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article imageFarnborough 2018 — Highlighting the economic benefits of space

By Karen Graham     Jul 15, 2018 in Technology
The theme at the “SpaceZone” of one of the world’s largest aerospace expositions is that this is a good time to invest and push the technology envelope in space. But this year fears about the future after Brexit are hanging like a cloud over the sho
The biennial Farnborough International 2018 airshow trades off every other year in July with the Paris airshow as the preeminent showcase for the aviation industry. And it is a place where visitors can see the latest multi-billion-dollar fighters and sleek airliners soar through the skies.
Farnborough is an exposition - with demonstration flights by state-of-the-art carbon composite airliners and aerobatic performances from military jets - but at its core, it is a trade show. The Farnborough 2018 airshow will run from July 16 through July 22.
It is a chance for global companies to go head-to-head and a common meeting ground where suppliers, maintenance providers, and even consulting firms meet to talk business.
And international should not be taken lightly, either. The show attracts over 100,000 trade visitors from 100 countries. And while there is a focus on networking and deal-making, there are a couple of clouds hanging over what should be a week of hot, sunny days.
The Brexit and Trade war clouds hang low
This year's air show is being held in a much different climate than in previous years. There is Britain's impending exit from the European Union, which has its own issues. Paul Everitt is head of ADS Group, which represents the UK aerospace, defense and space sectors. He says that not getting a good deal on Brexit will end up hurting the sector.
President Donald Trump's announcement of China tariffs brings the world's two largest econ...
President Donald Trump's announcement of China tariffs brings the world's two largest economies to the brink of all-out trade war
NICHOLAS KAMM, AFP/File
"If the costs of operating in the UK become higher, then our ability to attract new investment will be diminished", he says, reports the BBC. And he thinks the current situation is already having an effect on the industry.
"We are a long-term industry. When a big investment decision comes along we are not in such a good place. If it continues we could see an erosion of our position."
But the trade war between China and the U.S. could escalate, leading to a global economic crisis. On the one hand, the U.S. is the biggest supplier of aircraft, jet engines, and electronics, to name just a few items, while Chinese customers account for about a quarter of new planes delivered each year, according to Business Insider.
Airbus and Boeing look to do well
Two aviation giants will be in the spotlight this week. That's because it has almost become a football contest between the two companies to see who can get the most orders at "mid-season." At the end of June, Boeing was ahead in net orders by 460. But that could be because Airbus lost a key player in sales chief John Leahy who retired at the end of 2017.
However, just a few days before the airshow, JetBlue and Vistara both placed major orders for new aircraft. JetBlue placed an order for 60 Airbus A220s with an option for another 60 aircraft. India's Vistara placed an order for 13 Airbus A320neo family airliner and six Boeing 787 Dreamliner with a total list value of $3.1 billion.
More about Farnborough 2018, air show 2012, European Union and Brexit, economic benefits, UK and EU
 
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