Russia, CIS Require Over 1,000 Aircraft

Over the next 20 years, Russia and the Commonwealth of Independent States (CIS) will require 1,060 aircraft worth $70 billion, according to Boeing (BA) in its updated annual forecast of the commercial aircraft market which, for the first time, includes the region. Now that China has been foreclosed to new airlines, U.S. regionals, many of which are exploring overseas ventures, may turn their sights toward Russia and CIS. Air traffic within Russia and the CIS is expected to grow six percent per year over the next 20 years. Indeed, forty-three percent of the aircraft will be smaller regional jets while airplanes of the Boeing 747 size or larger will comprise two percent of the market. It’s good news for Sukhoi which is developing a competing regional jet between 70 and 130 seats, similar to the yet-to-be-launched Bombardier C-Series. Meanwhile, Embraer already has an aircraft for the up-to-120-seat market. The Sukhoi, however, is set to fly next month. Airplanes in the Boeing 737 size range will account for 44 percent of all commercial jetliners delivered to Russian and CIS airlines during the next 20 years, amounting to 470 units valued at $30 billion. Eleven percent – or 110 units at a value of $20 billion – will be twin-aisle airplanes like the Boeing 777 and 787.