REALITY OF GOING BACK TO NORMAL

 

Recent months for aviation have been rough, with severely decreased connectivity and record-low passenger figures in two decades, the air transport industry is fighting for survival.

Is now the time to buy an aircraft?

In a forecast published by Oliver Wyman, the company expects to see at least 60% of pre-COVID travel levels return by autumn 2020.  Even if airlines see passenger traffic increase 40% from current levels most of the aircraft in their fleets will stay in storage until demand will spike up again. In the same report it is predicted that airlines will only require 6,300 narrow body aircraft for month of July, 2020 comparing to pre-crisis 16,100. The drop in demand for close to 12,000 aircraft will give some airlines a chance to acquire significantly discounted second-hand aircraft.

MRO spending to halve in 2020

Before the coronavirus crisis predicted MRO spending was approximately US$91.2 billion, but due to the outbreak, MRO market shrunk 53% to US$42.7 billion. Even though analysts and aviation professionals predict a recovery timeframe of 2-3 years, the industry will feel the impact up until 2030 with predicted MRO spending in 2030 being US$10-20 billion away from originally anticipated levels.

Locatory.com continues to go beyond for their customers

During these challenging times in aviation industry Locatory.com team is continuing to go beyond for their clients. With many aircraft being sent to maintenance during grounding period, connecting with part suppliers may prove to be a challenging task for smaller MRO companies. To prevent lengthy delays and find the best possible part for client’s needs Locatory.com is offering Locatory Distributor service. The service provides benefits in areas of support, reach, accountability, Locatory.com marketplace and logistics to deliver cost-efficient and quality services to Locatory.com customers.

Source:

https://www.oliverwyman.com/our-expertise/insights/2020/mar/COVID-19-Impact-On-Commercial-Aviation-Maintenance.html