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Boeing Forecasts Strong Growth for Indonesia’s Aviation Sector

Our Bureau - : Sep 21, 2024 - : 6:52 pm

Boeing has projected a significant rise in Indonesia’s aviation sector, as highlighted in its 2024 Commercial Market Outlook (CMO). With Southeast Asia’s air travel industry expected to expand rapidly over the coming decades, Indonesia is positioned as a key player in the region’s growth.

According to Boeing, passenger air traffic in Southeast Asia is set to grow by more than 7% annually, with Indonesia accounting for a significant portion of that expansion. Currently, one in four passengers in Southeast Asia originates from Indonesia. The country’s air traffic is projected to increase by 6% annually over the next decade, a trend closely aligned with the nation’s economic growth.

Boeing’s analysis further indicates that Indonesia will require approximately 200 single-aisle aircraft in the near future to accommodate the growing demand. The introduction of new aircraft is expected to enhance connectivity across the archipelago, contributing to broader economic development. The analysis also shows that Indonesia’s airlines could meet over 90% of their core market needs with single-aisle aircraft in the same class as Boeing’s 737 MAX family.

Indonesia currently operates Southeast Asia’s largest commercial jet fleet, offering a significant opportunity for the replacement of older models with more fuel-efficient aircraft. The Asia Pacific region is expected to account for 62% of global air cargo traffic by 2043, and Boeing forecasts the delivery of 980 freighter planes to meet demand.

In line with this projected growth, Boeing highlighted the increasing need for skilled aviation professionals, including pilots, engineers, and ground personnel, which could create numerous high-income job opportunities in Indonesia and the wider region.

Next year, Boeing and Indonesia will mark 75 years of partnership, a milestone that underscores the company’s longstanding involvement in the country’s aviation sector. The company has expressed its readiness to support Indonesia’s future fleet renewal and expansion needs.

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