Orders for wide-bodied long-distance aircraft have fallen, threatening future cash flow for Boeing and Airbus. The European Union has also been hit by the drop in oil prices, which are expected to continue until at least mid-2018. Analysts have said demand is unlikely to pick up as the global economy continues to slow, and data analysis from the past 20 years has shown orders for more expensive jets fall in a weak economy. Both firms’ wide-bodied aircraft cost more than $200m. Boeing is expected to fiercely compete for future orders because of the financial impact of the global 737 Max grounding.
Orders for wide-bodied long-distance aircraft have fallen, threatening future cash flow for Boeing and Airbus. Net orders to the two companies fell by more than 56% to 105 aircraft in the first nine months of 2019. Analysts have said demand is unlikely to pick up as the global economy continues to slow, and data analysis from the past 20 years has shown orders for more expensive jets fall in a weak economy. Both firms’ wide-bodied aircraft cost more than $200m. Boeing is expected to fiercely compete for future orders because of the financial impact of the global 737 Max grounding.