Buisness aviation news

Coming into the summer, bizjet traffic 1% adrift of last year, fractional operators still forging ahead
Coming into the summer, bizjet traffic 1% adrift of last year, fractional operators still forging ahead

The latest week shows stable activity compared to last year, with fractional activity still booming, in contrast to some weaker charter demand, particularly at the light end of the market. Various gala events will see peaks in traffic in Europe in the next few weeks, starting with the Champions League Finals bringing visitors to London airports next week.

Flat global market belies fast-declining demand in Germany, Middle East, Africa and Asia
Flat global market belies fast-declining demand in Germany, Middle East, Africa and Asia

Bizjet activity week 19 2024 is flat overall, with some significant regional divergence, noting significant weakness in Germany, Middle East, Africa and Asia, but strength in Texas, Switzerland and Brazil.

Personnel decide everything
Personnel decide everything

In the modern aviation market, personnel management is a rapidly developing field: approaches are changing, new search tools are appearing, and the functions of HR workers are transforming. Moreover, leading experts in the business aviation market are raising the problem of personnel and personnel management, along with the main brake on the market — supply chain disruption. This important challenge creates the need for conferences and summits all over the world, but local events are what produce the greatest effect and generate the right recommendations based on the economic and political characteristics of a particular region.

European bizjet demand wobbles, US flattish, Florida hot
European bizjet demand wobbles, US flattish, Florida hot

Business jet utilisation is fraying slightly on comparable 2023 flight volumes, which is itself some way below the post-pandemic peak. But the Super Mid and Ultra Long-Range fleet is racking up more activity than ever.

Charter market slumping in Europe but holding firm in the US
Charter market slumping in Europe but holding firm in the US

The outlook for business jet activity is softening in Europe as utilisation levels fall below 2019 levels, notably in Germany and France. The US market is relatively resilient, especially for large fleet operators in the charter and fractional space.

April strong so far, both US and Europe up on last year, though Middle East slowing
April strong so far, both US and Europe up on last year, though Middle East slowing

Compared to last year, April’s trends are stronger than March, with growth in most of the top markets. UK, France and Germany were exceptions in Europe, with the charter market notably weakening. Bizjet activity in the Middle East saw further erosion, markedly Saudi Arabia. In the US, large business jets are seeing strongest demand. US charter demand is tailing off this month, Part 135 flights down 6% in week 16.

IADA Market Report: Resale Uptick Leads to Continued Optimism for Next Six Months
IADA Market Report: Resale Uptick Leads to Continued Optimism for Next Six Months

The first quarter of 2024 ended on a buoyant note with an uptick in preowned business aircraft sales, according to the International Aircraft Dealers Association (IADA). IADA’s First Quarter 2024 Market Report also indicated an optimistic outlook for the next six months.

Bizjet activity tilts up despite sharp slowdown in Middle East
Bizjet activity tilts up despite sharp slowdown in Middle East

Geopolitical tensions are visibly impinging on bizjet demand, with flights in the Middle East dropping off 20% in Week 15. The European market has idled this year, stagnating around the same levels of demand 5 years ago. The US market is still growing, especially for the top operators. Bizjet visitors to airports hosting the Masters golf tournament were up by 15% compared to last year’s event.

Global bizjet activity 2% ahead of opening 7 days of April 2023
Global bizjet activity 2% ahead of opening 7 days of April 2023

At the start of April (1st – 7th), global bizjet sectors are 2% ahead of comparable last year, trailing 2022 by 4%, 37% ahead of 5 years ago. Over the same period, scheduled airline activity is 24% ahead year-on-year, 12% ahead of 2019. Dedicated cargo sectors start this month are 3% ahead of last year, 18% ahead of 2019.

Global bizjet activity in Q1 flat on last year, -2% vs 2022
Global bizjet activity in Q1 flat on last year, -2% vs 2022

Overall flight volumes are so far very similar to last year, but with considerable variance by region and operator type, with demand in Europe clearly ebbing, the US flat overall but at record highs in New Jersey, fractional operations powering ahead.

Spring Break lifts US bizjet activity above March 2023
Spring Break lifts US bizjet activity above March 2023

Business aviation activity is robust everywhere but Europe in March 2024. The core US market is normally busiest this time of year, and is slightly stronger than March last year when demand was affected by the regional banking crisis, but still some way off the peak in the post-Covid market back in March 2022.

Bizjet demand steady in US, dips in Middle East
Bizjet demand steady in US, dips in Middle East

Spring Break in the US has seen the usual surge in bizav in Florida, notably. Compared to same March period in 2019, Florida bizjet departures are up 56%.

Bizjet demand buoyant, notably in South America and Asia
Bizjet demand buoyant, notably in South America and Asia

Year on year, the latest week saw strong growth, keeping 2024 a little ahead of 2023. The US is providing the ballast, with strong growth in South America and Asia, offsetting a slide in European demand.

Bizjet demand bounces back in up in Feb-24 year on year
Bizjet demand bounces back in up in Feb-24 year on year

Globally, bizjet flights were up 1% last week, slightly ahead of the flat last 4-week trend, a considerable improvement on the relatively weak demand in January. The US market is holding up, Europe is dipping compared to last year, the Middle East also, whereas bizjet demand in South America and Asia is well up on last year.

Bizjet demand strong in week 8, reducing in YTD deficit
Bizjet demand strong in week 8, reducing in YTD deficit

Global bizjet trends are flat over the last 4 weeks, recovering from the dip at the start of the year. The most recent week showed a 3% increase in the US, with Part 135 activity out of Florida up 11%, but Canada continues to see steep declines. Europe is flat, extending a 3% decline over the last month.

Global bizjet demand trailing last year by 3% in Week 7 2024
Global bizjet demand trailing last year by 3% in Week 7 2024

Holiday bizjet traffic during Presidents´ Day shows demand is still quite robust in the US, only 2% below last year´s high point. Bizjet traffic in Europe is slumping, down 10% in week 7, deteriorating on the 5% decline in the last 4 weeks. Demand in Germany is wilting, but still high levels of traffic in Spain. Bizjet activity in the Middle East is down. Australia is still a growth market.

GAMA Releases 2023 Aircraft Shipments and Billings Report
GAMA Releases 2023 Aircraft Shipments and Billings Report

The General Aviation Manufacturers Association (GAMA) released the 2023 General Aviation Aircraft Shipments and Billings Report during its annual State of the Industry Press Conference. Overall, when compared to 2022, all aircraft segments saw increases in shipments and preliminary aircraft deliveries were valued at $27.8 billion, an increase of 3.6%.

Week 6-24 sees solid US market, only 2% down from 2023 peaks
Week 6-24 sees solid US market, only 2% down from 2023 peaks

Business jet activity was stronger this week than last, picked up 4%, with particularly big increase in the UK, flights up 26%; this may indicate the peak ski season around school break. Business jet activity in South America is hitting peak levels. In Turkey, activity is a lot lower than the high demand last year, during the earthquake. The Middle East is seeing substantially lower demand year on year. The overall market is only modestly behind 2023, due to the stability in the US market, where Texas and Florida still have strong demand.

3 charter trends from 2023 to watch
3 charter trends from 2023 to watch

To help our members predict the trends that will shape the year to come, we’re keen to learn from the past. Our network of nearly 2000 operators and brokers globally is maybe the most extensive source of behavioral data available in air charter. Harry Clarke continues the tradition of summing up the yearly trends we see in our extensive Avinode data.

US bizjet market dips 6% in stormy January 2024
US bizjet market dips 6% in stormy January 2024

Business jet activity ticked up this week compared to last week, as the US market emerged from the winter storms. So far this year, US bizjet is trending down 6% compared to January 2023, but is still tracking well up on pre-pandemic January 2019. Europe is a different case, with several countries seeing less traffic this January than in January 5 years ago.  

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