The business jet market has recovered well from a brief disruption in the early phases of COVID-19 and has returned to the steady growth trajectory it was on before the pandemic. Business jet flight operations and transactions – led by continued pre-owned demand – increased in Q1 2022, continuing a trend that started in the second half of 2020. OEMs reported strong order activity that has increased backlogs across the industry, while balanced supply and demand has led to a healthy pricing environment. Although there are challenges, economic growth is expected to continue, further supporting the business jet sector. Strong industry conditions will be sustained as businesses reopen offices and business travel continues to resume.
- Global economic growth is forecast to continue throughout 2022 and 2023, despite challenges such as the war in Ukraine and persistent inflation.
- Driven by entry of new customers into the market as well as a return by established users, business jet flight operations increased 35.8 percent compared to Q1 2021.
- Strong orders drove OEM book-to-bill ratios to 1.9-to-1 in Q1 2022, with backlogs reaching $38.8 billion.
- Pre-owned transactions were up 36 percent in Q1 2022 compared to a year ago, driving the overall market up 6.8 percent.
- Inventory levels continued to decline and remained at historic lows.
- With demand high and supply remaining at low levels, business jet bluebook values increased.
