Aircraft leasing firm sees strong Asia-Pacific business-jet market
GLOBAL JET Capital, a provider of financing solutions for corporate aircraft, said in a report that delivery of heavy private jets in the Asia Pacific region has been increasing in the last five years as operators expand their fleets.
There were 450 mid to heavy private jets delivered to Asia Pacific between 2012 and 2016, with a combined value estimated at over $22 billion, according to Global jet Capital’s April 11 report.
In the Philippines, it noted that there were eight heavy private jets delivered in the 2012 to 2016 period, accounting for 2% of total deliveries in the region with a value of $400 million, the same number delivered for Malaysia.
New Zealand accounted for the lowest delivery levels with five aircraft from 2012 to 2016.
“Global Jet Capital believes Asia offers strong opportunities for growth in the business aviation sector. It is seeing a growing number of enquiries in the region to help finance the purchase of large to mid-sized jets,” the firm said in its statement.
It said the largest number of deliveries was to China, which purchased 255 business jets at an estimated cost of $12.75 billion, accounting for 57% of all deliveries to the region over the past five years, signifying the demand for aircraft at the larger end of the spectrum.
This was followed by Hong Kong (65 deliveries), India (21 deliveries) and Japan (15 deliveries).
The firm said these mid to heavy aircraft typically cost between $25 million and $75 million each, and up to 80% of the funding used to purchase these is sourced through external financing.
“Over the next 10 years or so, as many as 90 mid to heavy private jets are set to be delivered to Asia every year, which is over 17% of the world’s total. The region has been taking a bigger share of global deliveries and it is a key market for us where we are growing our team to help capitalize on the huge opportunities here,” Violet Kwek, sales director, Greater China and North Asia at Global Jet Capital was quoted as saying.
In a related report, the company said the Philippines has 37 midsize, large and jet airliner private aircraft, which accounts for 33% of the country’s fleet, making it the 10th largest fleet size in the region.