to develop technology pathways and set efficiency and zero-emissions vehicle targets
  • encourage greater use for passenger and freight travel to reduce emissions from road vehicles

Strategy to Achieve Emissions Reduction Goals

  • infrastructure investments in electric locomotives and the expansion of electrification corridors to help to accelerate the zero-emission transition; interoperability and infrastructure for clean fuel technology adoption will facilitate efforts.
  • multi-stakeholder collaborations to accelerate the deployment of rail technologies that reduce emissions and increase efficiency
  • research and innovation to advance technology through pilot projects, greater infrastructure investments and continued policy and regulation support that helps accelerate the growth of electrification of U.S. passenger rail system

Footnote

1. The Blueprint uses the term "decarbonization" to refer to all greenhouse gas (GHG) emissions.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Robotics, virtual assembly, and augmented reality are further

Robotics, virtual assembly, and augmented reality are further