New York: Executives attending the Reuters Manufacturing Summit in New York this week said that the aerospace sector had a very good quarter this year, and that it was likely to continue its good run for some time to come.
According to a Reuters report, diversified manufacturers such as Honeywell International Inc and General Electric Co as well as more specialized companies were benefiting from explosive growth in the sector.
Executives pointed out that the market for business jets, in particular, was exploding with a record 885 business jets delivered last year, a growth of 18 per cent over last year. Some executives estimate that there will likely be 20,000 business jets flying in five years, almost double the number five years ago.
It was also pointed out that though mainstream airlines will continue to battle low-ticket prices for market growth, manufacturers would continue to be in happy position as demand for aircraft would continue to surge.
Apart from aircraft manufacture there was also increasing opportunity for systems manufacturers as aging air traffic control systems, such as that of the United States, become due for an overhaul.
Manufacturers, such as GE, point to countries like China as one of the world's leading aerospace markets. It said that four of its last five orders have come out of China.
Big manufacturers aside, the Reuters report mentions, even small manufacturers are experiencing good times. Timken Co, whose business is based on bearings, seals and components for turbofan engines and other industrial components, says that aerospace was now the fastest-growing part of all its businesses.