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Opinion

2023 was a record-breaking year for aircraft orders

Aimie Stone, chief economist at ADSBy Aimie Stone, chief economist at ADSJanuary 30, 20243 Mins Read
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2023 marked a record-breaking year for aircraft orders, with deliveries reaching a five-year high, according to the latest figures from ADS, the trade association for the aerospace, defence, security and space sectors. The 3,850 aircraft orders placed in 2023 mark a global record for commercial aircraft, according to ADS records, which began in 2010. The order and delivery figures cover reported deliveries of commercial aircraft by Airbus and Boeing.

Deliveries of new aircraft reached 1,265 in 2023, marking an 11% increase on 2022’s figures, at the highest delivery pace since 2018 – a further indication of growth in the buoyant aviation sector.

Following five months of consecutive growth, an aircraft backlog of 15,753 is the largest on record, a 16% increase year on year, and far above the annual growth trends seen in recent years. The current backlog is estimated to be worth at least £244bn to the UK alone at current production rates and aircraft prices, and represents almost 13 years’ worth of work.

A 91 per cent increase in orders year on year

ADS figures highlight that aircraft orders increased 91% in 2023 compared to 2022, with single-aisle aircraft orders increasing 78%, and widebody orders rising 169%, respectively.

352 aircraft cancellations in 2023 is the fewest in a year since 2018, as the demand for new aircraft and deliveries continue to grow.

Historic commercial aircraft orders, deliveries and cancellations

The outlook: Best Q4 for aircraft deliveries since 2018 reflects continued strength in the sector

With a record-breaking year, December 2023 saw the highest order books for the month since 2017, alongside the largest deliveries. This stronger than expected December signals the best on record Q4 for both orders and deliveries since 2018.

This surge in activity sees deliveries surpass the ADS forecast, highlighting the continued buoyancy of the sector and defiance against supply chain challenges. As we head into a Farnborough International Airshow year, domestic and international attention will be elevated on the sector to continue this record growth and the ability of the supply chain to meet demand.

As the UK’s Minister for Industry and Economic Security, Nusrat Ghani said:  “Delivering on growing the economy is one of the Prime Minister’s key economic priorities. As Aerospace Minister, I am absolutely thrilled to see that the aerospace sector has had such a record-breaking year for orders and deliveries, helping us well on the way to achieving our goal with orders up 91% year on year.”

“The UK aerospace sector is world-leading and this is yet another vote of confidence in our work. We’re growing the economy and supporting highly-skilled, high-wage careers across the UK, at the same time as boosting the name of UK PLC around the world.”

ADS’s 2023 aircraft deliveries – forecast and actual, with 2022 actual

The full economics briefing can be accessed here,

ADS is the UK trade organisation representing the aerospace, defence, security and space sectors, with more than 1,300 member businesses.

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Aimie Stone, chief economist at ADS

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