With lowered interest rates, more accessible financing and a decrease in operating costs partially due to lower oil prices, the global aviation and aerospace industry is seeing clear skies ahead. These factors, amongst others, are catalysing heightened demand in many emerging markets and energising the development of the world’s major economies. Boeing forecasts that more than 36,000 new aircraft are needed to meet this mounting requirement globally, of which over 13,000 will find homes in Asia-Pacific.
The global aviation and aerospace industry is seeing clear skies ahead.
The increase in production by major aircraft manufacturers will wield immense pressure on the supply chain as subsystem OEMs and suppliers who have not undertaken such massive demands before, are being tested. These companies may be severely strained, potentially leading to problems like parts shortages, unsequenced work, reworking and unplanned overtime periods, which would inevitably affect delivery schedules and costs.
In an attempt to gain economies of scale and to support the required investment in manpower and tooling of such companies, the tendency for the supply chain to consolidate by part family, such as components, electronics and interiors, etc., may persist in the next few years to fulfill the demand surge.
To meet this imminent growth, a strong manpower base is needed to allay the rising challenge. With a world-leading education system and sound training environment, offering specialisation streams in courses such as civil aviation management, aerospace engineering, etc., Singapore grooms over 1,000 aerospace and aviation professionals yearly to bridge the industry’s passion for skilled, well trained and experienced workforce.
As the leading association representing the aerospace industry, the Association of Aerospace Industries (Singapore) or AAIS works closely with various industry partners and stakeholders in this regard, to map out the demand landscape and future skill set requirements to strategically set the course of our path to meet the anticipated outlook. As we face new beginnings and challenges, we look forward to continuing our industry growth and furthering Singapore as Asia’s Aviation Hub of Choice.
Charles Chong
President
AAIS / Aerospace Industries Association (Singapore)
