Arabian Aerospace: Michael Wette On The Impact Of Covid-19 On Civil Aviation
May 05, 2020
Civil aviation appears to be due a slowdown after a 10-year run of profit and growth.
The MRO market was "definitely impacted" by a 50% increase in aircraft entering storage during the recession of 2001-2 and again in 2008-9, mainly through the "deferral of maintenance that they represented". But more aircraft in storage or retired is not necessarily a bad thing. Michael Wette, Oliver Wyman (Middle East) Transport and Services Practice Partner suggests that an economic slowdown would allow stock replenishment, benefiting
USM markets and dealers and operators themselves. His longer-term focus is on an intensifying battle for the aftermarket.
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