In July, KDC (along with many other companies) attended the Farnborough International Airshow. Along with all the great networking opportunities, the airshow generated a lot of business for some of the industry’s biggest players.
Below, we’ll recap some of the biggest deals and look at why events like the Farnborough International Airshow are so important for the aerospace industry.
Let’s start with one of the big deals: Lockheed Martin signed a letter of intent with the Greek government for 20 F-35 Lighting II jets, with the possibility of 20 more to follow. Considering the value the F-35 programme has for the British economy, and the length of the programme, this is a reassuring offer to have secured.
Moving into the commercial space, Airbus signed a few deals, including 20 A350-900s and 10 787-9s from JAL. The deal also includes options for 10 more A350s, although plans for this order had been previously disclosed in March of this year.
Meanwhile, Boeing announced a deal from Qatar Airways for 20 777-9s and a deal from Korean Air for 50 widebody aircraft – a mix of 777-9s and 787-10s. Boeing also announced deals with SkyTeam, National Air Cargo, and Luxair. Overall, the airshow led to around 161 widebody aircraft commitments with the major players.
Of course, aircraft deals aren’t the only successes to come out of the Farnborough International Airshow. GE Aerospace announced its commitment to the MOD’s Defence Aviation Net Zero Charter as well as its plans to invest more than $1 billion into its Maintenance, Repair and Overhaul division over five years. Although these announcements aren’t specifically tied to the airshow, they demonstrate its purpose as more than just a deal-making event.
The Farnborough International Airshow is, at its core, a space for players in the aerospace industry to connect. The benefits of this are clear for people at all levels, whether they represent major businesses, smaller startups or tertiary companies. Engaging with thought leaders and innovators in a space designed specifically for one industry is one of the best ways to facilitate the quick growth of new ideas.
But its advantages go well beyond that; events like the Farnborough International Airshow have major benefits for the local and national economy. Of course, bringing together so many industry players brings a lot of money into Farnborough, but the more important point for us is the advantages it offers the British economy.
Take the F-35 deal for example. Production and supply of the F-35 is expected to add around £45 billion of gross value to the British economy over its lifetime. Granted, this isn’t directly linked to the Farnborough International Airshow, but the sort of deals struck at the event certainly contribute to this overall value.
The same logic applies to commercial deals, but also to commitments and other announcements. GE Aerospace’s commitment to the MOD’s Defence Aviation Net Zero Charter, for example, doesn’t necessarily add direct value to the economy, but it does provide indirect value. It has a trickle-down effect and signals a wider industry trend that can only have a positive impact.
In short, events like the Farnborough International Airshow are essential to keep our industry innovating and growing. The networking opportunities are crucial, as are demonstrations of current and future technology. Although it only happens every two years, it’s certainly a game-changer when it does roll around.
