Indonesia Projected to be One of the Countries with Largest Aviation Market in the World
BANDUNG, itb.ac.id–The Undergraduate Program in Aerospace Engineering from Faculty of Mechanical and Aerospace Engineering at Institut Teknologi Bandung held an online aerospace colloquium as a result of a collaboration between ITB and BOEING on Friday (1/4/2022). In this online colloquium, the material presented was “Renewal of the Passenger Aircraft and Commercial Air Cargo Market and Its Long-Term Future Forecast".
The invited speakers for this seminar was Regional Director Market Analysis of Boeing Commercial Airplanes, Gregg Gildemann. On this event, Dean of ITB Faculty of Mechanical and Aerospace Engineering, Prof. Dr. Ir. Tatacipta Dirgantara, M.T., also took part by delivering the opening speech.
According to Gregg, Indonesia is home to the largest aviation market in Southeast Asia. This is influenced by Indonesia’s population taking up 41% of the entire Southeast Asia population, and also its GDP of 1.1 billion US dollars covering 35% of the Southeast Asian economy.
“Those big numbers support Indonesia as a country to have the largest aviation market in Southeast Asia by covering almost 45% flight capacity in Southeast Asia,” said Gregg. This percentage has been increasing from the second quartile in 2021 until the fourth quarter of 2022.
Gregg added that based on data from IHS Economics, Indonesia’s GDP was calculated to increase as much as 24% in 2025. During that year, it is projected to increase by 15% for the production industry and by 25% for personal consumption. Finally in 2039, Indonesia is projected to have the fourth largest aviation market in the world.
To face the future of the aviation world, BOEING predicted some of the trends bound to happen there, such as fleet renewal, increase in flight efficiency and sustainability, increase in travel demand, market diversity, new innovations, increase in network flexibility and also capability.
“The prediction for 20 years from now is a 2,7% increase in the world’s economy, a 4% increase in airline passenger traffic, a 4% increase in cargo traffic and a 3,1% increase in aircraft fleet,” stated Gregg.
Reporter: Yoel Enrico Meiliano (Food Engineering, 2020)
Translator: Hanna Daniela Ayu (Faculty of Mechanical and Aerospace Engineering, 2021)
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