AIA: Aerospace Resilient In Recession

The United States aerospace industry will record its fifth straight year of growth this year and is “in a relatively good position” despite the economic recession, according to the Aerospace Industries Association (AIA).

Delivering the organization’s year-end review and 2009 forecast Wednesday in Washington, D.C., AIA President and CEO Marion C. Blakey said total civil, military, space and missile sales are on track to reach $204 billion, an increase of 2.1 percent over 2007. The growth rate is less than in recent years, mainly due to a work stoppage at Boeing that caused industry repercussions, Blakey said.

AIA noted strength in shipments, up 7 percent to $197 billion, and backlog, up nearly 10 percent to $404 billion. However, orders for aircraft, parts and equipment declined 14 percent to $234 billion from the record set in 2007.

The organization forecasts continued growth in 2009, but at a much more modest pace than in recent years. Sales are expected to reach $214 billion, up 4.8 percent. That increase would be even less had the eight-week Boeing strike not occurred, Blakey said.

“The gang-buster trends of the last few years of our industry are almost certainly over for a while,” Blakey said. “But we do not anticipate a severe downturn in the near term, either.”