November 2023 marked a significant milestone in the aerospace industry, with a record-breaking backlog of aircraft orders for the fourth consecutive month. The total number of orders has now reached an unprecedented 15,000, representing a staggering 354% increase compared to the figures from November 2022. This year’s surge in aircraft orders is further underscored by a 10% year-on-year growth in the backlog.
A recent report from ADS Group, a leading trade association for the aerospace, defense, security, and space sectors, has shed light on these impressive statistics. According to the report, a total of 2,657 aircraft orders have been placed so far this year. Notably, more than 2,000 of these orders are for single-aisle aircraft, but 2023 has also set a new record for wide-body aircraft orders, with 586 such orders placed to date.
Soaring Engine Backlog Orders Reach an All-Time Hig
The delivery of aircraft has seen a modest increase of 3% in November 2023 compared to the same period in 2022, with a total of 120 aircraft delivered during the month. This increase is primarily driven by the high demand for single-aisle aircraft. The current pace of deliveries is on track to surpass the ADS forecast of 1,215 deliveries for the entire year of 2023.
Another area of growth in the aerospace industry is seen in engine orders. As of November 2023, there is a record high backlog of 28,376 engines.
The economic significance of these backlogged aircraft orders is considerable, particularly for the UK’s aerospace sector. The orders are estimated to have a value of £234 billion.
Industry Insights: ADS Chief Economist on Aerospace Sector's Growth and Challenges
The ADS report optimistically concludes that the aerospace recovery is continuing, with the supply chain intensifying its efforts to meet these demands.
Aimie Stone, the Chief Economist at ADS, commented on these developments, stating: “While we see record numbers of orders placed, and a slight uptick in deliveries on 2022 figures, it’s clear that buoyancy in the aerospace sectors requires a continued ramp up at all levels of the supply chain. To secure the long-term advantage of our aerospace industry, worth more than £10.9 billion in value add to the UK economy in 2022, it is important that challenges to our supply chain are recognized and addressed.”
These trends indicate a robust and growing demand in the aerospace sector, highlighting the need for a strengthened and responsive supply chain to sustain this growth momentum.