The Farnborough Airshow in England is expected to shift its focus from commercial jets to defence and weapons due to increasing global security risks. The airshow, which will take place from July 20-24, will feature a record 1,600 exhibitors, with defence representing half of them.
Global Security Environment
Air Chief Marshal Harv Smyth, head of the Royal Air Force, stated that the global security environment is more complex and volatile than it has been in many decades. The Ukraine war and the ceasefire in the Gulf have contributed to the increased demand for weapons and defence technology.
Industry leaders warn that defence technology startups could disrupt the industry, similar to how SpaceX transformed the launch business. These startups are developing drones and AI-powered targeting software, which could lead to faster development cycles and mass-produced systems.
Commercial Jet Sales
On the commercial side, Airbus and Boeing are expected to announce new orders and disclose customers behind previously booked deals. However, with delivery slots largely sold out well into the next decade, the usual flurry of announcements is likely to attract less attention.
Investors will focus on aircraft deliveries, where manufacturers generate most profits. The supply chain has improved, but issues such as castings and forgings remain critical. Fixing these issues is key to meeting production targets, including Airbus’s goal to lift single-aisle jet output by 25% to 75 a month in 2027.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
