If you build it (better), they will come. That seems to be the message the new business jet market is sending OEMs. According to data from the General Aviation Manufacturers Association (GAMA), business jet shipments increased by 12.5 percent in the first half of 2019 compared to the year-ago period. That increase is driven in large part by deliveries of new models plowing new niche market territory and/or offering superior value propositions. Such comparatively new models include the Gulfstream G500, Pilatus PC-24, and Cirrus SF50 Vision. Concurrently, the used jet market is softening, according to business aviation data company JetNet, with average days of used jets on the market increasing to 297, a jump of 28, and the preowned inventory edging up to 9.5 percent, though still within traditional "sellers' market" territory.
However, against the optimism surrounding new jet sales, global business capital expenditures (capex) are falling in key business jet markets, including North America, Europe, and Asia-Pacific. London-based consultancy S&P Global reports that “the share of cash flow directed to capex versus other uses is at its lowest ebb since 2007.”
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