NextGen Means Safety and Efficiency

Marion Blakey, who recently took over as the new president and chief executive of the Aerospace Industries Association (AIA) says “perhaps the single most important goal is transforming the national air transportation system.” The former head of the Federal Aviation Administration said “AIA...

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Marion Blakey, who recently took over as the new president and chief executive of the Aerospace Industries Association (AIA) says “perhaps the single most important goal is transforming the national air transportation system.” The former head of the Federal Aviation Administration said “AIA will push for the candidates to recognize how vital the Next Generation (NextGen) Air Transportation System is to our nation while stressing the importance of adequate funding for its ongoing development.”
Blakey said “chronic delays through the summer of 2007 have shown that the U.S. air traffic control system is rapidly reaching the point of gridlock. Leadership is needed to see that NextGen is fully-funded, developed and implemented by 2025 at a cost to the taxpayer of $15 to $22 billion. The benefits of air traffic modernization include economic, security, efficiency gains and safety.”
AIA stressed the need for NextGen in its annual state-of-the-industry briefing. Blakey takes over AIA, which represents the major U.S. aerospace companies, with the industry enjoying sustained growth in the civil aircraft market, taking total sales to yet another record level.
Total sales reached a record $198.8 billion, an increase of $15.5 billion, and set an industry record for the fourth consecutive year. With sales increasing across the board for nearly all product and customer categories in 2007, total sales jumped more than eight percent over 2006's final sales tally.
"With good news in nearly every sector, I am pleased to see the American aerospace industry's strong international presence continuing to keep pace with our domestic successes," Blakey said. "Our impressive trade balance and surging sales in the civil aircraft market have laid a foundation for the industry's continued vitality. Additionally, a 19 percent increase in the backlog of civil orders indicates good days ahead."
Blakey said the outlook for next year remains strong, with sales forecast to better the $200 billion mark by 13 percent, hitting $211 billion. If Blakey's expectations hold true, 2008 will be yet another record year for the aerospace industry. It will also be a good year for civil aircraft makers with delivery of 480 civil transports worth $34 billion. AIA forecasts that $13 billion worth of general aviation aircraft, particularly business jets, will be sold next year.
The industry also increased its production workforce by 25,900 jobs, or about eight percent, to help boost the average number of total aerospace employees for the year to 637,000. According to the latest available figures, more than 642,000 total workers were employed by the aerospace industry in September.
Most of the major statistical categories tracked by AIA showed growth in 2007. Military aircraft increased 10 percent to $54.8 billion, space increased $605 million to $39.1 billion, and related products went up $1.9 billion to $33.8 billion.
In 2007, the civil aircraft category continued its rapid climb, owing to solid increases in both commercial transports and business jets, increasing $7.3 billion (16 percent) to hit a total of $53.3 billion. With 443 large commercial transport deliveries, the value of shipments reached $29 billion this year.
Looking beyond 2008, AIA economists believe the current backlog of commercial aircraft orders raises confidence that “the civil aircraft sector will continue on an upward trajectory for at least an additional three or four years.”
While military aircraft sales increased 11 percent from 2006 levels to $55 billion in 2007, AIA projects a slight decrease in 2008 due to delays in tanker and combat search and rescue programs. Missile sales improved slightly this year, but will do better in 2008 as missile stocks are replaced because of the ongoing wars in Iraq and Afghanistan.