Boeing raises 20-year forecast for China aircraft demand

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Boeing raises 20-year forecast for China aircraft demand
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Boeing Co on Tuesday raised its forecast for China's aircraft demand for th...

FILE PHOTO: Flights of Air China are parked on the tarmac of Beijing Capital International Airport in Beijing, China, March 28, 2016. REUTERS/Kim Kyung-Hoon/File Photo

Chinese carriers will need 8,090 new planes through 2038, 5.2% higher than Boeing’s forecast last year. That would be worth nearly $1.3 trillion based on list prices. “An expanding middle class, significant investment in infrastructure, and advanced technologies that make airplanes more capable and efficient, continue to drive tremendous demand for air travel,” said Randy Tinseth, vice president of commercial marketing for Boeing.

But the global grounding of Boeing’s 737 MAX fleet in the wake of two fatal crashes have constrained the ability of Chinese airlines to expand capacity, with softer travel demand pressuring passenger yields amid a slowing economy.

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