Latin America Flight Support: The future of Latin America’s aviation sector is favourable. The region’s industry is expected to experience the next highest growth rate following Asia. This is despite economic and political challenges.
ASM’s commercial visionary and senior management have been closely watching Latin America’s progress. They have been eyeing expansion into the region for some time. The COVID era is hopefully coming to an end. ASM is taking this cross-continental step to engage with the great business potential of South America.
General Aviation Prospects in Latin America
The Latin American aviation market was valued at $6.2 billion in 2020, according to a report by Mordor Intelligence. Analysts expect it to grow by roughly 35%, reaching $9.5 billion by 2026.
The COVID-19 pandemic dealt a major blow to Latin America’s aviation sector, mirroring global trends. Air travel demand plummeted, forcing airlines to reduce capacity. Commercial airlines in particular suffered severe declines in passenger traffic, leading to significant losses. Yet, several factors indicate a recovery path. Rising domestic travel strengthens this rebound. The growth of low-cost carriers fuels it. Fleet modernization in military aviation advances it. Increased cargo traffic also supports this recovery.
Amid these challenges, Latin America is still seeing significant airport infrastructure development. Argentina, for instance, plans to invest $750 million to expand Ezeiza International Airport. Meanwhile, airports in Brazil, Jamaica, Honduras, Paraguay, and Peru are being privatized. This privatization is expected to modernize airport infrastructure across the region. This will boost capacity for commercial airlines and drive growth in the general aviation market. The commercial segment is anticipated to achieve the highest compound annual growth rate (CAGR) by 2026, despite pandemic setbacks.
Although some airlines delayed aircraft deliveries, they have not cancelled many orders. Boeing forecasts a demand for 2,610 new aircraft in Latin America over the next two decades. Ninety percent of this demand is for narrow-body jets. This trend reflects the region’s growing need for affordable air travel options.
Business Aviation Developments in South America
Latin America’s vast geography makes business aviation essential, with economic hubs separated by jungles, mountains, and plains. Business jets provide a vital connection across these distances, attracting investors and facilitating commerce.
The Latin American business jet market is set to grow, with a projected CAGR of over 0.3% by 2026. Demand for Light, Mid-size, and Large private jets remains strong, especially in Brazil, Mexico, and Colombia. These conditions offer promising opportunities for flight support providers. The mid-size jet segment is expected to see the fastest growth over the forecast period.
Currently, 25% of South America’s business jets are over 30 years old. As older jets retire, new business jet deliveries are likely to increase in the coming years. Alongside this expansion, modernizing business airport infrastructure will become a key priority. Governments and private organizations will invest heavily to support the sector’s growth and meet evolving needs.
ASM Joins the Latin America Club
The UNWTO reports that air traffic demand in Latin America is growing at 5.6% annually, outpacing global projections. To keep up with this rapid growth, the region’s airlines must expand seat capacity. They also need to expand their fleets, particularly in regional and domestic markets. Major manufacturers like Boeing, Bombardier, Airbus, and Embraer report that Latin American companies are leading in purchase orders.
ASM has joined financially robust global businesses by entering Latin America’s aviation industry. The company leverages its skilled workforce, taking a highly qualified approach to its services in the region.
To further strengthen its presence, ASM appointed Mr. Manuel López Blanco as Business Development Manager for Central & South America. With this addition, Mr. Blanco joins ASM’s skilled team in Latin America, enhancing its regional influence.
Blanco has over 19 years of technical sales experience, commercialization and customer management. His dynamic and analytical personality will now lead ASM to a new level of excellence. This includes achievements in the South American aviation sector, both on ground and in flight.
For further information, please contact:
Aviation Services Management FZE
Suite 217, 8WB, DAFZA, Dubai, UAE
Tel: +971 4 4097755
Email: sales@asm.aero
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