MARKET FOR AIRLINERS

Press, Volume XCIV, Issue 28154, 18 December 1956, Page 13

MARKET FOR AIRLINERS

Britain Mav Face Hard Selling JN.Z Press Atmociatiov—Co'pyri.qh.t') 8 p.m.) LONDON. December 17. British aircraft manufacturers are facing what may Drove over the next year or so to be their stiffest fight for world air transport markets, says the “Financial Times” air corresDondPnt. There are signs that the lull in buying since the summer—after a surge of re-eauipment by airlines which in 18 months added more than £IOOOM to manufacturers’ order books—may be coming to an end. h* 3 says. Most of the airlines’ preliminary long-range eauiument needs for the period between now and the mid 1960’s have been settled. The next phase in airline procurement will be twofold: the consolidation and expansion of long-range pattern already established, and the heavv volume of buying to meet vastly greater needs of medium and shortrange markets. Decisions that will be taken by airlines throughout the world in the period immediately ahead may well determine the British airliner manufacturer’s level of activity for a long timeto come. The basic factor behind the world’s airlines heavy demands for aircraft is the steady growth of passenger traffic. It is estimated that the existing volume will be doubled by the early 1960’5. Jet Airliner Market To meet this growth it is estimated that in* addition to 200 big jet airliners already sold, there is a market for a further 100 to 150 big jet aeroplanes alone between now and 1961-62, and another 100-150 in five years beyond that. In the medium-range market, in addition to nearly' 500 Viscounts, Comets Caravellas. Vanguards, Electras, and Convair 880’s already on order, sales of a further 1500 aeroplanes in the 1960’s has been forecast. The value of all these future orders could amount to about £SOOM in the long-range market, and £ISOOM in the medium and short-range fields. British firms are strongly placed for the fight ahead, particularly in medium-range and short-range. Many airlines have been holding back from firm decisions, but it is clear that they cannot hold off much longer. It may only require a decision by one or two of them to start a round of new buying in the medium-range field as dramatic as that touched off last autumn by the Pan American decision to enter the long-range jet market on a large scale.