- Latest Edition April 17th: Tariffs on aircraft - delay and hope
- April 3rd Edition: Avoiding tariff turbulence
- March 20th Edition: How tariffs could reshape the aircraft market
- March 6th Edition: The possible slowdown in international air travel
- February 20th Edition: Momentum builds in 2025's ABS market
- February 6th Edition: Optimism on aircraft supply, but bottlenecks remain
Aviation Insurance General aviation insurance sector suffering from overcapacity and weak pricingIn its General Aviation Insurance Market Update for the first quarter of 2025 global insurance company Gallagher says General Aviation (GA) insurance market continues to experience significant overcapacity. While recent high profile losses should point to harder pricing as insurers question the adequacy of their GA pricing, the significant overcapacity continues to drive insurance premiums down for aircraft owners and operators. Aviation Business The impact of a China Boeing delivery block
OEM Business Deliveries on the increaseAirbus, Boeing and Embraer have given positive updates on their recent aircraft delivery activity with Boeing, albeit from a low base as a result of delivery stoppages during 2024, reporting a year on year increase for the month of March of over 40% while Airbus has begun to make up for its slow delivery start in the first two months of the year with strong deliveries in March. Delivery figures will be closely watched in the coming months to see how the United States' ongoing trade spat with trading partners impacts on activity. Developments Barings’ Capital Solution buys 12 narrowbodies; BOC Aviation’s $1.5bn term loanBarings’ Capital Solutions platform acquires $200 million narrowbody portfolio; Airbus closing in on Spirit AeroSystems acquisition; MUFG and SMBC close $75m RCF for Sun Country Airlines; AerCap board changes; BOC Aviation closes $1.5 billion term loan; Natixis' PDP facility for Phoenix Aviation Capital and AIP Capital; CDB Aviation delivers two E190s to Amelia; EVA Air orders 9 Airbus aircraft; Dunas Capital sells seven aircraft. |
In this issue In this issueIn this issue we report on the rise in commercial aircraft deliveries even as supply chain issues persist, while we also look at how the decision by China to block Boeing deliveries to Chinese airlines may play out, and gauge airline reactions to possible increased aircraft prices. In our Perspectives this issue Maples Group's Mary O'Neill and Stephen Gardiner identify and analyse the latest aviation finance market trends while we also look at the latest in general aviaiton insurance market. Perspectives Top trends in aircraft financing and leasing in 2025While IATA forecasts point to 2025 being a record year for airlines, the early year positive macro-economic environment has weakened in light of the imposition of protectionist trade policies which has, for instance, influenced a slowed down in aircraft ABS issuance in Q2 after a strong opening to the year write Maples Group’s Mary O’Neill and Stephen Gardiner. They look at the developing trends across the global aircraft financing and leasing sector including in ABS and aircraft trading and offer insight on incoming changes for non-EU banks that could impact their ability to lend to EU businesses, including lessors. Airline Business Airline CEOs issue tariff warnings
Leasing Business Lessors report strong Q1 activityMajor lessors updating the market on the Q1 activity recently show the positive environment for lessors has extended into the first three months of 2025 despite the global economic uncertainty brought about by the US Administration's efforts to reshape global trade flows through the imposition of tariffs on many of its trading partners. A number of lessors entered the bond market early and side-stepped the initial market turbulence in the aftermath of the US' April 2nd tariff announcements. |
While the trade dispute between the United States and China continues to evolve the recent move by Chinese authorities to block further Boeing aircraft deliveries to Chinese airlines has further raised the stakes. Aviation advisory IBA recently analysed what the impact of the move could be.
The CEOs of two of the world's largest airlines have outlined what their company's response will be to any increase in the price of new aircraft deliveries as a result of tariffs. Delta CEO Ed Bastian and Ryanair CEO Michael O'Leary have both said their airlines will delay deliveries of any new jets that are subject to tariffs. US-based Delta is due to take delivery of 34 aircraft from Europe's Airbus while Ireland-based Ryanair is due to take delivery of 25 aircraft from US-based Boeing with a possibility that all of these aircraft will be the subject of tariffs.