Eyes on China at Singapore aviation gathering amid industry consolidation

Strong airline profits and higher defence spending have boosted the outlook for aerospace firms gathering for next week’s Singapore Airshow, but after a surge of activity in 2017 the event is expected to produce few big-ticket deals. The biennial show, the largest in Asia, will bring together buyers and sellers against the backdrop of China’s attempt to play a bigger role in a realigning global aerospace industry. The Chinese push into the commercial jet and military drone markets comes amid regional insecurity in Southeast Asia over its rising power while the US is retreating toward “America First” oriented policies. China was looking to get a leg up in commercial jet technology through a deal with Bombardier over the advanced C Series last year, but the Canadian company instead chose to partner with Airbus. The Airbus-Boeing duopoly could be further solidified if Boeing and Brazil’s Embraer agree to a tie-up that could involve their commercial and defence divisions. China, with its narrow-body C919, is not the only country trying to carve out space in the tightly controlled commercial market. Russia’s Irkut MC-21 and Japan’s Mitsubishi Regional Jet are also seeking to become serious competitors, and will be represented at the airshow like their Chinese rival. Manufacturers are targeting the Asia-Pacific region for product sales and services because it is the world’s fastest growing aviation market.<br/>