The General Aviation Manufacturers Association (GAMA) reported during its State of the Industry address recently that flight activity, corporate profits, and tax policies are all showing signs of improvement.
“We have three greens,” said GAMA Chairman of the Board and Dassault Falcon CEO John Rosanvallon, “and that’s always a good sign in aviation.”
Corporate aviation’s flight activity in the United States increased 10.8 percent from 2009 to 2010. Corporate profits, which fuel aircraft purchases, increased 26 percent in the United States. Favorable tax policies, including the extension of bonus depreciation, also will also help the market, Rosanvallon said. With the addition of new aircraft to corporate fleets come the need for more well-trained pilots.
General Aviation billing activity increased, thanks to the business jet market and expanding global markets. Billings increased 1.2 percent in 2010 to $19.7 billion. This contributed partially to an 11 percent increase in U.S. exports in 2010 to 62 percent of the U.S. billings.
The General Aviation Industry is marking solid improvement, GAMA President and CEO Pete Bunce said, “I look at 2011 with both optimism and caution.”
Bunce anticipates that the economic recovery should continue to increase, the backlogs of new aircraft should increase, and new Business Jet markets should continue to expand.
Bunce also supports international aviation safety agreements and a more streamlined certification and inspection process between the FAA and the European Aviation Safety Agency for manufacturers and repair stations working in the United States and internationally.
“The changes needed in policy and regulation in these areas is great,” Bunce said. “We must capitalize on this opportunity to develop added efficiencies in government policies and procedures to increase safety and keep pace with industry growth.”