Aerospace industry takes expected hit from aviation crisis

Airbus A350 2
Airbus A350 2

The global aerospace industry has been heavily affected by the aviation crisis caused by the Covid-19 pandemic.

The latest figures from ADS, the UK trade organisation for the aerospace, defence, security and space sectors, reveal 370 aircraft order cancellations were recorded in the first four months of the year. Deliveries of planes also hit a record low in April.

The impact on the industry is expected to be felt for several years before production can be fully restored to pre-crisis levels.

The record low of 20 aircraft deliveries in April was made up of 13 single-aisle aircraft and seven widebody.

The overall aircraft order backlog fell below 14,000 due to cancellations. However, if demand and production rates are ultimately restored to pre-crisis levels, aircraft orders still represent up to £215 billion in value to the UK.

Five priorities for the aerospace industry in the pandemic


ADS says urgent action from the government is needed to support a recovery in the sector and protect high value aerospace jobs in the UK.

To ensure a strong restart and recovery for the aerospace industry, the organisation has set out five priorities for action:


  1. A pragmatic and proportionate plan to resume flights and enable travel as soon as the crisis allows.

  2. Extension and flexibility for employment support measures that will be needed for many months in a sector that faces a long road to recovery.

  3. Rapid expansion of Government support for low carbon aerospace technology, putting the UK at the forefront of the drive to develop and manufacture more sustainable aircraft.

  4. An evolution of business support measures that unlocks finance for manufacturing supply chains.

  5. Bringing forward public procurement programmes to support jobs and cashflow, particularly in defence and space.

ADS chief executive Paul Everitt said: "The aerospace industry has been hit hard by the Covid-19 pandemic and urgent steps need to be taken by the Government to protect our highly skilled, high value workforce in every part of the UK.

“This can be done through the UK leading the re-opening of international aviation, putting in place additional public support for development of new low carbon technologies, bringing forward defence and space programmes and establishing long-term funding mechanisms to help our supply chain survive and prosper as growth returns to the sector.

“Following the announcement of a 14-day quarantine period, we are asking the Government to move to a more targeted approach, such as ‘air bridges’, which would see the controlled reestablishment of air routes and overseas travel, where it is safe to do so, and as soon as possible to any low risk country. The alternative risks major damage to the arteries of UK trade with key industry supply chains, whilst pushing the UK to the back of the queue as states begin conversations for opening up their borders.”

ADS Group www.adsgroup.org.uk

Company

ADS Group

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