Nassau, Bahamas, 2014-11-13 — /Travel PR News/ — Embraer Commercial Aviation forecasts that airlines in Latin America will take delivery of 700 new jets in the 70 to 130-seat segment over the next 20 years, representing 11% of the worldwide demand for the segment in the period. It is estimated that 63% of these units will support growth and 37% will replace older-generation aircraft. The 70 to 130-seat jet fleet will increase from the currently 280 units to 750 by 2033.
With economic growth and investments leading to more regional integration, secondary markets are poised to drive the demand for new air travel. And for this, fleet optimization and right-sizing will be key.
“The commercial aviation market in Latin America has experienced unprecedented development over these last years”, said Simon Newitt, Embraer Vice President, Commercial Aviation, Latin America. “We are proud of the positive contribution the E-Jet fleet has played, and will continue to play, in the growth and prosperity across the continent.”
The first delivery of an E -Jet in Latin America occurred in 2005, when Panama’s Copa Airlines received an E190. Currently, nearly 200 E-Jets are in service with 8 operators from 7 countries in the region, where Embraer is the leader in the segment of jets up to 130 seats with 70% of market share.
The region will report solid economic annual growth of 3.8% over the next 20 years based on a favorable external environment, political and macroeconomic stability, and more equitable income distribution. Per capita GDP will increase by 2.9% annually from USD 9,050 to USD 15,960 in the same period. The annual growth in demand for air transport has been robust over the last five years at 7.0%, a trend that is expected to continue over the next 20 years, when the region will grow 6.0% annually.
Despite the dominance of larger aircraft, Latin America is mostly comprised by low and mid-density markets – 80% of which have traffic volumes up to 300 daily passengers. In 2013, over 50% of all intra-regional markets had one or fewer daily flights using narrow-body jets. This imbalance of capacity and demand can create inefficiency.
As seen at a number of leading airlines across the continent, the use of aircraft in the 70 to 130-seat segment can effectively improve connectivity in low and mid-density markets, and complement narrow-body flights during off-peak hours on trunk routes. Whilst the airlines are able to improve operating efficiency and profitability through the use of such capacity, the passengers also benefit from having more choice and convenience.
The E-Jets family has logged more than 1,500 orders and over 1,000 deliveries to date. The aircraft are in service with some 65 customers from 45 countries.
About Embraer Commercial Aviation
Embraer is the world leader in manufacturing commercial jets with up to 130 seats. About 900 airplanes of the ERJ 145 family of regional jets with 37, 44, and 50 seats, have been delivered to airlines since the aircraft were introduced to the market in 1996. The E-Jets family includes four aircraft that have from 70 to 130 seats. With their advanced engineering, high level of efficiency, ergonomic and spacious cabins with two seats on either side of the aisle, and attractive operating economics, the E170, E175, E190, and E195 established a new standard it their category. Since E-Jets entered service in 2004, Embraer has received more than 1,500 firm orders. Over 1,000 E-Jets have been delivered and are in service with some 65 airline companies from 45 countries. Embraer E-Jets are also popular with leasing companies – nearly thirty have added the aircraft to their portfolios. E-Jets are flying with mainline carriers, low-cost and regional airlines, and scheduled tour companies.
In 2013, Embraer launched the second generation of E-Jets, E-Jets E2, consisting of three new airplanes – E175-E2, E190-E2, and E195-E2 – in the 70 to 130 passenger segment. The E190-E2 is scheduled to enter revenue service in the first half of 2018 followed by the E195-E2 in 2019 and the E175-E2 in 2020.
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