Friday, January 3, 2014

5% aerospace, defense growth seen

The aerospace and defense industry will grow 5 percent globally in 2014, despite the budget pressures to the defense sector. That’s according to a study from Deloitte. "It is likely that 2014 will bring high single to double-digit levels of growth in the commercial aerospace sub-sector, as experienced in 2012 and expected in 2013, given the dramatic production forecasts of the aircraft manufacturers," said the study. Commercial aerospace is a bright spot. The 2014 growth in the commercial aerospace industry is being driven by record-setting production levels, due to the accelerated replacement cycle of obsolete aircraft with newer fuel-efficient planes. The report predicts that by 2023, annual production levels in the commercial aerospace industry will increase by 25 percent. (Source: The Hill, 01/02/13) Gulf Coast note: Aerospace and defense are pillars of the region's economy.