- 483 aircraft were ordered in the first six months of 2024, down significantly from the record-high order book of H1 2023
- Supply chain challenges have contributed to a fall in aircraft deliveries, down14% from 582 in the first half of 2023 to 500 in the same period in 2024.
- The global aircraft order backlog remains 8.3% ahead of June 2023, highlighting that long-term confidence remains resolute in sector that saw UK aerospace value add grow 16% between 2013 and 2023.
London (21 July 2024) – The latest figures from ADS, trade association for the UK’s aerospace, defence, security and space sectors, has found commercial aircraft orders fell 71% in the first half of 2024 compared with the first half of 2023, while deliveries fell by 14% in the same period.
Other than 2023, aircraft orders in the first half of 2024 remain at their highest level since 2018.
The latest order figures are released ahead of Farnborough International Airshow (FIA), the aerospace sector’s flagship event looks set to feature several key order announcements.
The 14% fall in delivery rates is a reflection of supply-chain and regulatory challenges, regulatory and capacity challenges facing the sector, but still represents £7-8bn of value provided to the UK economy.
Aircraft order backlog worth £247bn to UK economy over 10 years, as sector delivers nearly £11bn in value add
The 15,668 global aircraft order backlog is worth up to £247bn for the UK economy and is 8.3% higher than the same point in 2023, reflecting general sector confidence.
ADS’ Aerospace Sector Outlook showcases the £10.9 billion of economic contribution of UK aerospace in 2023, a figure that has increased 16% since 2013.
Productivity within the aerospace sector has risen 25% since 2013, with the sector’s c04,000 jobs providing an average of £104,800 output per worker. 88% of those jobs are located outside of London and the South East, and the median average salary of aerospace sector jobs is 39% higher than UK average at £48,700.
Aimie Stone, Chief Economist at ADS said:
“Despite notable challenges, the UK aerospace sector is thriving only a few short years since a pandemic that grounded almost all areas of the civil aerospace sector.
“2023 was a record-breaking year for aircraft orders and deliveries, and the first half of 2024 has only fallen slightly behind 2023 delivery rates. The data for the sector in the last decade shows long-term resilience within the industry, as well as increasing productivity levels in this dynamic, innovative sector.
“Intelligent support from Government to tackle issues in the supply chain, cash flow and capacity constraints has the potential to turbo-charge more long-term growth in this sector, providing significant benefits to the economy for the future.
ENDS.
Notes to editors
- ADS is the UK trade association for the aerospace, defence, security and space sectors, with more than 1,300 member businesses.
- More than 90 per cent of ADS members are SMEs.
- Order and delivery figures cover reported deliveries of commercial aircraft by Airbus and Boeing.
- The latest figures published by ADS Group showcase exports from the UK aerospace sector being worth £20 billion in 2023. It further highlights that the UK’s aerospace sector is a hub for advanced manufacturing, supporting well-paid jobs across the country and driving decarbonisation through innovation, generating £30.5 billion in turnover, with value add to the UK economy worth £10.9 billion.
- ADS’ Aerospace Outlook further showcases that 88 per cent of the 104,000 jobs in the aerospace sector are located outside of London and the Southeast. In addition, with £104,800 output per worker, aerospace sector productivity is 25 per cent higher than a decade ago, delivering strategic advantage for the UK.
- Farnborough International, the world-leading exhibition business responsible for Farnborough International Airshow, is a wholly owned subsidiary of ADS Group.
