Increasing demand from low-cost airlines and booming airline travel in Asia – China in particular – drove Boeing to raise its forecast for new airplanes.
"It's a market that's exceeded our expectations," said Randy Tinseth, vice president of Marketing,Boeing Commercial Airplanes. "With new and more efficient airplanes entering service, the growth in air travel is being driven by customers who want to fly where they want, when they want."
Boeing's 20-year industry forecast calls for 36,770 new airplanes over the next 20 years. That's an increase of 4.2 percent compared to last year's forecast.
"We believe we're well positioned for future growth," said Tinseth.
Boeing's forecast comes just days before the Farnborough Air Show where the airplane maker and its European competitor, Airbus, are expected to announce a slew of new orders.
The outlook also comes on the heels of Boeing securing an order from Emirates Airlines for at least 150 Boeing 777X planes with a book value of at least $56 billion.
Narrow body boom
The biggest growth in new airplanes is expected to come in the narrow body market.
Boeing believes the industry will need 25,680 single-aisle planes over the next 20 years.
"The single-aisle market is the backbone of the airline system," said Tinseth. Boeing's narrow body 737 has long been the most popular plane sold by the company.