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YEAR <strong>EN</strong>D <strong>2016</strong><br />

ASIA PACIFIC REGION<br />

BUSINESS JETS<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

I


Beijing<br />

Penglai<br />

Seoul<br />

Chengdu<br />

Shanghai<br />

Shenzhen<br />

Hong Kong<br />

Bangkok<br />

Manila<br />

ABOUT ASIAN SKY GROUP<br />

ASIAN SKY GROUP (ASG), headquartered in Hong Kong with offices throughout Asia, has assembled the most experienced<br />

aviation team in the Asia-Pacific region to provide a wide range of independent services for both fixed and rotary-wing aircraft.<br />

ASG also provides access to a significant customer base around the world with the help of its exclusive partners.<br />

ASG provides its clients with the following business aviation services:<br />

Sales & Acquisitions | Market Research and Consulting | Operational Oversight | Luxury Charter Services<br />

The acclaimed Asian Sky <strong>Fleet</strong> <strong>Report</strong>s are produced by ASG’s market research and consulting team, in collaboration with<br />

Asian Sky Media — a branch of ASG focusing on media and publications.<br />

Asian Sky Media has a growing portfolio of business aviation reports designed to provide valuable information to readers for<br />

a better understanding of the market. Included in the portfolio is the Asia-Pacific <strong>Fleet</strong> <strong>Report</strong>s for both civil helicopters and<br />

business jets, and the Africa <strong>Business</strong> <strong>Jet</strong> <strong>Fleet</strong> <strong>Report</strong> for a breakdown of fleet within respective countries.<br />

Asian Sky Quarterly provides a reader-friendly look at market dynamics within the pre-owned markets of civil helicopters and<br />

business jets. ASG’s latest reports include, the Asia-Pacific <strong>Business</strong> <strong>Jet</strong> Charter <strong>Report</strong>, Asia-Pacific Training <strong>Report</strong> and the<br />

upcoming Asia Pacific Infrastructure <strong>Report</strong> focusing on respective industry segments showcasing the current status and<br />

challenges of the industry.<br />

DISCLAIMER<br />

The information contained in this report is provided free of charge for reference only. While such information was compiled<br />

using the best available data as of December <strong>2016</strong>, ASG makes no warranties, either expressed or implied, concerning the<br />

accuracy, completeness, reliability, or suitability of such information. ASG is not responsible for, an expressly disclaims<br />

any and all liability for damages of any kind, either direct or indirect, arising out of use, reference to, or reliance on any<br />

information contained within this report.<br />

CONTRIBUTION<br />

Asian Sky Group would like to acknowledge the gracious contributions made by numerous organizations, including aircraft<br />

operators, OEMs, aviation authorities and JETNET LLC in providing data for this report.<br />

Should you wish to reproduce or distribute any portion of this report, in part or in full, you may do so by mentioning the source<br />

as: “Asian Sky Group, a Hong Kong-based business aviation consulting group”.<br />

For information about our aviation services, contact: sales@asianskygroup.com or visit www.asianskygroup.com.<br />

For information regarding ASG publications, contact: media@asianskygroup.com or visit www.asianskymedia.com.<br />

CONTACT<br />

Suite 3905, Far East Finance Centre, 16 Harcourt Road Admiralty, Hong Kong<br />

Telephone +852 2235 9222 | Facsimile +852 2528 2766<br />

www.asianskygroup.com


CONT<strong>EN</strong>TS<br />

02<br />

03<br />

04<br />

10<br />

13<br />

17<br />

21<br />

24<br />

31<br />

34<br />

43<br />

PUBLISHER’S NOTE<br />

EXECUTIVE SUMMARY<br />

MARKET OVERVIEW<br />

AIRCRAFT SPOTLIGHT: GULFSTREAM G650 & G650ER<br />

MARKET TR<strong>EN</strong>DS<br />

PERSONALITY PROFILE: MICHAEL AMALFITANO, EMBRAER EXECUTIVE JETS<br />

AIRCRAFT SPOTLIGHT: EMBRAER LEGACY 450 & 500<br />

OPERATOR OVERVIEW<br />

COMPANY PROFILE: MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

OEM OVERVIEW<br />

COUNTRY PROFILE: GREATER CHINA<br />

FOR OTHER COUNTRY PROFILES VISIT:<br />

WWW.ASIANSKYMEDIA.COM


PUBLISHER’S NOTE<br />

Just in time for the premier business aviation event in Asia (ABACE), Asian Sky<br />

Group is releasing our annual year end <strong>2016</strong> Asia Pacific <strong>Business</strong> <strong>Jet</strong> <strong>Fleet</strong> <strong>Report</strong>.<br />

The fifth installment of this report produces all the expected information, with<br />

a fleet breakdown by country, size and OEM. Readers will see which countries<br />

saw the most growth and which countries suffered declines, as well as which<br />

manufacturers performed best and which size categories were the most popular.<br />

The structure of the report changes a bit though in that specific country reports will now only be available online, where they<br />

can be viewed or downloaded, and are not published in the printed edition of the report.<br />

However, with Greater China being the largest market in the region, we’ve dedicated a special section to it in this report,<br />

offering analysis of what happened throughout the year and forecasts of what’s to come. Although there was only minimal<br />

growth in the Greater China market this year, the Chinese Government has committed to investing in the industry, a<br />

promising outlook for the future.<br />

ASG also had the chance to profile the newly-appointed CEO and President of Embraer Executive <strong>Jet</strong>s, Michael Amalfitano<br />

— his first interview since joining the Brazilian aircraft manufacturer. Additionally, Marubeni Aerospace’s Assistant General<br />

Manager Chie Matsuoka discussed the company’s services and collaborations, aimed at developing Japan’s business<br />

aviation market.<br />

Coinciding with the release of our Asia Pacific <strong>Business</strong> <strong>Jet</strong> <strong>Fleet</strong> <strong>Report</strong> is the unveiling of ASG’s newest branch: Asian<br />

Sky Media. What started out as a single report — the 2012 China <strong>Business</strong> <strong>Jet</strong> <strong>Fleet</strong> <strong>Report</strong> — has grown into a collection<br />

of publications. The dedicated branch will exclusively focus on our growing portfolio, featuring all reports, magazines and<br />

media on a new website: www.asianskymedia.com. Now readers can easily access all our publications and find country<br />

data at the click of a button.<br />

Sincerely,<br />

Jeffrey C. Lowe<br />

Managing Director, Asian Sky Group<br />

2 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


EXECUTIVE SUMMARY<br />

• The Asia-Pacific business jet fleet stood at 1,155 aircraft<br />

by year end <strong>2016</strong>, a 3% increase over 2015. Overall, the<br />

region added 112 aircraft – 57 new and 55 preowned – but<br />

also saw 78 aircraft leave. While still positive, the 34 net<br />

additions in <strong>2016</strong> represent a further slowdown in growth<br />

across the region compared to the 58 net additions and<br />

5.5% growth seen in 2015.<br />

• Pre-owned activity levels (acquisitions and sales in and out<br />

of the Asia Pacific region) saw a dramatic increase in <strong>2016</strong><br />

– from 71 in 2015 to 127 in <strong>2016</strong> (+79%), representing a<br />

64% increase in business volume in terms of dollars from<br />

US$1.1 billion in 2015 to US$1.8 billion in <strong>2016</strong>. When also<br />

considering new aircraft acquisitions, the number of total<br />

transactions in <strong>2016</strong> was 184 versus 131 in 2015 (+40%)<br />

and in dollars US$5.1 billion in <strong>2016</strong> versus US$3.7 billion<br />

in 2015 (+38%).<br />

• Intra-Asia Pacific transaction levels decreased in <strong>2016</strong><br />

though, down to 22 from 38 in 2015. This decrease can<br />

be attributed to the strength & current drawing power of<br />

the US market. Of the 78 deductions from the Asia-Pacific<br />

market, 73% went to the US.<br />

• The Top Four markets of Mainland China, Australia,<br />

India and Hong Kong represent two-thirds of the region’s<br />

business jet fleet, combining for 769 aircraft.<br />

• Mainland China remains the largest single market in<br />

the Asia-Pacific region with 313 business jets, though<br />

its growth rate of 4% in <strong>2016</strong> continued the significant<br />

deceleration in growth witnessed in previous years, and<br />

which commenced in 2012/2013.<br />

• Mainland China also saw the largest number of aircraft<br />

added to its fleet in <strong>2016</strong>, a net increase of 13 business<br />

jets, unseating Hong Kong which added the most in 2015.<br />

• Greater China which includes Mainland China, Hong<br />

Kong, Macau and Taiwan, remains the leading market in<br />

the region with a fleet of 477 aircraft, representing 41% of<br />

the total for the Asia-Pacific region. With a fleet size that<br />

is 2.5 times larger than its nearest competitor Australia,<br />

Greater China’s significance in and to the region cannot be<br />

understated: as the Greater China market goes, so does<br />

the Asia-Pacific.<br />

• The top three OEMs in the region by market share were<br />

Bombardier, Gulfstream and Cessna, with 26%, 24%<br />

and 19% of the fleet, respectively. Whereas Bombardier<br />

and Gulfstream added aircraft to their fleet in <strong>2016</strong>,<br />

Cessna’s contracted.<br />

• Examining only net fleet additions in <strong>2016</strong>, Gulfstream<br />

significantly out-performed all other OEMs, adding<br />

20 aircraft. In terms of growth rate however, the top<br />

performers were Boeing with 23% (inc. six BBJ additions)<br />

and Embraer with 14% (inc. its 1st Legacy 500s and six<br />

Phenom 300s).<br />

• The most popular added model across the region was the<br />

G650/G650ER, which added an incredible 23 to its fleet:<br />

17 new and 6 pre-owned; and the fastest growing size<br />

category was the long-range segment.<br />

• The top 10 operators in the Asia Pacific region operate<br />

26% of the fleet, with nine of these operators located in<br />

Greater China. Since 2014, the number of new operators in<br />

the Asia-Pacific region has increased 5% but today the Top<br />

10 operate 3% less of the total fleet.<br />

• Australia and India have the most operators, but these<br />

markets are very fragmented, where 37% and 40% of the<br />

operators have just a single aircraft.<br />

• From an age perspective, the Asia-Pacific region remains<br />

one of the world’s youngest, with 62% of fleet being less<br />

than 10 years old. Hong Kong has the youngest, while PNG<br />

has the oldest fleet, on average.<br />

• The US (N) registration is still the most popular in the<br />

Asia Pacific region, and is currently being utilized in at<br />

least 15 countries.<br />

• For 2017, ASG predicts growth finally flattening out at<br />

around 1% as new deliveries continue to decline and pent<br />

up demand for G650s recedes. The good news is the<br />

market shouldn’t get any worse through 2017 and ASG<br />

sees a modest return to growth in 2018 when the market<br />

should also get some stimulation from new deliveries of<br />

8Xs, G500s and G7000s.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

3


MARKET OVERVIEW<br />

ASIA PACIFIC BUSINESS JET FLEET 1<br />

4746<br />

India<br />

140 139<br />

(-1%) (-1%)<br />

Myanmar<br />

11 77<br />

11 1113 4446 78 11 44<br />

1920<br />

Bangladesh<br />

1717<br />

11<br />

12<br />

2121<br />

2015 2<br />

1,121<br />

313<br />

300<br />

98100<br />

(+4%)<br />

(+4%)<br />

19 22<br />

(-5%) (+16%)<br />

53<br />

South Korea<br />

49 (+8%)<br />

(+14%)<br />

124 130<br />

(+14%)(+5%)<br />

China<br />

Japan<br />

21 23<br />

(+24%)(+10%)1618<br />

3 3<br />

13 11<br />

Taiwan<br />

(0%)(-15%)<br />

Macau<br />

Hong Kong<br />

1<br />

Singapore<br />

1<br />

Cambodia<br />

61 59<br />

(0%) (-3%)<br />

3<br />

3<br />

33 38<br />

(0%)(+15%)<br />

52 51<br />

(+13%) (-2%)<br />

Thailand<br />

3 4<br />

(0%) (+33%) Brunei<br />

Indonesia<br />

PNG<br />

3 4<br />

(0%) (+33%)<br />

49 50<br />

(+11%)(+2%)<br />

Philippines<br />

+34 Aircraft<br />

+3.0%<br />

1616<br />

48<br />

48<br />

(-4%) (0%)<br />

<strong>2016</strong><br />

1,155<br />

Malaysia<br />

20 Major Markets in<br />

Asia Pacific - <strong>2016</strong><br />

Of the major markets, only three<br />

countries saw higher growth<br />

than in 2015:<br />

#1 South Korea<br />

#2 Thailand<br />

#3 Australia<br />

Australia<br />

6162<br />

22<br />

45<br />

185 187<br />

(-6%) (+1%)<br />

New Caledonia<br />

2<br />

2<br />

The largest fleet additions were<br />

in mainland China<br />

New Zealand<br />

12 14<br />

(+50%)(+17%)<br />

Note (1): <strong>Fleet</strong> distribution is based on business jets in service and their active base of operation.<br />

Note (2): 2015 fleet figures for Asia Pacific are based on Asian Sky Group’s adjustments.<br />

4 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


MARKET OVERVIEW<br />

GREATER CHINA<br />

Greater China, including Mainland China, Hong Kong, Macau<br />

and Taiwan, is the largest market in the Asia-Pacific region, and<br />

experienced 4% growth in <strong>2016</strong>. With 477 business jets located<br />

in the area, Greater China has evolved into the regional leader<br />

for business aviation. Most of the large business jet operators<br />

in the Asia Pacific region (including a few that operate globally)<br />

have bases in Greater China. Within Asia Pacific, Airbus, Boeing,<br />

Bombardier, Dassault, Embraer and Gulfstream all have their<br />

largest concentration of aircraft within the Greater China region.<br />

AUSTRALIA<br />

With the second largest fleet in the region at 187 business<br />

jets, Australia saw 1% growth in <strong>2016</strong>. Almost half of<br />

the country’s fleet is made up of light-size business jets,<br />

catering to frequent domestic flights along the coasts for<br />

tourism and business.<br />

INDIA<br />

India operates the third largest fleet in the region with 139<br />

business jets, suffering a small 1% decline in <strong>2016</strong>. Eight<br />

additions were made to the Indian business jet fleet during<br />

the year. Three of those were new deliveries, while five were<br />

pre-owned. A total of nine aircraft exited the fleet in <strong>2016</strong>.<br />

INDONESIA<br />

After aircraft relocations resulted in a 2% decline in fleet size,<br />

the country’s Transportation Ministry released a requirement<br />

in <strong>2016</strong> allowing foreign-registered business jets to again<br />

travel domestically. The change was made in hopes of<br />

boosting the business aviation and tourism industries in the<br />

coming years.<br />

JAPAN<br />

Japan’s fleet grew 8% in <strong>2016</strong>, due to the addition of several<br />

G650s and G650ERs. With the 2019 Rugby World Cup<br />

and the Summer Olympic and Paralympic Games in 2020,<br />

Japan’s business aviation governing bodies are focused on<br />

improving the industry.<br />

MALAYSIA<br />

Malaysia’s business jet fleet remained unchanged in <strong>2016</strong>,<br />

due in part to the relocation of five N-registered aircraft<br />

moving to the US.<br />

NEW ZEALAND<br />

The geographical make up of New Zealand necessitated the<br />

development of business aviation in the country’s aviation<br />

industry. Although the helicopter industry is much larger, the<br />

business jet segment is growing, with the fleet at 14 business<br />

jets at the end of <strong>2016</strong>, up from 12 in 2015.<br />

PHILIPPINES<br />

The Philippines fleet totaled 50 business jets at yearend<br />

<strong>2016</strong>, an increase of 2%. With aspirations to become a top<br />

gaming and entertainment destination by 2020, the business<br />

aviation industry is being looked to as a growth driver, despite<br />

combatting the issue of insufficient infrastructure.<br />

SINGAPORE<br />

Singapore’s fleet saw a decline of 3% during the year.<br />

However, due to its central location and focused leadership,<br />

the island city-state has positioned itself as a key business<br />

aviation hub in Southeast Asia, with reputation as the major<br />

center for MRO facilities.<br />

SOUTH KOREA<br />

With a total of 22 business jets in the country, the South<br />

Korean business jet fleet saw a 16% increase in <strong>2016</strong>.<br />

Korean Air is the largest operator in the country, while<br />

several major conglomerates including SK Group, Hyundai<br />

and LG Electronics operate their own fleet. Although the<br />

country has endured a turbulent political climate over the<br />

last year, the business aviation industry is gearing up for the<br />

2018 Winter Olympics in Pyeongchang.<br />

For a more detailed profile of business aviation in<br />

South Korea, please see Asian Sky Media’s 2017 Q1<br />

edition of Asian Sky Quarterly.<br />

THAILAND<br />

Thailand’s fleet grew 15% in <strong>2016</strong>, with mid-size and longrange<br />

jets now making up half of the fleet. Thailand’s<br />

previous strict regulations on the ownership of aviation<br />

businesses were relaxed in <strong>2016</strong> and will likely give way to<br />

even more companies setting up in the country.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

5


MARKET TR<strong>EN</strong>DS<br />

Asia Pacific <strong>Fleet</strong> by Country<br />

1,155 in Total<br />

100+62+46+44+19+18+17+17+16<br />

313<br />

187<br />

139<br />

130<br />

59 53 51 50 48 38<br />

23<br />

China<br />

Australia<br />

India<br />

Hong Kong<br />

Singapore<br />

Japan<br />

Indonesia<br />

Philippines<br />

Malaysia<br />

Thailand<br />

Taiwan<br />

Airbus 15 2 2 1 3 1 2 2 2<br />

Boeing 10 2 5 2 1 2 2 3 2<br />

Bombardier 80 68 28 48 19 5 10 9 17 1 6<br />

Cessna 35 72 31 1 28 4 12 7 9<br />

OEM<br />

Dassault 37 8 22 7 1 2 2 4 8 4<br />

Embraer 26 6 16 3 6 15 1 3 1<br />

Gulfstream 102 12 10 66 22 14 5 12 8 12 9<br />

Hawker 8 9 28 4 2 12 8 1 7 3<br />

Others 10 1 1 4<br />

Total 313 187 139 130 59 53 51 50 48 38 23<br />

Corp. Airliner 29 2 5 7 5 2 4 1 4 5 4<br />

Long Range 96 33 16 81 18 13 7 5 9 10 9<br />

Large 117 26 40 31 16 7 18 10 15 3 2<br />

SIZE CATEGORY<br />

Mid-Size 31 18 32 11 11 4 8 13 12 10 5<br />

Light 26 82 36 6 20 13 17 7 8 3<br />

Very Light 14 26 10 3 7 1 4 1 2<br />

Total 313 187 139 130 59 53 51 50 48 38 23<br />

% of Total 27% 16% 12% 11% 5% 5% 4% 4% 4% 3% 2%<br />

Change from 2015 +13 +2 -1 +6 -2 +4 -1 +1 +5 +2<br />

6<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


MARKET TR<strong>EN</strong>DS<br />

Asia Pacific <strong>Fleet</strong> by Size Category<br />

Asia Pacific <strong>Fleet</strong> by OEM<br />

Airbus 33 (3%)<br />

Others 18 (2%)<br />

7+5+4+2+2+1+1+1+1<br />

Corp. Airliner 80 (7%)<br />

Mid-Size 161 (14%)<br />

Light 232 (20%)<br />

22 14 11<br />

27+25+20+14+7+7+G 26+24+19+9+7+7+3+3+2+G<br />

1,155<br />

Very Light 76 (7%) Long Range 311 (27%)<br />

Large 295 (25%)<br />

Boeing 37 (3%)<br />

Embraer 79 (7%)<br />

Hawker 86 (7%)<br />

Dassault 100 (9%)<br />

Cessna 218 (19%)<br />

4 4 3 3 2 1<br />

1,155<br />

Bombardier 301 (26%)<br />

Gulfstream 283 (24%)<br />

South Korea<br />

New Zealand<br />

Macau<br />

PNG<br />

Brunei<br />

Cambodia<br />

Bangladesh<br />

New Caledonia<br />

Myanmar<br />

Total<br />

% of Total<br />

Change from<br />

2015<br />

1 1 1 33 3% -1<br />

5 3 37 3% +7<br />

#3<br />

3 2 4 1 301 26% #1 +2<br />

7 7 3 2 218 19% #3 -2<br />

1 1 1 2 100 9% +7<br />

#3<br />

2 79 7% +10 #2<br />

4 2 2 3 283 24% #2 +20 #1<br />

2 1 1 86 7% -8<br />

2 18 2% -1<br />

22 14 11 4 4 3 3 2 1 1,155<br />

6 2 4 80 7% +6<br />

#3<br />

6 2 4 1 1 311 27% #1 +36 #1<br />

1 1 4 1 1 1 1 295 26% #2 -4<br />

1 2 1 1 1 161 14% -10<br />

5 4 3 2 232 20% #3 +10 #2<br />

3 5 76 7% -4<br />

22 14 11 4 4 3 3 2 1 1,155<br />

2% 1% 1%<br />

+3 +2 -2 +1 +1<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

7


MARKET OVERVIEW<br />

Asia Pacific Top 10 Operator’s <strong>Fleet</strong><br />

Deer <strong>Jet</strong><br />

BAA<br />

TAG Aviation<br />

<strong>Jet</strong> Aviation<br />

HongKong <strong>Jet</strong><br />

Sino <strong>Jet</strong><br />

Metrojet<br />

Execujet<br />

Lily <strong>Jet</strong><br />

China Eastern<br />

Total<br />

Airbus<br />

Country CN CN HK HK HK CN HK AU CN CN<br />

Model<br />

ACJ318 2 1 2 1 6<br />

ACJ319 1 2 2 5<br />

ACJ320 1 1<br />

Boeing<br />

B787-8 1 1<br />

BBJ 2 4 3 1 10<br />

Bombardier<br />

Challenger 300/350 1 1 1 3<br />

Challenger 604 1 1 2 4<br />

Challenger 605 1 3 2 1 3 1 1 1 13<br />

Challenger 800/850 1 3 5 9<br />

Global 5000 7 2 1 1 3 2 16<br />

Global 6000 4 9 4 2 3 1 23<br />

Global Express 1 1 1 3 #3<br />

Global Express XRS 4 1 1 3 1 10<br />

Learjet 60/XR 1 1<br />

Cessna<br />

Dassault<br />

Citation III/VI/VII 1 1<br />

Falcon 2000S 1 1<br />

Falcon 7X 4 9 3 1 2 1 20<br />

Falcon 900LX 1 2 1 1 5<br />

Embraer<br />

Legacy 600 1 1<br />

Legacy 650 4 1 5 1 5 16<br />

Lineage 1000 1 1<br />

Gulfstream<br />

G200 2 1 2 3 1 1 1 2 1 14<br />

G280 1 1<br />

G300/G350 1 1<br />

G450 12 8 6 6 3 5 3 2 45 #2<br />

G550 18 9 1 9 4 4 8 1 3 57 #1<br />

G650 1 4 4 4 1 14<br />

G650ER 2 3 2 5 12<br />

GIV/IV-SP 1 1 2<br />

GV 1 1<br />

Hawker<br />

Hawker 4000 1 1<br />

Hawker 800A/B/850XP/<br />

XPI/125-1A<br />

2 1 3<br />

Total 47 46 41 34 33 30 23 18 15 14 301<br />

AU: Australia | CN: China | HK: Hong Kong<br />

% of Total:<br />

26%<br />

8<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


MARKET OVERVIEW<br />

23+21+20+19+17+15+14+12+12+12+11+11+11+11+11+8+8<br />

Average Aircraft Age by Country<br />

100<br />

90<br />

80<br />

70<br />

60<br />

50<br />

40<br />

30<br />

20<br />

10<br />

0<br />

Asia Pacific <strong>Fleet</strong> by Age<br />

1965<br />

23<br />

1966<br />

1967<br />

1968<br />

21<br />

1969<br />

1970<br />

20<br />

1971<br />

1972<br />

11 11 11<br />

8 8<br />

7 7 7<br />

PNG<br />

Australia<br />

Brunei<br />

Philippines<br />

Bangladesh<br />

Malaysia<br />

1973<br />

19<br />

17<br />

15<br />

Myanmar<br />

1974<br />

14<br />

12<br />

Japan<br />

1975<br />

12<br />

12<br />

11<br />

Singapore<br />

1976<br />

11<br />

South Korea<br />

1977<br />

Year of Manufacture<br />

Cambodia<br />

India<br />

Indonesia<br />

New Zealand<br />

Thailand<br />

China<br />

Macau<br />

Hong Kong<br />

1978<br />

New Caledonia<br />

1979<br />

Taiwan<br />

1980<br />

1981<br />

1982<br />

1983<br />

1984<br />

1985<br />

1986<br />

1987<br />

1988<br />

1989<br />

1990<br />

1991<br />

1992<br />

1993<br />

1994<br />

1995<br />

1996<br />

1997<br />

1998<br />

1999<br />

2000<br />

2001<br />

2002<br />

2003<br />

2004<br />

2005<br />

2006<br />

2007<br />

2008<br />

2009<br />

2010<br />

62%<br />

Under 10 Years Old<br />

2011<br />

2012<br />

2013<br />

2014<br />

2015<br />

<strong>2016</strong><br />

The average age of an aircraft in Greater China is eight years, which is well below most countries<br />

within the Asia-Pacific region. In its entirety, the Asia Pacific fleet remains one of the world’s youngest,<br />

with PNG being the oldest in the region, with an average age of 23 years and Hong Kong and Taiwan<br />

being the youngest, with an average age of seven.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

9


AIRCRAFT SPOTLIGHT: GULFSTREAM G650 & G650ER<br />

AIRCRAFT SPOTLIGHT<br />

GULFSTREAM<br />

G650 & G650ER<br />

<strong>Business</strong> leaders and entrepreneurs in the Asia-Pacific region know that there is no finer<br />

choice than a Gulfstream aircraft to reach key international markets at the fastest speeds.<br />

With the recent type certificate validation from the Civil Aviation Administration of China,<br />

customers in the region are now able to register their Gulfstream G650s and Gulfstream flagship<br />

G650ERs in the country.<br />

10<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


AIRCRAFT SPOTLIGHT: GULFSTREAM G650 & G650ER<br />

The G650ER, able to travel 7,500 nautical miles/13,890<br />

kilometers at Mach 0.85, exemplifies speed and efficiency.<br />

Its sister ship, the G650, flies nearly as far 7,000 nm/12,964<br />

km at Mach 0.85. Both aircraft are routinely flown at Mach<br />

0.90, which provides operators a tremendous time savings.<br />

The aircraft’s two Rolls-Royce BR725 engines are capable of<br />

rocketing the G650 and G650ER from Tokyo to Hong Kong in<br />

4 hours, London to Hong Kong in 10 hours and 27 minutes, or<br />

New York to Beijing in only 13 hours and 20 minutes.<br />

Whatever your mission, there is a cabin configuration to<br />

match. The G650 and G650ER are fully customizable, tailored<br />

to each customer’s personal style in up to four completely<br />

distinct living areas. Seamlessly transition from meeting<br />

around the conference table to watching a film on one of the<br />

many HD LCD monitors. Adjusting the cabin environment<br />

from work to entertainment to rest is only a few taps away<br />

with the Gulfstream-designed Cabin Management System,<br />

which controls audio, video, lighting, temperature and<br />

window shades all from a smart phone or tablet.<br />

With more than 300 Gulfstream aircraft in the Asia-Pacific<br />

region, customers have convenient access to field service<br />

representatives in Hong Kong, Beijing and Shanghai, the<br />

Asia Customer Support Contact Center in Hong Kong, and<br />

rapid-response support from Gulfstream’s Hong Kong-based<br />

Field and Airborne Support Team technicians. No matter<br />

where you are in the world, Gulfstream is on call every step<br />

Gulfstream’s convenient and state-of-the-art Beijing Service<br />

Center at Beijing Capital International Airport was recently<br />

named China’s Best <strong>Business</strong> <strong>Jet</strong> MRO by the Beijing <strong>Business</strong><br />

Aviation Association. The skilled facility technicians are<br />

certified to assist with anything from airframe maintenance<br />

to avionics installation and repair.<br />

Gulfstream has made it a mission to support the Asia-Pacific<br />

region’s unique business aviation needs, as evidenced in the<br />

company’s astounding regional fleet growth of 84 percent<br />

since 2012 and the availability of more than $65 million in<br />

parts and materials.<br />

The G650ER and G650 combine best-in-class range and<br />

speed with unmatched cabin comfort. That’s creating and<br />

delivering the world’s finest aviation experience.<br />

www.gulfstream.com<br />

of the way with top-rated product support. Gulfstream is<br />

available 24 hours a day, 365 days a year, with technical<br />

support through a centralized call center and field service<br />

representatives around the world.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

11


AIRCRAFT SPOTLIGHT: GULFSTREAM G650 & G650ER<br />

SPECS<br />

G650<br />

G650ER<br />

Range 1<br />

(NBAA IFR reserves, Mach 0.85,<br />

8 pax and 4 crew)<br />

7,000 nm Range 1<br />

(NBAA IFR reserves, Mach 0.85,<br />

8 pax and 4 crew)<br />

7,500 nm<br />

High Speed Mach 0.90 High Speed Mach 0.90<br />

Long Range Mach 0.85 Long Range Mach 0.85<br />

Passengers up to 18 Passengers up to 18<br />

Cabin Dimensions<br />

Height 6 ft 5 in<br />

Cabin Dimensions<br />

Height 6 ft 5 in<br />

Width 8 ft 6 in<br />

Width 8 ft 6 in<br />

Length 46 ft 10 in<br />

Length 46 ft 10 in<br />

Cabin Volume<br />

2,138 cu ft<br />

Cabin Volume<br />

2,138 cu ft<br />

Baggage Capacity<br />

Internal 195 cu ft<br />

Baggage Capacity<br />

Internal 195 cu ft<br />

Feature:<br />

• 16 Large Gulfstream Panoramic Windows<br />

• Forward or Aft Galley<br />

• Forward and Aft Lavatories<br />

• 12 Select Floorplans or Tailored Floorplan<br />

Feature:<br />

• 16 Large Gulfstream Panoramic Windows<br />

• Forward or Aft Galley<br />

• Forward and Aft Lavatories<br />

• 12 Select Floorplans or Tailored Floorplan<br />

1<br />

NBAA IFR theoretical range. Actual range will be affected by ATC routing,<br />

operating speed, weather, outfitting options and other factors.<br />

12<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


MARKET TR<strong>EN</strong>DS<br />

The Asia-Pacific region’s business jet fleet saw an<br />

overall growth rate of 3.0% in <strong>2016</strong>, down from a<br />

5.5% growth rate in 2015.<br />

<strong>2016</strong> saw the arrival of 112 aircraft into the region, offset by<br />

78 deductions from aircraft being retired, sold or relocated,<br />

for a net increase of 34 business jets.<br />

Additions were split 51% /49% between new and pre-owned<br />

(55 new vs 57 pre-owned), a significant shift towards preowned<br />

aircraft compared with 2015’s ratio of 62% / 38% (60<br />

vs 37), and reflecting an almost 50% year-over-year increase<br />

in the number of pre-owned aircraft acquisitions.<br />

Aircraft deductions also increased to 78 in <strong>2016</strong> from just 41<br />

in 2015 – almost doubling the outflow of aircraft (+90%).<br />

While some “deductions” were removals from the market,<br />

either from retirement or a change of base or operator, the<br />

majority were sold, reflecting an increase in the number of<br />

aircraft sales transactions: 72 in <strong>2016</strong> compared with 32 in<br />

2015, a year-over-year increase of 125%.<br />

Aircraft Additions and Deductions<br />

2015<br />

100+G<br />

Pre-owned Additions<br />

(+39)<br />

38 *<br />

ASIA-PACIFIC<br />

REGION<br />

New Deliveries (+60)<br />

0+60 0+570+55<br />

0+390+0+79<br />

60<br />

2015 (Net Additions: 58)<br />

<strong>2016</strong> (Net Additions: 34)<br />

57<br />

New Deliveries<br />

39<br />

55<br />

Deductions 1<br />

Additions0+41+0<br />

Pre-owned<br />

-41<br />

-78<br />

<strong>2016</strong><br />

32 Transactions<br />

9 Removals<br />

100+G<br />

Pre-owned Additions<br />

(+55)<br />

Deductions (-41)<br />

22 *<br />

ASIA-PACIFIC<br />

REGION<br />

Deductions (-78)<br />

Note* : Transactions and relocations within the Asia-Pacific region<br />

New Deliveries (+57)<br />

72 Transactions<br />

6 Removals<br />

Aircraft Transactions<br />

<strong>Fleet</strong> Size (Units)<br />

564745 100<br />

71<br />

(54%)<br />

60<br />

(46%)<br />

Pre-owned Transactions 2<br />

New Deliveries<br />

+56<br />

-3<br />

127<br />

(69%)<br />

57<br />

(31%)<br />

2015 <strong>2016</strong><br />

Volume (USD Billions)<br />

3354<br />

100<br />

781.1<br />

(30%)<br />

2.6<br />

(70%)<br />

+0.7<br />

+0.7<br />

1.8<br />

(35%)<br />

3.3<br />

(65%)<br />

2015 <strong>2016</strong><br />

Note (1): <strong>Fleet</strong> deductions include aircraft sold out of the region and out of operation.<br />

Note (2): Pre-owned transactions exclude inter-APAC transactions.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

13


MARKET TR<strong>EN</strong>DS<br />

New Deliveries<br />

<strong>Fleet</strong> Size (Units)<br />

Estimated Market Value (USD Billions)<br />

Cessna 3 (5%)<br />

46+21+18+7+5+3+G<br />

Dassault 2 (3%)<br />

Dassault (3%)<br />

Cessna (1%)<br />

Boeing 4 (7%)<br />

Embraer 10 (18%)<br />

Bombardier 12 (21%)<br />

+57<br />

Gulfstream 26 (46%)<br />

Embraer (5%)<br />

Bombardier (21%)<br />

Boeing (25%)<br />

45+25+21+5+3+1+G<br />

3.3<br />

Gulfstream (45%)<br />

Pre-owned Additions<br />

<strong>Fleet</strong> Size (Units)<br />

Estimated Market Value (USD Billions)<br />

Airbus 1 (2%) Others 1 (2%) Airbus (3%)<br />

Cessna (2%)<br />

Embraer 4 (7%)<br />

Boeing 4 (7%)<br />

Cessna 5 (9%)<br />

29+25+13+9+7+7+6+2+2+G 52+22+9+9+3+3+2+G<br />

Hawker 3 (6%) Gulfstream 16 (29%) Embraer (3%)<br />

+55<br />

Dassault (9%)<br />

Boeing (9%)<br />

Dassault 7 (13%) Bombardier 14 (25%) Bombardier (22%)<br />

1.0<br />

Hawker<br />

Others<br />

Gulfstream (52%)<br />

Deductions<br />

<strong>Fleet</strong> Size (Units)<br />

Estimated Market Value (USD Billions)<br />

Dassault 2 (2%)<br />

Boeing 1 (1%)<br />

Embraer (3%)<br />

Boeing (3%)<br />

Airbus 2 (3%)<br />

Embraer 4 (5%) Bombardier 24 (31%) Dassault (3%)<br />

Cessna 10 (13%)<br />

Hawker 11 (14%)<br />

31+28+14+13+5+3+2+1+3+G 73+14+8+5<br />

-78<br />

Airbus (10%)<br />

Bombardier (33%)<br />

43+33+10+3+3+3+3+2+0+G<br />

Others 2 (3%) Hawker (3%)<br />

Cessna (2%)<br />

Gulfstream 22 (28%)<br />

0.8<br />

Others<br />

Gulfstream (43%)<br />

North America 57 (73%)<br />

Europe 11 (14%)<br />

Out of Operation 6 (8%)<br />

Other Regions 4 (5%)<br />

14<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


Considering both acquisitions and sales, there has been a<br />

dramatic overall increase in pre-owned activity, with the<br />

number of total pre-owned aircraft transactions increasing<br />

to 127 in <strong>2016</strong> from 71 in 2015 (+79%), and with a market<br />

value of US$1.8 billion, up from US$1.1 billion (+64%).<br />

Considering both new and pre-owned, the total number of<br />

of aircraft transactions in <strong>2016</strong> was 184 versus 131 in 2015<br />

(+40%), with the market value of all transactions rising from<br />

US$3.7 billion in 2015 to US$5.1 billion in <strong>2016</strong> (+38%).<br />

These 184 tansactions include aircraft going into and out of<br />

the Asia-Pacific region, as if it was a single market. However,<br />

there are of course transactions occurring between countries<br />

within the Asia-Pacific region too. In <strong>2016</strong>, there were 22 such<br />

“Inter-APAC” transactions versus 38 in 2015. This represents<br />

quite a significant reduction (16 aircraft, -42%) in business<br />

aviation activity within the Asia-Pacific region.<br />

This shift however is more than compensated for by the<br />

previously mentioned increase in transactions into and out<br />

of the region. An examination of where the fleet deductions<br />

from the Asia-Pacific region are going shows that 73% went<br />

to the U.S., which may be more an indications of the strength<br />

and drawing power of the US business aviation market at the<br />

moment, than a reflection of any weakness in APAC.<br />

The dominance of pre-owned additions and deductions to<br />

the market in <strong>2016</strong>, including aircraft sold out of the region<br />

and retired, can greatly be attributed to market activity in two<br />

areas, Greater China and Australia.<br />

The region’s largest market, Greater China, is also one of its<br />

youngest, and saw the most additions and deductions in<br />

<strong>2016</strong>; with 34 new and 19 pre-owned additions. At the same<br />

time, 34 aircraft were removed from Greater China, with 20<br />

sold out of Mainland China, mostly going to the U.S.<br />

Australia also saw significant activity in <strong>2016</strong>. There were<br />

only two new deliveries added to the fleet but 16 pre-owned<br />

additions. While 13 aircraft were either relocated or sold,<br />

again mainly to the US.<br />

By the numbers in <strong>2016</strong>, Gulfstream was the leading<br />

manufacturer with both the most new and pre-owned<br />

deliveries. Gulfstream’s fleet has increased steadily for<br />

over the past 5 years to where it is today. Greater China<br />

fleet makes up 63% of its Asia-Pacific fleet, which is<br />

supported by maintenance and service centers across the<br />

country and region.<br />

The most preferred new delivery model in <strong>2016</strong> was the<br />

long-range G650/ER. The G650/ER saw 58 worldwide new<br />

deliveries, with 17 (29%) sold to Asia-Pacific buyers directly<br />

0+8+0 0+0+170+10+0 0+0+90+0<br />

MARKET TR<strong>EN</strong>DS<br />

New Deliveries by Top Model<br />

2015<br />

<strong>2016</strong><br />

8<br />

10<br />

9<br />

5 7<br />

4<br />

0<br />

0+0+0 0+0+180+12+0 0+0+60+9+0 0+0+120+9+0<br />

Pre-Owned Additions by Top Model<br />

6<br />

4<br />

3<br />

4<br />

3<br />

4<br />

3<br />

2<br />

2<br />

0<br />

1<br />

1<br />

0+6+0 0+0+180+3+0 0+0+180+9+0 0+0+150+3+<br />

Deductions by Top Model<br />

6 6<br />

5<br />

4 4 4<br />

2<br />

3<br />

2<br />

1<br />

1 1<br />

G650<br />

Hawker 800A/B/<br />

850XP/XPI/125-1A<br />

G650/ER<br />

Global 6000<br />

G450<br />

Global 6000<br />

G550<br />

GIV/IV-SP<br />

BBJ<br />

Challenger 605<br />

Phenom 300<br />

Learjet 35/A/36/A<br />

Global Express<br />

G550<br />

G200<br />

G550<br />

by the OEM. Six more G650/ERs were pre-owned additions,<br />

bringing the Asia-Pacific region total for <strong>2016</strong> to an incredible<br />

23 aircraft, 40% of the G650/ER’s worldwide deliveries.<br />

Bombardier’s large cabin, long-range Global 6000 also faired<br />

well in <strong>2016</strong>, with total worldwide deliveries of 42 aircraft;<br />

nine (21%) of which were delivered to the Asia-Pacific region.<br />

The majority of the pre-owned additions for both the G650/<br />

ER and Global 6000 in the Asia-Pacific region consisted of<br />

resold, newly delivered aircraft, sometimes immediately,<br />

thus exhibiting a new trend and further demonstrating the<br />

vitalness of the Asia-Pacific market to OEMs.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

15


MARKET TR<strong>EN</strong>DS<br />

Net <strong>Fleet</strong> Growth by OEM<br />

268<br />

299<br />

301<br />

89+0+0 0+100+0 0+0+100 83+0+0 0+87+0 0+0+94 71+0+0 0+74+0 0+0+73 29+0+0 0+31+0 0+0+33 10+0+0 33+0+0 0+31+0 0+0+299+0+0<br />

22+0+0 0+23+0 0+0+26 6+0+0+10+0 0+0+120+11<br />

249<br />

263<br />

283<br />

215<br />

220<br />

218<br />

87<br />

93<br />

100<br />

101<br />

94<br />

86<br />

67<br />

69<br />

79<br />

29<br />

30<br />

37<br />

28<br />

34<br />

33<br />

2014 (1,062)<br />

2015 (1,121)<br />

<strong>2016</strong> (1,155)<br />

Bombardier<br />

Gulfstream<br />

Cessna<br />

18<br />

19<br />

18<br />

Dassault<br />

Hawker<br />

Embraer<br />

Boeing<br />

Airbus<br />

Others<br />

Net <strong>Fleet</strong> Growth by Size Category<br />

Corp. Airliner<br />

Long Range<br />

Large<br />

23+0+0 0+25+0 0+0+27 82+0+0 0+91+0 0+0+100 92+0+0 0+100+0 0+0+98 59+0+0 0+57+0 0+0+54 70+0+0 0+74+0 0+0+77 27+0+0 0+27+0 0+0+25<br />

Mid-Size<br />

Light<br />

Very Light<br />

68<br />

74<br />

80<br />

80<br />

80<br />

76<br />

178<br />

171<br />

161<br />

247<br />

212<br />

222<br />

275<br />

311<br />

277<br />

232<br />

299<br />

295<br />

Asia Pacific <strong>Business</strong> <strong>Jet</strong> <strong>Fleet</strong> Growth<br />

Historical & Forecast<br />

1,121<br />

+3%<br />

1,155<br />

+1%<br />

1,167<br />

+6%<br />

1,062<br />

2014 2015 <strong>2016</strong> 2017<br />

Embraer’s Phenom 300 and Gulfstream’s G550 also<br />

performed well in <strong>2016</strong>. Gulfstream remained the leading<br />

manufacturer in the pre-owned segment, with the G550 one<br />

of the most acquired aircraft and the G450 one of the most<br />

resold models. Gulfstream also had the highest market value<br />

in dollars with its new deliveries and pre-owned additions,<br />

followed by Boeing which added both a 787 BBJ and 747-8<br />

BBJ in the region to go along with six BBJs.<br />

achieved by Boeing, Embraer, Gulfstream and Dassault.<br />

Mirroring somewhat the performance of each OEM, the longrange<br />

size category continued to be the best performing<br />

segment in <strong>2016</strong> along with surprising growth in corporate<br />

airliners and light jets. The large, mid-size and very light<br />

categories all contracted in <strong>2016</strong>.<br />

Examining the performance of the OEMs further, growth for<br />

Bombardier, Cessna and Airbus was virtually flat (up or down<br />

one or two aircraft), with the only significant gains being<br />

16<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


PERSONALITY PROFILE: EMBRAER EXECUTIVE JETS<br />

A PROMISING FUTURE<br />

INTERVIEW WITH MICHAEL AMALFITANO<br />

PRESID<strong>EN</strong>T & CEO, EMBRAER EXECUTIVE JETS<br />

Interview by Litalia Yoakum<br />

Joining the Brazilian aircraft manufacturer Embraer Executive <strong>Jet</strong>s in March 2017, newly<br />

appointed President Michael Amalfitano is preparing to take the company to new heights.<br />

Amalfitano, who succeeds Marco Tulio Pellegrini, will take the reins of the Melbourne,<br />

Florida-based Executive <strong>Jet</strong>s unit bringing along over 35 years of business aircraft leasing and<br />

financial services experience. In the coming years, he is confident Embraer Executive <strong>Jet</strong>s, which<br />

was recently noted for delivering the highest volume of any business jet model for the fourth year<br />

in <strong>2016</strong> for its Phenom 300 light jet, will continue developing with the growing market and surpass<br />

expectations.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

17


PERSONALITY PROFILE: EMBRAER EXECUTIVE JETS<br />

PLEASE TELL US ABOUT YOUR EXPERI<strong>EN</strong>CE<br />

PRIOR TO TAKING ON YOUR NEW ROLE AT<br />

EMBRAER EXECUTIVE JETS.<br />

My experience in the business aviation industry spans<br />

more than 35 years, most of which was spent in senior<br />

management positions in global leasing and financial service<br />

companies. In my previous role, I was responsible for building<br />

and leading a newly formed <strong>Business</strong> Aviation Finance<br />

platform that serves a broad range of middle market to large<br />

businesses, in addition to high net worth individuals within<br />

the underserved corporate aircraft finance market.<br />

The Company’s<br />

growth, since it<br />

was established in<br />

2005, demonstrates<br />

an unprecedented<br />

success in this<br />

market.<br />

HOW DO YOU THINK YOUR WORK IN<br />

AIRCRAFT FINANCE WILL TRANSLATE INTO<br />

SUCCESS AT EMBRAER?<br />

Embraer has the industry’s broadest product portfolio<br />

of business jets—uniquely positioned in terms of value<br />

proposition—and top-ranked customer support solutions.<br />

Embraer is a solid company with multiple achievements in<br />

recent years, and a very promising future. Our passionate<br />

team of employees strives for excellence in everything they<br />

do. We´ve already established the foundational elements of<br />

the business, and I’m bringing my industry experience to<br />

leverage our executive aviation business and maximize the<br />

value we generate to all our stakeholders.<br />

IN YOUR NEW ROLE AS CEO OF EMBRAER<br />

EXECUTIVE JETS, WHAT DO YOU HOPE TO<br />

ACHIEVE?<br />

<strong>Business</strong> aviation is a very competitive market, where<br />

retaining a leadership position strictly by organic growth<br />

can prove to be quite a challenge—especially through<br />

an economic valley. The Company´s growth, since it was<br />

established in 2005, demonstrates an unprecedented<br />

success in this market in such a short period. We are<br />

privileged to have a team of dedicated employees, who<br />

leverage Embraer`s highly valued aircraft portfolio to the<br />

Paulo Cesar | Michael Amalfitano | Marco Tulio<br />

18 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


PERSONALITY PROFILE: EMBRAER EXECUTIVE JETS<br />

benefit of our customers and shareholders worldwide.<br />

Leveraging and extracting the most value from all these<br />

assets is one of my goals in this new position.<br />

The Phenom 300<br />

is the industry’s<br />

best selling<br />

business aircraft<br />

for the fourth<br />

consecutive year.<br />

costs. Another key element that we focus on to differentiate<br />

ourselves is the level of support we provide our customers<br />

after they’ve taken delivery of their aircraft and we pride<br />

ourselves in having the industry’s number one ranked<br />

customer support organization.<br />

WHICH MODELS ARE SEEING THE MOST<br />

SUCCESS?<br />

We see our entire portfolio well positioned in the segments<br />

we compete. The Phenom 300 is the industry’s best selling<br />

business aircraft for the fourth consecutive year. It was<br />

designed to be the best-in-class light business jet, and it<br />

rapidly gained market share upon entry into service in late<br />

2009. The Legacy 450 and Legacy 500 have redefined the<br />

essence of the mid-size and mid-light business jet sectors,<br />

establishing a new benchmark. Customers are very pleased<br />

with the digital flight control fly-by-wire technology—the<br />

fuel efficiency it renders—as well as the cabin comfort and<br />

extremely smooth flight.<br />

This year we are also bringing to the market the newest<br />

versions of the Phenom 100 and the Legacy 650, with new<br />

technologies and features that further enhance the value<br />

these aircraft deliver to our customers. Also, we have seen<br />

our flagship Lineage 1000E gain traction—especially in the<br />

U.S.— giving ultra-long range aircraft users a compelling<br />

solution to own a much larger cabin, without compromising<br />

range for transoceanic missions.<br />

HOW DO EMBRAER’S BUSINESS JETS<br />

COMPETE WITH OTHERS ON THE MARKET?<br />

We have been able to differentiate Embraer Executive <strong>Jet</strong>s<br />

from its competitors by introducing truly innovative products<br />

in each segment we compete. One of Embraer’s strengths<br />

is its ability to accurately identify market opportunities and<br />

develop superior products to fulfill the requirements of the<br />

most demanding customers. Combining new technologies<br />

with the right market opportunities is crucial to achieving<br />

success in the business jet arena. We design our aircraft<br />

for the specific requirements of each segment, aiming for<br />

the perfect balance of performance, reliability, comfort and<br />

WHAT IS THE COMPANY DOING TO KEEP IN<br />

TOUCH WITH THE FAST-GROWING ASIAN<br />

MARKET?<br />

Embraer has increased significantly its presence in the<br />

Asia-Pacific region as one of the top-priority markets<br />

for each of the Company’s business units: Commercial<br />

Aviation, Defense & Security and Executive Aviation. On<br />

the business aviation front, we have been expanding our<br />

customer support network in the region to keep up with<br />

our fleet growth, and strengthened our prospecting with a<br />

new authorized sales representative in Japan. The arrival<br />

of hundreds of Embraer business jets to the market over<br />

the last few years—combined with an excellent customer<br />

experience—is solidifying our brand locally.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

19


PERSONALITY PROFILE: EMBRAER EXECUTIVE JETS<br />

WHAT ARE SOME OF THE SUCCESSES<br />

EMBRAER HAS <strong>EN</strong>JOYED OVER THE PAST<br />

FEW YEARS?<br />

Embraer Executive <strong>Jet</strong>s celebrated many significant<br />

milestones in recent years. The certification of the Legacy<br />

500 and Legacy 450 completed our broad portfolio of<br />

products and the delivery of 1,000 Embraer business jets<br />

in a little over a decade of operations demonstrates our<br />

solid commitment to the market and to customers. In 2005,<br />

Embraer´s executive aviation division represented 7% of the<br />

Company´s total revenue. In <strong>2016</strong>, we account for close<br />

to 30% of Embraer´s consolidated revenues. In the same<br />

period, our market share increased from 2.7% to 18%, in<br />

terms of global business jet deliveries.<br />

WHAT ARE YOUR FUTURE EXPECTATIONS<br />

FOR EMBRAER EXECUTIVE JETS?<br />

Embraer Executive <strong>Jet</strong>s is prepared for a promising future.<br />

We will remain a major player by leveraging and extracting<br />

the most value from all our assets. We need to continuously<br />

review the value chain composition, looking for ways to<br />

sustain our competitiveness and enhance our customers’<br />

experience. Embraer’s unique portfolio of products and<br />

services have placed us in a leadership position. Now, we<br />

are ready to respond to future business aviation model<br />

changes and unleash new growth opportunities. I am<br />

committed to continuing our tradition of challenging the<br />

status quo by further enhancing the value we provide to our<br />

customers around the world.<br />

Being top-ranked in overall customer satisfaction also<br />

demonstrates the recognition and confidence of global<br />

operators in our products and services, which were<br />

designed to surpass their expectations. We are also very<br />

proud to manufacture the world’s most delivered business<br />

jet for the last four consecutive years – the Phenom 300.<br />

www.embraerexecutivejets.com<br />

20 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


AIRCRAFT SPOTLIGHT<br />

EMBRAER<br />

LEGACY 450 & 500<br />

Following the success of its commercial aviation division, Brazilian manufacturer Embraer began<br />

exploring the market of executive aviation in 2000, when it also introduced the Legacy, based on the<br />

same platform as the ERJ 135 regional jet. In 2005, Embraer Executive <strong>Jet</strong> was officially created. The<br />

establishment coincided with the launch of the Phenom 100 and Phenom 300. Embraer has since<br />

developed a full line of business jets ranging from the entry-level Phenom 100 to the ultra-large cabin<br />

Lineage 1000 jet.


AIRCRAFT SPOTLIGHT: EMBRAER LEGACY 450 & 500<br />

Entering service in 2014 and 2015,<br />

respectively, the Legacy 450 and 500,<br />

two of Embraer’s latest models, are<br />

mid-size business jets transcending<br />

all others in its class. The Legacy<br />

450 and Legacy 500 are designed<br />

to establish a new standard in their<br />

respective categories (mid-light jet and<br />

mid-size jet) by offering extraordinary<br />

performance, fly-by-wire technology<br />

and low operating costs.<br />

As the fastest mid-light business jet, the Legacy 450 travels<br />

at a high cruising speed of Mach 0.82, with a maximum<br />

range of 2,900nm. Powered by Honeywell’s HTF7500E<br />

turbofan engine and 36-150 auxiliary power unit, the 450<br />

can climb directly to 43,000-feet, departing from sea level<br />

with a maximum takeoff, in only 21 minutes.<br />

At six-feet tall and 24 feet long, the stand-up cabin is the<br />

tallest and widest in its class. Included in the cabin is<br />

robust entertainment and connectivity, a low 6,000 feet<br />

cabin altitude, and the only wet-galley option in the midlight<br />

category. The influence of Embraer’s partnership<br />

with BMW Group DesignworksUSA is seen throughout<br />

the cabin. Seating for a total of nine passengers includes<br />

two center club seats that fully berth to create beds. A<br />

combined internal and external stowage capacity of 150<br />

cubic feet is by far the largest in its class.<br />

The slightly larger mid-size jet Legacy 500 includes all of the<br />

features of the 450, along with some enhancements. The<br />

12-passenger jet is the fastest in its class, delivering a highcruise<br />

speed of Mach 0.82, excellent runway performance,<br />

and US coast-to-coast range for eight – or a long-range<br />

cruise speed of 3,125nm. Powered by the same engines<br />

as the Legacy 450, the HTF7500E turbofan engine utilizes<br />

Honeywell’s single annular combustor for emissions reduction<br />

(SABER) technology reduces CO2 emissions and lowers<br />

aircraft operating costs by minimizing fuel consumption.<br />

At six feet tall and six feet 10 inches wide, the cabin of<br />

the Legacy 500 is the largest in the mid-size class. With<br />

a fully-equipped galley, excellent connectivity and in-flight<br />

entertainment, relaxation in the 500 is easy. Honeywell’s<br />

Cabin Management System (CMS) offers individual<br />

touchscreen and wireless iPad/iPhone controls, fullyintegrated<br />

audio and video distribution, Blu-ray players<br />

and media inputs and two full HD displays. Optimally<br />

placed windows and ergonomic seating provide comfort<br />

throughout the flight for up to 12 passengers. Optional<br />

seating allows for an aft three-place divan on both sides,<br />

belted toilet and forward side facing seat.<br />

The Legacy 450 is the first jet in its class to replace<br />

conventional controls with full fly-by-wire technology,<br />

enabling a smoother, more natural feeling flight by<br />

translating the manual input from the pilot electronically<br />

rather than mechanically. The system increases the number<br />

of control surfaces that can be activated simultaneously,<br />

allowing for maximum performance and control, while<br />

reducing the pilot workload and creating a smoother flight<br />

for passengers.<br />

Just as the 450, the 500 offers fly-by-wire controls for a<br />

smooth ride. To ensure comfort in the cockpit, just as in<br />

the cabin, state-of-the-art avionics are utilized including a<br />

Synthetic Vision System (SVS), takeoff/landing data (TOLD)<br />

and Embraer’s Enhanced Vision System.<br />

Embraer’s Legacy 450 and 500 continue to be a success<br />

in their respective size categories, truly embodying the<br />

philosophy of Embraer Executive <strong>Jet</strong>s – Rethink Convention.<br />

www.embraerexecutivejets.com<br />

22<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


AIRCRAFT SPOTLIGHT: EMBRAER LEGACY 450 & 500<br />

SPECS<br />

LEGACY450<br />

LEGACY500<br />

Range<br />

(NBAA reserves, 200nm alternate, LRC, 4 pax)<br />

2,300 nm Range<br />

(NBAA reserves, 200nm alternate, LRC, 4 pax)<br />

3,000 nm<br />

High Speed Mach 0.82 High Speed Mach 0.82<br />

MMO Mach 0.83 MMO Mach 0.83<br />

Balanced Field Length<br />

(MTOW, ISA, SL)<br />

4,000 ft Balanced Field Length<br />

(MTOW, ISA, SL)<br />

4,600 ft<br />

Landing Distance<br />

(4 pax, NBAA IFR reserves)<br />

2,300 ft Landing Distance<br />

(4 pax, NBAA IFR reserves)<br />

2,400 ft<br />

Maximum Operating Altitude 45,000 ft Maximum Operating Altitude 45,000 ft<br />

Avionics Rockwell Collins Pro Line Fusion TM Avionics Rockwell Collins Pro Line Fusion TM<br />

Seating Configuration<br />

(Crew + Standard Pax/Max Pax)<br />

2 + 7/9 Seating Configuration<br />

(Crew + Standard Pax/Max Pax)<br />

2 + 8/12<br />

Cabin Dimensions<br />

Height 6 ft<br />

Cabin Dimensions<br />

Height 6 ft<br />

Width 6 ft 10 in<br />

Width 6 ft 10 in<br />

Length 22.4 ft<br />

Length 26.8 ft<br />

Baggage Capacity<br />

External 110 cu ft<br />

Baggage Capacity<br />

External 110 cu ft<br />

Internal 40 cu ft<br />

Internal 40 cu ft<br />

External Dimensions<br />

Height 22 ft 1 in<br />

External Dimensions<br />

Height 22 ft 1 in<br />

Wing Span 66 ft 5 in<br />

Wing Span 66 ft 5 in<br />

Length 62 ft 10 in<br />

Length 67 ft 4 in<br />

Feature:<br />

Feature:<br />

• Full fly- by-wire controls<br />

• Full fly- by-wire controls<br />

• Auto-throttle<br />

• Auto-throttle<br />

• Synthetic vision system<br />

• Synthetic vision system<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

23


OPERATOR OVERVIEW<br />

The top 10 operators in the region operate 26% of<br />

its total business jet fleet. HongKong <strong>Jet</strong>, Sino <strong>Jet</strong><br />

and Lily <strong>Jet</strong> are the only operators in the top 10 that<br />

saw growth this year, with the rest suffering declines. The<br />

highest growth rate was achieved by Bellawings (+267%)<br />

and the largest decline by Metrojet (-23%).<br />

Top 10 Operator’s <strong>Fleet</strong><br />

Asia Pacific<br />

% of Top 10 Operator's <strong>Fleet</strong> out of Total <strong>Fleet</strong><br />

These results encapsulate the story of <strong>2016</strong>, as new upstarts<br />

continued to take market share from the legacy management<br />

companies. Established in 2014, Hong Kong-based<br />

Bellawings <strong>Jet</strong> Limited has acquired a fleet of 11 aircraft,<br />

with a few more still to come in 2017. China-based charter<br />

operator Sparkle Roll now has a fleet of seven aircraft, while<br />

new operators Hanergy and Vision Aviation operate a fleet of<br />

four and three aircraft, respectively.<br />

These new operators are finding success as clients in the<br />

region look for more options and different types of service,<br />

turning away from more established operators and towards<br />

smaller players who are able to cater to specific needs and<br />

with more personalized services. While the top operators<br />

remain firmly established, these up and coming operators<br />

are playing an active role in shaping the market.<br />

1) The top operator in the Asia-Pacific region continues to<br />

be Mainland China based Deer <strong>Jet</strong>, founded in 1995. The<br />

charter operator and aircraft management company under<br />

China’s HNA Group has reigned for years in the top spot.<br />

However, recent years have seen a dramatic decrease in fleet<br />

numbers. Between 2014-2015 its fleet decreased 13%, with<br />

nine aircraft leaving. The 2015-<strong>2016</strong> period saw a similar<br />

result, with the fleet size decreasing 20%. The declines of the<br />

past few years is somewhat attributable to the retirement<br />

of older aircraft on the Deer <strong>Jet</strong> fleet, including Hawker and<br />

Gulfstream models. Still, Deer <strong>Jet</strong> is the top operator of<br />

Gulfstream aircraft in the region, with 33 in total, as well as<br />

the top G450 and G550 operator, with 12 and 18, respectively.<br />

29%<br />

43+0+0 0+45+0 0+0+46<br />

No. of Operators<br />

434 445 457<br />

2014<br />

2014<br />

2015<br />

2015<br />

<strong>2016</strong><br />

Small to Medium Operator’s <strong>Fleet</strong> 1<br />

Greater China<br />

% of Small to Medium Operator's <strong>Fleet</strong> out of Total <strong>Fleet</strong><br />

26%<br />

28%<br />

28%<br />

Note (1): Operator with fleet less than or equal to 6<br />

26%<br />

31%<br />

<strong>2016</strong><br />

2) <strong>Business</strong> Aviation Asia (BAA) faced a similar trajectory to<br />

that of Deer <strong>Jet</strong> in <strong>2016</strong>. The aircraft management company,<br />

acquired by China Minsheng Investment Group (CMIG),<br />

experienced a 15% decline in its fleet size. Management<br />

changes and several new operators in the Greater China<br />

market were likely contributors. Despite this, BAA remains<br />

the top Airbus operator in the Asia-Pacific region, along<br />

with HongKong <strong>Jet</strong>, both operating four Airbus aircraft. The<br />

company is also the top operator in the region for Dassault<br />

with 11 aircraft, nine of which are 7Xs. BAA also has the most<br />

Challenger 605s, with three, along with Sino <strong>Jet</strong>.<br />

3) Worldwide aviation management company TAG Aviation,<br />

headquartered in Switzerland, ended <strong>2016</strong> with a fleet of 41<br />

aircraft based in the Asia-Pacific region, which is a quarter of<br />

the company’s worldwide fleet. Between 2014-2015, TAG’s<br />

fleet decreased 8%, and this year saw a further decrease of 9%.<br />

However, TAG still manages to be the top Bombardier operator<br />

24 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


OPERATOR OVERVIEW<br />

in the region, with 26, as well as operating the most Global<br />

5000 and 6000 aircraft, with seven and nine respectively.<br />

4) Zurich-based aviation management company <strong>Jet</strong> Aviation,<br />

has 34 of its worldwide fleet of 300 aircraft based in the Asia-<br />

Pacific region. Like several other operators, <strong>Jet</strong> Aviation saw<br />

a decline in fleet numbers during 2015-<strong>2016</strong>. Its fleet size<br />

decreased 13%, after increasing 26% between 2014-2015.<br />

5) HongKong <strong>Jet</strong>, held under the HNA Group’s umbrella<br />

and which recently acquired Asia <strong>Jet</strong>, is one of the few<br />

companies that saw an increase in <strong>2016</strong>. From 2014-2015,<br />

the company’s fleet increased 40% and from 2015-<strong>2016</strong> it<br />

increased another 18%. Along with being the top operator of<br />

Boeing and BBJ models in the region, the company’s fleet<br />

has a growing number of ACJ318s, G200s, G550s, G650s<br />

and G650ERs.<br />

6) Sino <strong>Jet</strong>, which was acquired by Tsing Hua Capital in 2014,<br />

is amongst the few growing operators on the top operator<br />

list. With a fleet of 30 business jets, Sino <strong>Jet</strong> saw an increase<br />

of 80% from 2014-2015 and an increase of 67% from 2015-<br />

<strong>2016</strong>. The Hong Kong-based aircraft management company<br />

is the top Legacy 650 operator in the region, with five in their<br />

fleet, along with China Eastern, as well as the top Challenger<br />

605 operator, with three in total, along with BAA.<br />

Net <strong>Fleet</strong> Growth by Top Operator<br />

68+0+0<br />

45+0+0<br />

49+0+0 31+0+0 20+0+0 10+0+0<br />

35+0+0 15+0+0<br />

11+0+0<br />

0+59+0 0+0+470+54+0 0+0+460+45+0 0+0+410+39+0 0+0+340+28+0 0+0+330+18+0 0+0+30 16+0+0 0+30+0 0+0+23 0<br />

68<br />

59<br />

47<br />

45<br />

54<br />

46<br />

49<br />

45<br />

41<br />

31<br />

39<br />

34<br />

20<br />

28<br />

33<br />

10<br />

18<br />

30<br />

35<br />

30<br />

23<br />

15<br />

18<br />

18<br />

11<br />

13<br />

15<br />

2014 (300)<br />

2015 (318)<br />

<strong>2016</strong> (301)<br />

16<br />

14<br />

14<br />

Deer <strong>Jet</strong><br />

BAA<br />

TAG Aviation<br />

<strong>Jet</strong> Aviation<br />

HongKong <strong>Jet</strong><br />

Sino <strong>Jet</strong><br />

Metrojet<br />

Execujet<br />

Lily <strong>Jet</strong><br />

China Eastern<br />

Net <strong>Fleet</strong> Growth by Fastest Growing Operator<br />

20+0+0 0+0+0 40+0+0<br />

0+0+0+0+0 14+0+0 8+0+0<br />

6+0+0 16+0+0<br />

0+0+0<br />

0+36+0 0+0+600+6+0 0+0+220+56+0 0+0+660+4+0 0+0+140+0+0 0+0+80+14+0 0+0+220+4+0 0+0+10 6+0+0<br />

0+10+0<br />

0+0+16<br />

10<br />

18<br />

30<br />

0<br />

3<br />

11<br />

20<br />

28<br />

33<br />

0<br />

2<br />

7<br />

0<br />

0<br />

4<br />

7<br />

7<br />

11<br />

4<br />

2<br />

5<br />

3<br />

5<br />

8<br />

8<br />

8<br />

11<br />

0<br />

0<br />

3<br />

2014 (55)<br />

2015 (75)<br />

<strong>2016</strong> (128)<br />

3<br />

2<br />

5<br />

Sino <strong>Jet</strong><br />

Bellawings<br />

HongKong <strong>Jet</strong><br />

Sparkle Roll<br />

ICTSI<br />

Nanshan <strong>Jet</strong><br />

Aegle Aviation<br />

Asian Corporate Aviation<br />

Korean Air<br />

Vision Aviation<br />

Win Air <strong>Jet</strong><br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

25


6+0+0 0+6+00+3+0 0+6+0 0+3+0 0+3+0 0+3+00+12+0 0+12+0 0+3+0+42+0 0+15+0+60+0 0+3+0 OPERATOR<br />

0+0+33+0+0 OVERVIEW<br />

0+0+36+0+0 0+0+63+0+0 0+0+33+0+0 0+0+33+0+0 12+0+0 0+0+12 21+0+0 +3 0+0+6 9+0+0 0+0+0+0+6 39+0+0 0+0+36 18+0+0 60+0+0 0+0+54 6+0+0 12+0 0+0+3<br />

3+<br />

<strong>Fleet</strong> by Operator and Model<br />

Deer <strong>Jet</strong><br />

2014 (68)<br />

2015 (59)<br />

<strong>2016</strong> (47)<br />

0+6+0 0+0+63+0+0 0+3+0 12+0+0 0+9+0 0+0+99+0+0 0+9+0 0+0+3 15+0+0 0+12+0 0+0+123+0+0 0+3+0 0+0+33+0+0 0+3+0 0+0+0 24+0+0 0+33+0 0+0+27 0+0+0 0+6+0 3+0+0 0+3+0 0+0+0+24 21+0+0 0+24+0 6+0+0 0+6+0 0+0+6 0+0+27 27+0+0 0+24+0 3+0 0+0<br />

0+0+3 0+0+00+0+12<br />

0+15+0<br />

BAA<br />

2014 (45)<br />

2015 (54)<br />

<strong>2016</strong> (46)<br />

2<br />

2<br />

1<br />

2<br />

0+3+0 0+0+03+0+0 0+3+0 0+0+06+0+0 0+3+0 0+0+3 12+0+0 0+12+0 0+0+6 12+0+0 0+9+0 0+0+9 27+0+0 0+27+0 0+0+21 12+0+0 0+21+0 0+0+273+0+0 0+3+0 0+0+0 12+0+0 0+12+0 0+0+123+0+0 0+3+0 0+0+0 18+0 0+9 0+0<br />

1<br />

1<br />

1<br />

0 ACJ319<br />

2<br />

ACJ318<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

ACJ319<br />

ACJ320<br />

0<br />

2<br />

4<br />

TAG Aviation<br />

2<br />

1<br />

1<br />

2<br />

2<br />

2<br />

3<br />

3<br />

Challenger 605<br />

BBJ<br />

4<br />

4<br />

3<br />

3<br />

2<br />

Challenger 800/850<br />

1<br />

1<br />

1<br />

1<br />

4<br />

Challenger 605<br />

5<br />

3<br />

3<br />

1<br />

1<br />

1<br />

4<br />

4<br />

Global 6000<br />

9<br />

9<br />

Falcon 900LX<br />

7<br />

1<br />

1<br />

1<br />

4<br />

Learjet 60/XR<br />

7<br />

1<br />

1<br />

1<br />

9<br />

Falcon 2000S<br />

1<br />

1<br />

Citation 525/CJ1/+/M2<br />

1<br />

1<br />

0<br />

0<br />

4<br />

4<br />

4<br />

Falcon 7X<br />

8<br />

11<br />

Falcon 7X<br />

4<br />

4<br />

4<br />

9<br />

7<br />

1<br />

1<br />

0<br />

4<br />

G200<br />

1<br />

1<br />

Falcon 900EX/EASy<br />

2<br />

0<br />

6<br />

2<br />

2<br />

2<br />

8<br />

8<br />

9<br />

1<br />

1<br />

1<br />

+0 +90+0+3 3+0+0 0+3+00+0+3 3+0+0 0+3+00+0+18 15+0+0 0+15+00+0+3 3+0+0 0+3+00+0+0 3+0+0 0+3+00+0+6 0+0+0 3+0+0 0+0+0<br />

3<br />

3<br />

13<br />

14<br />

G450<br />

Falcon 900LX<br />

12<br />

1<br />

20<br />

20<br />

0<br />

0<br />

G200<br />

G550<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

18<br />

0<br />

4<br />

2<br />

G280<br />

5<br />

5<br />

0<br />

6<br />

1<br />

1<br />

GIV/IV-SP<br />

ACJ319<br />

7<br />

G450<br />

3<br />

1<br />

GV<br />

0<br />

9<br />

1<br />

1<br />

1<br />

1<br />

1<br />

8<br />

6<br />

5<br />

0<br />

0<br />

0<br />

2<br />

0<br />

0<br />

2<br />

1<br />

1<br />

2<br />

0<br />

0<br />

1<br />

0<br />

0<br />

5<br />

4<br />

1<br />

2<br />

1<br />

1<br />

1<br />

1<br />

0<br />

0<br />

0<br />

G550<br />

Hawker 800A/<br />

B/850XP/XPI/125-1A<br />

G650<br />

Hawker 900XP<br />

Hawker 4000<br />

Challenger 300/350<br />

Challenger 604<br />

Challenger 605<br />

Challenger 800/850<br />

Global 6000<br />

Global Express<br />

Global Express XRS<br />

Learjet 60/XR<br />

Falcon 7X<br />

G200<br />

Falcon 900LX<br />

G450<br />

G650ER<br />

Legacy 650<br />

G650<br />

Lineage 1000<br />

G550<br />

2014 (49)<br />

2015 (45)<br />

<strong>2016</strong> (41)<br />

Global 5000<br />

Legacy 600<br />

Legacy 650<br />

Lineage 1000<br />

26<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


3+0+0 0+3+0 0+0+36+0+0 0+3+0 0+0+36+0+0 0+9+0 0+0+63+0+0 0+12+0 0+0+123+0+0 0+3+0 0+0+03+0+0 0+3+0 0+0+3 0+3+0 0+0+0 3+0+0 0+3+0 +18 0+0+3 24+0+0 0+27+0 0+0+270+0+12 3+0+0 0+3+0 0+0+0 12+0+0 0+9+0 6+0+0 0+0+9 0+6+0 0+0+6<br />

0+9+ 210<br />

OPERATOR OVERVIEW<br />

<strong>Jet</strong> Aviation<br />

2014 (31)<br />

2015 (39)<br />

<strong>2016</strong> (34)<br />

3+0+0 0+3+0 0+0+66+0+0 0+9+0 0+0+66+0+0 0+15+0 0+0+12 0+0+0 0+0+33+0+0 0+3+0 0+0+03+0+0 0+3+0 0+0+33+0+0 0+6+0 0+0+6 3+0+0 0+0+0 +3 0+0+3 0+0+9 3+0+0 0+9+0 3+0+0 0+6+0 0+0+6 0+0+12 6+0+0 0+9+0 6+0+0 0+6+0 0+0+9 0+0+12 6+0+0 0+9+0 3+0 0+3 0+0+0+6 3+0+0 0+0+00+0+3<br />

0+3+0<br />

HongKong <strong>Jet</strong><br />

2014 (20)<br />

2015 (28)<br />

<strong>2016</strong> (33)<br />

1<br />

1<br />

1<br />

ACJ318<br />

1<br />

1<br />

2<br />

2<br />

2<br />

3<br />

1<br />

1<br />

Challenger 605<br />

2<br />

2<br />

5<br />

2<br />

4<br />

3<br />

Global 5000<br />

2<br />

0<br />

0<br />

1<br />

1<br />

4<br />

4<br />

Global 6000<br />

1<br />

1<br />

0<br />

1<br />

1<br />

Global Express<br />

0<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

Global Express XRS<br />

2<br />

2<br />

1<br />

0<br />

0<br />

1<br />

Citation S/II/Bravo/II/SP<br />

1<br />

0<br />

1<br />

1<br />

1<br />

1<br />

2<br />

2<br />

Falcon 7X<br />

2<br />

2<br />

1<br />

1<br />

3<br />

Falcon 900LX<br />

0<br />

1<br />

1<br />

1<br />

2<br />

2<br />

2<br />

1<br />

G200<br />

3<br />

3<br />

7<br />

2<br />

8<br />

G450<br />

3<br />

4<br />

6<br />

2<br />

8<br />

3<br />

9<br />

9<br />

G550<br />

4<br />

1<br />

0<br />

4<br />

2<br />

3<br />

G650<br />

4<br />

0<br />

1<br />

1<br />

0<br />

3<br />

3<br />

G650ER<br />

1<br />

0<br />

0<br />

ACJ318<br />

ACJ319<br />

Sino <strong>Jet</strong><br />

BBJ<br />

B787-8<br />

Challenger 605<br />

Global 5000<br />

Global 6000<br />

Global Express XRS<br />

Falcon 7X<br />

G200<br />

G300/G350<br />

0+6+0 0+0+93+0+0 0+3+0 0+0+36+0+0 0+9+0 0+0+93+0+0 0+3+0 0+0+3 0+0+0 0+0+30+0+0 0+3+0 0+0+33+0+0 0+6+0 0+0+0 0+0+36+0+0 0+9+0 0+0+156+0<br />

0+6<br />

1<br />

2<br />

3<br />

1<br />

1<br />

1<br />

2<br />

3<br />

3<br />

1<br />

1<br />

1<br />

0<br />

0<br />

1<br />

0<br />

1<br />

1<br />

1<br />

2<br />

1<br />

0<br />

0<br />

1<br />

G450<br />

2<br />

3<br />

5<br />

G550<br />

2<br />

2<br />

4<br />

G650<br />

0<br />

1<br />

G650ER<br />

Lineage 1000<br />

Legacy 650<br />

+0 +12 0+0+0 0+6+0 0+0+15<br />

4<br />

0<br />

2<br />

5<br />

2014 (10)<br />

2015 (18)<br />

<strong>2016</strong> (30)<br />

BBJ<br />

Challenger 300/350<br />

Challenger 605<br />

Global Express<br />

Falcon 7X<br />

Falcon 900LX<br />

G200<br />

G280<br />

G450<br />

G550<br />

G650<br />

Legacy 650<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

27


3+0+0 0+3+0 0+0+33+0+0 0+3+0 0+0+33+0+0 0+3+0 0+0+06+0+0 0+3+0 0+0+33+0+0 0+0+0 0+3+0 0+0+03+0+0 9+0+0 0+6+0 +150+0+0 0+0+3 3+0+0 0+3+0 15+0+0 0+18+0 0+0+9 0+0+3 3+0+0 0+3+0 42+0+0 0+30+0 0+0+18 0+0+3 3+0+0 0+3+0 0+9 0+0+0+3 3+0+0 0+3+003<br />

OPERATOR OVERVIEW<br />

Metrojet<br />

2014 (35)<br />

2015 (30)<br />

<strong>2016</strong> (23)<br />

1<br />

1<br />

1<br />

0+0+3 0+6+0 3+0+00+0+3 0+9+0 9+0+00+0+3 0+6+0 3+0+00+0+9 0+6+0 3+0+00+0+9 0+3+0 0+0+00+0+3 0+3+0 3+0+00+0+9 0+9+0 9+0+00+0+3 0+3+0 3+0+00+0+3 0+3+0 0+0+3 0+0+0 0+3+0 3+0+00+0+0<br />

0+3<br />

1<br />

BBJ<br />

Execujet<br />

2<br />

1<br />

1<br />

1<br />

1<br />

Challenger 605<br />

3<br />

3<br />

1<br />

1<br />

1<br />

Challenger 800/850<br />

0<br />

1<br />

2<br />

2<br />

1<br />

1<br />

1<br />

Global 5000<br />

1<br />

1<br />

2<br />

0<br />

0<br />

Global Express<br />

3<br />

1<br />

1<br />

0<br />

Global Express XRS<br />

1<br />

0<br />

3<br />

1<br />

0<br />

0<br />

1<br />

1<br />

1<br />

3<br />

3<br />

3<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

0<br />

0<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

2014 (15)<br />

2015 (18)<br />

<strong>2016</strong> (18)<br />

1<br />

0<br />

0<br />

Challenger 300/350<br />

Challenger 604<br />

Challenger 605<br />

Global 5000<br />

Global 6000<br />

Global Express<br />

Global Express XRS<br />

Citation III/VI/VII<br />

G200<br />

G550<br />

G650<br />

Citation Sovereign/+<br />

3<br />

2<br />

G200<br />

1<br />

5<br />

6<br />

G450<br />

3<br />

14<br />

10<br />

G550<br />

8<br />

0<br />

3<br />

G650ER<br />

5<br />

1<br />

1<br />

GIV/IV-SP<br />

0<br />

1<br />

1<br />

1<br />

GV<br />

1<br />

1<br />

1<br />

Legacy 600<br />

1<br />

1<br />

1<br />

Legacy 650<br />

1<br />

0<br />

0<br />

Lineage 1000<br />

GIV/IV-SP<br />

Learjet 60/XR<br />

28<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


Lily jet<br />

0+0+6 0+6+0 6+0+00+0+3 0+3+0 3+0+00+0+15 0+12+0 12+0+00+0+6 0+3+0 3+0+00+0+3 0+3+0 0+0+00+0+3 0+3+0 3+0+00+0+3 0+3+0 3+0+00+0+6<br />

0+6+0<br />

OPERATOR OVERVIEW<br />

2014 (11)<br />

2015 (13)<br />

<strong>2016</strong> (15)<br />

0+0+3 0+3+0 3+0+00+0+3 0+3+0 3+0+00+0+0 3+0+00+0+3 0+3+0 3+0+00+0+6 0+6+0 9+0+00+0+9 0+9+0 9+0+00+0+3 0+3+0 3+0+00+0+15<br />

0+15+0 15+0+0<br />

2<br />

2<br />

2<br />

Challenger 604<br />

China Eastern<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

4<br />

4<br />

1<br />

0<br />

0<br />

1<br />

1<br />

1<br />

3<br />

2<br />

2<br />

3<br />

3<br />

3<br />

5<br />

5<br />

5<br />

1<br />

1<br />

1<br />

2014 (16)<br />

2015 (14)<br />

<strong>2016</strong> (14)<br />

ACJ318<br />

Challenger 300/350<br />

Global Express XRS<br />

G200<br />

G450<br />

G550<br />

5<br />

2<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

Challenger 605<br />

Challenger 800/850<br />

Global 5000<br />

0<br />

Global 6000<br />

Global Express<br />

Global Express XRS<br />

2<br />

2<br />

G200<br />

Hawker 800A/B/<br />

850XP/XPI/125-1A<br />

Legacy 650<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

29


COMPANY PROFILE: MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

30<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COMPANY PROFILE: MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

SERVICES FOR ALL<br />

AVIATION REQUIREM<strong>EN</strong>TS<br />

INTERVIEW WITH CHIE MATSUOKA, ASSISTANT G<strong>EN</strong>ERAL<br />

MANAGER, MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

Interview by Litalia Yoakum<br />

Marubeni Aerospace Corporation was created in 1998 when one of the world’s largest<br />

trading companies, Marubeni Corporation, inherited the trade rights to the aerospace<br />

division of Okura & Co. Today, the Tokyo-based aerospace company specializes in<br />

business jets, engines and equipment for helicopters and aircraft, advanced materials, and space<br />

and defense equipment, all to further develop the Japanese business aviation market.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

31


COMPANY PROFILE: MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

“We started cooperating with the US<br />

authority for air operator’s certificates<br />

(AOC), as many of our owners have<br />

US-registered aircraft, to assist with<br />

our owner’s aircraft operations,”<br />

explains Matsuoka.<br />

“As a one-stop-shop supplier, Marubeni Aerospace provides<br />

multiple services to meet the requirements of all our<br />

customers, including consulting on aircraft acquisitions,<br />

aircraft sales and aircraft management support through <strong>Jet</strong><br />

Aviation Flight Services,” says Assistant General Manager,<br />

Chie Matsuoka. “We can also arrange hangar space and<br />

aircraft charter.” A partnership with the local maintenance<br />

company Japcon Inc., branded as MJ <strong>Jet</strong> Center, further<br />

supports aircraft owners’ maintenance needs.<br />

As the only Gulfstream Aerospace Corporation sales<br />

representative in Japan, Marubeni Aerospace began as one<br />

of the few companies that saw the potential in the country’s<br />

business aviation market.<br />

“When we started out, only a few aircraft owners had<br />

Gulfstream jets,” says Matsuoka. “The infrastructure was<br />

not friendly and there were no hangars available to store our<br />

Gulfstream jets in the country. Haneda Airport, which is one<br />

of the largest airports in Japan, did not allow for business<br />

aviation use during daytime hours. We had to locate a hangar<br />

in Guam, for Japanese owners. If a client required a long-range<br />

aircraft charter, we needed to arrange that from the US.”<br />

On a local level, the company pleaded<br />

with local airports and prefectures,<br />

on behalf of the industry, for more<br />

business aviation space. “In 2009,<br />

with the cooperation of Chubu Centrair<br />

International Airport in Nagoya, a<br />

business jet-dedicated hangar was<br />

built, where we now help to provide<br />

line maintenance and AOG support<br />

through MJ <strong>Jet</strong> Center. These mechanics can be dispatched<br />

to the other local airports including Narita and Okayama.<br />

Additionally, MJ <strong>Jet</strong> Center has secured hangar space at the<br />

Haneda airport, where AOG maintenance can be performed<br />

round-the-clock, as well.”<br />

As a one-stop-shop<br />

supplier, Marubeni<br />

Aerospace provides<br />

multiple services<br />

to satisfy the<br />

requirements of all<br />

our customers.<br />

After seeing new aircraft owners left to fend for themselves,<br />

Marubeni Aerospace realized the need for additional<br />

support. “There was no operator available to support<br />

owners, just as there was no hangar or mechanic. Japanese<br />

owners purchasing a Gulfstream jet were first-time buyers,<br />

who did not have experience on how to manage and operate<br />

their new aircraft.”<br />

Helping the industry grow and helping clients enjoy their jet,<br />

stress-free, led to the company’s present-day services.<br />

32<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COMPANY PROFILE: MARUB<strong>EN</strong>I AEROSPACE CORPORATION<br />

With Marubeni Aerospace the help doesn’t stop there. As a<br />

representative of <strong>Jet</strong> Aviation, which provides maintenance,<br />

completions and refurbishment, FBO, aircraft charter,<br />

management and staffing support, Marubeni can truly provide all<br />

the services a client requires.<br />

“Apart from the rotary market, business aviation in Japan is<br />

still immature and in a developing stage,” explains Matsuoka,<br />

discussing the work that still needs to be done in the industry.<br />

“Over the past few years the market has grown. The number of<br />

JA-registered aircraft is increasing, albeit in limited numbers,<br />

while the number of ultra-long range jets continues to grow.”<br />

Even with increased activity and operational support, the<br />

challenges remain. “The public image of the [fixed-wing] business<br />

aviation sector is still negative,” says Matsuoka. “The business<br />

jet is vilified by the public as a luxury for select wealthy people.<br />

Because of this, several publicly-listed companies are hesitating<br />

to purchase a business jet, with the impression that shareholders<br />

may find a business jet to be an excessive luxury.”<br />

With the Japanese Government now more aware of the economic<br />

impact of business aviation, Marubeni Aerospace is working<br />

toward educating the public, particularly businesses, on the<br />

benefits of a business jet as a business tool, used for efficiency,<br />

with the potential to save time and money.<br />

Working closely with the Japan <strong>Business</strong> Aviation Association<br />

(JBAA) since 2010 has allowed the aerospace company to continue<br />

its effort in promoting the use of business jets and the subsequent<br />

need for business aviation infrastructure in Japan.<br />

Continuing the endeavor to develop this industry, Marubeni<br />

Aerospace is committed to providing its clients with the best<br />

expertise and customer service. “No one is able to provide tip-totail<br />

support like us. As representatives for both Gulfstream and<br />

<strong>Jet</strong> Aviation, two global leaders in the industry, we provide worldclass,<br />

quality service, along with local expertise.”<br />

The upcoming 2019 Rugby World Cup and 2020 Olympic and<br />

Paralympic games in Japan are major events in the country,<br />

providing the industry an opportunity to showcase its full<br />

capacity. “We expect the industry to grow by the time these<br />

big events arrive. The growing industry will then give Marubeni<br />

Aerospace the opportunity to further enhance our capabilities<br />

and services for our customers.”<br />

www.marubeni-aerospace.co.jp<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

33


OEM OVERVIEW<br />

Airbus<br />

Ranking<br />

#8<br />

Growth<br />

-1 (-3%)<br />

Most Popular<br />

ACJ319<br />

Biggest <strong>Fleet</strong><br />

China 46%<br />

China<br />

Singapore<br />

14+3+2+2+2+2+2+1+1+1<br />

15<br />

3<br />

Brunei 1 (3%)<br />

South Korea 1 (3%)<br />

Macau 1 (3%)<br />

Australia 2 (6%)<br />

India 2 (6%)<br />

Taiwan 2 (6%)<br />

Malaysia 2 (6%)<br />

Thailand 2 (6%)<br />

2<br />

2<br />

2<br />

2<br />

46+9+6+6+6+6+6+3+3+3+3+3+G<br />

2<br />

1<br />

33<br />

1<br />

1<br />

Thailand<br />

Malaysia<br />

Taiwan<br />

India<br />

Australia<br />

Macau<br />

South Korea<br />

Brunei<br />

+1+1<br />

1 1<br />

Hong Kong 1 (3%)<br />

Japan 1 (3%)<br />

China 15 (46%)<br />

Singapore 3 (9%)<br />

Hong Kong<br />

Japan<br />

Total<br />

Change from<br />

2015<br />

ACJ319 6 2 1 1 1 2 2 1 1 17 -1<br />

ACJ318 5 1 1 1 8<br />

ACJ320 1 1 1 3<br />

A319ER 3 3<br />

ACJ330 1 1<br />

A340-200 1 1<br />

Total 15 3 2 2 2 2 2 1 1 1 1 1 33<br />

Change<br />

from 2015<br />

-1 +2 +1 -3 -1<br />

34 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


OEM OVERVIEW<br />

Boeing<br />

Ranking<br />

#7<br />

Growth<br />

+7 (+23%)<br />

Most Popular<br />

BBJ<br />

Biggest <strong>Fleet</strong><br />

China 27%<br />

27+14+14+8+8+5+5+5+5+5+4+G<br />

10+5+5+3+3+2+2+2+2+2+1<br />

10<br />

5<br />

Indonesia 2 (5%)<br />

Malaysia 2 (5%)<br />

India 2 (5%)<br />

Singapore 2 (5%)<br />

Taiwan 2 (5%)<br />

Thailand 3 (8%)<br />

Brunei 3 (8%)<br />

5<br />

3<br />

3<br />

2<br />

2<br />

37<br />

2<br />

2<br />

2<br />

1<br />

Japan 1 (4%)<br />

China 10 (27%)<br />

Hong Kong 5 (14%)<br />

South Korea 5 (14%)<br />

China<br />

Hong Kong<br />

South Korea<br />

Brunei<br />

Thailand<br />

Taiwan<br />

Singapore<br />

India<br />

Malaysia<br />

Indonesia<br />

Japan<br />

Total<br />

Change from<br />

2015<br />

BBJ 9 5 5 2 2 2 1 1 27 +5<br />

BBJ2 2 1 1 4 +1<br />

B767-200ER 1 1<br />

B737-400 1 1<br />

B787-8 1 1 +1<br />

B747-400 1 1<br />

B727-100 1 1<br />

B747-8I 1 1 +1<br />

Total 10 5 5 3 3 2 2 2 2 2 1 37<br />

Change<br />

from 2015<br />

+4 +1 +1 +1 +1 +7*<br />

*include one B757-200 which left Australia<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

35


OEM OVERVIEW<br />

Bombardier<br />

Macau 4 (1%)<br />

Japan 5 (2%)<br />

South Korea 3 (1%)<br />

New Zealand 2 (1%)<br />

Ranking<br />

#1<br />

Growth<br />

+2 (+1%)<br />

Most Popular<br />

Global 6000<br />

Biggest <strong>Fleet</strong><br />

Taiwan 6 (2%)<br />

Philippines 9 (3%)<br />

Indonesia 10 (3%)<br />

Malaysia 17 (6%)<br />

Singapore 19 (6%)<br />

China 27%<br />

27+23+16+9+6+6+3+3+2+2+1+1+1+G<br />

India 28 (9%)<br />

301<br />

Thailand 1<br />

Myanmar 1<br />

China 80 (27%)<br />

Hong Kong 48 (16%)<br />

Australia 68 (23%)<br />

80+68+48+28+19+17+10+9+6+5<br />

80<br />

68<br />

48<br />

28<br />

19<br />

17<br />

10<br />

9<br />

6<br />

5<br />

China<br />

Australia<br />

Hong Kong<br />

India<br />

Singapore<br />

Malaysia<br />

Indonesia<br />

Philippines<br />

Taiwan<br />

Japan<br />

Macau<br />

South Korea<br />

New Zealand<br />

Thailand<br />

Myanmar<br />

+4+3+2+1+1<br />

4<br />

3<br />

2 1 1<br />

Total<br />

Change from<br />

2015<br />

Global 6000 11 4 14 2 2 1 1 1 3 1 40 +10<br />

Global 5000 5 1 13 5 7 2 2 1 36 +3<br />

Challenger 605 13 8 3 3 3 1 1 2 34 -4<br />

Global Express XRS 1 12 3 2 2 2 1 2 2 1 28 -2<br />

Learjet 35/A/36/A 5 19 1 2 1 28 +3<br />

Challenger 604 2 12 3 4 2 23 -1<br />

Challenger 800/850 14 3 1 1 19<br />

Challenger 300/350 5 1 5 1 1 1 1 1 16 -2<br />

Global Express 1 8 2 1 1 1 1 15 -4<br />

Challenger 870 12 12<br />

Learjet 60/XR 9 1 1 11 +1<br />

Challenger 600/601 2 1 1 2 1 2 1 10 -2<br />

CRJ100/200/VIP 4 3 1 1 9<br />

Learjet 45/XR 4 2 1 7<br />

Learjet 31/A 1 2 2 1 6 -1<br />

Learjet 24/B/D/E/25B 2 2 1 5 +1<br />

Learjet 75 1 1<br />

Learjet 40 1 1<br />

Total 80 68 48 28 19 17 10 9 6 5 4 3 2 1 1 301<br />

Change from 2015 +6 +3 +5 -2 -6 -3 -1 +1 -1 -1 +1 +2<br />

36<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


OEM OVERVIEW<br />

Cessna<br />

Indonesia 4 (2%) PNG 3 (1%)<br />

New Zealand 7 (3%)<br />

New Caledonia 2 (1%)<br />

Ranking<br />

#3<br />

Growth<br />

-2 (-1%)<br />

Most Popular<br />

Citation Mustang<br />

Biggest <strong>Fleet</strong><br />

Australia 33%<br />

Malaysia 7 (3%)<br />

South Korea 7 (3%)<br />

Thailand 9 (4%)<br />

Philippines 12 (6%)<br />

Japan 28 (13%)<br />

33+16+14+13+6+4+3+3+3+2+1+1+1+G<br />

218<br />

Singapore 1 (1%)<br />

Australia 72 (33%)<br />

India 31 (14%)<br />

China 35 (16%)<br />

72+35+31+28+12+9+7+7+7+4 +3+2+1<br />

72<br />

35<br />

31<br />

28<br />

12<br />

9<br />

7<br />

7<br />

7<br />

4<br />

3<br />

2<br />

1<br />

Australia<br />

China<br />

India<br />

Japan<br />

Philippines<br />

Thailand<br />

New Zealand<br />

South Korea<br />

Malaysia<br />

Indonesia<br />

PNG<br />

New Caledonia<br />

Singapore<br />

Total<br />

Change from<br />

2015<br />

Citation S/II/Bravo/II/SP 17 4 7 1 3 2 2 36 -2<br />

Citation 525/CJ1/+/M2 10 12 2 4 1 3 32<br />

Citation Excel/XLS/+ 1 12 9 5 3 30 +2<br />

Citation Mustang 10 1 1 3 1 2 5 23 -1<br />

Citation CJ2/+ 3 11 7 1 22 -1<br />

Citation Sovereign/+ 5 4 4 2 4 19 +1<br />

Citation Ultra/V 4 4 4 12 -2<br />

Citation 500/I/SP 9 1 1 11<br />

Citation III/VI/VII 5 1 1 1 1 1 10<br />

Citation CJ4 3 1 1 1 1 7<br />

Citation X/+ 2 1 2 1 6<br />

Citation Encore/+ 3 2 5 +1<br />

Citation CJ3 3 1 1 5<br />

Total 72 35 31 28 12 9 7 7 7 4 3 2 1 218<br />

Change from 2015 -1 -3 -2 +2 +1 +1 +1 -2 +1 -2<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

37


OEM OVERVIEW<br />

Dassault<br />

New Zealand 1 (1%) Singapore 1 (1%)<br />

Japan 2 (2%)<br />

PNG 1 (1%)<br />

Ranking<br />

#4<br />

Growth<br />

+7 (+8%)<br />

Indonesia 2 (2%)<br />

Bangladesh 2 (2%)<br />

Thailand 4 (4%)<br />

Macau 1 (1%)<br />

Most Popular<br />

Falcon 7X<br />

Biggest <strong>Fleet</strong><br />

China 37%<br />

Philippines 4 (4%)<br />

Hong Kong 7 (7%)<br />

Australia 8 (8%)<br />

Malaysia 8 (8%)<br />

37+22+8+8+7+4+4+2+2+2+1+1+1+1+G<br />

100<br />

China 37 (37%)<br />

India 22 (22%)<br />

37+22+8+8+7+4+4+2+2+2 +1+1+1+1<br />

37<br />

22<br />

8<br />

8<br />

7<br />

4<br />

4<br />

2<br />

2<br />

2<br />

1<br />

1<br />

1<br />

1<br />

China<br />

India<br />

Malaysia<br />

Australia<br />

Hong Kong<br />

Philippines<br />

Thailand<br />

Bangladesh<br />

Indonesia<br />

Japan<br />

New Zealand<br />

Singapore<br />

PNG<br />

Macau<br />

Total<br />

Change from<br />

2015<br />

Falcon 7X 27 2 2 2 6 1 1 41 +4<br />

Falcon 2000/DX/EX EASy 1 14 1 1 17 +3<br />

Falcon 2000LX/LXS 2 3 2 1 1 2 1 1 13<br />

Falcon 900EX/EASy 3 1 1 1 1 7<br />

Falcon 900/C/DX 1 1 1 1 1 2 7 +1<br />

Falcon 900LX 5 1 6 -1<br />

Falcon 20D/F-5 2 2 4<br />

Falcon 10 1 1 2 +1<br />

Falcon 2000S 1 1 2<br />

Falcon 50 1 1 -1<br />

Total 37 22 8 8 7 4 4 2 2 2 1 1 1 1 100<br />

Change from 2015 +2 +2 +1 +1 +1 +7<br />

38<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


OEM OVERVIEW<br />

Embraer<br />

Taiwan 1 (1%)<br />

Macau 2 (2%)<br />

Philippines 1 (1%)<br />

Ranking<br />

#6<br />

Growth<br />

+10 (+14%)<br />

Most Popular<br />

Legacy 650<br />

Biggest <strong>Fleet</strong><br />

China 33%<br />

26+16+15+6+6+3+3+2+1+1<br />

26<br />

Malaysia 3 (4%)<br />

Hong Kong 3 (4%)<br />

Australia 6 (8%)<br />

Singapore 6 (8%)<br />

Indonesia 15 (19%)<br />

16<br />

15<br />

6<br />

33+20+19+8+8+4+4+2+1+1+G<br />

6<br />

3<br />

79<br />

3<br />

2<br />

1<br />

1<br />

China 26 (33%)<br />

India 16 (20%)<br />

China<br />

India<br />

Indonesia<br />

Singapore<br />

Australia<br />

Hong Kong<br />

Malaysia<br />

Macau<br />

Taiwan<br />

Philippines<br />

Total<br />

Change from<br />

2015<br />

Legacy 650 17 6 3 1 1 28 +5<br />

Legacy 600 2 7 5 1 1 1 1 18 -2<br />

Phenom 300 3 2 3 1 2 11 +6<br />

Phenom 100 1 3 1 3 1 9 -1<br />

Lineage 1000 4 1 1 1 1 8<br />

Legacy 500 1 1 1 3 +2<br />

ERJ135/ER/LR 2 2<br />

Total 26 16 15 6 6 3 3 2 1 1 79<br />

Change from 2015 +5 +1 +1 -1 +1 +2 +1 +10<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

39


OEM OVERVIEW<br />

Gulfstream<br />

Ranking<br />

#2<br />

Growth<br />

+20 (+8%)<br />

Most Popular<br />

G550<br />

Biggest <strong>Fleet</strong><br />

China 36%<br />

South Korea 4 (1%) Cambodia 3 (1%)<br />

Indonesia 5 (2%)<br />

Malaysia 8 (3%)<br />

Taiwan 9 (3%)<br />

India 10 (4%)<br />

Australia 12 (4%)<br />

Philippines 12 (4%)<br />

Thailand 12 (4%)<br />

Japan 14 (5%)<br />

Singapore 22 (8%)<br />

36+24+7+4+4+4+4+4+4+3+2+1+1+1+1+G<br />

283<br />

Macau 2 (1%)<br />

New Zealand 2 (1%)<br />

China 102 (36%)<br />

Hong Kong 66 (23%)<br />

100+66+22+14+12+12+12+10+9+8 +5+4+3+2+2<br />

102<br />

66<br />

22<br />

14<br />

12<br />

12<br />

12<br />

10<br />

9<br />

8<br />

5<br />

4<br />

3<br />

2<br />

2<br />

China<br />

Hong Kong<br />

Singapore<br />

Japan<br />

Thailand<br />

Philippines<br />

Australia<br />

India<br />

Taiwan<br />

Malaysia<br />

Indonesia<br />

South Korea<br />

Cambodia<br />

New Zealand<br />

Macau<br />

Total<br />

Change from<br />

2015<br />

G550 44 26 5 2 3 3 3 3 3 1 2 2 1 1 99 +4<br />

G450 39 13 6 1 3 1 2 2 1 68 -3<br />

G200 8 8 4 3 1 3 1 2 1 31 -1<br />

G650 3 8 1 5 3 2 2 2 2 1 29 +15<br />

G650ER 4 8 1 1 14 +7*<br />

GIV/IV-SP 1 1 2 1 4 1 2 1 13 -5<br />

GV 1 2 2 2 1 8 -1<br />

G280 3 1 1 2 7<br />

G100/G150 2 2 2 1 7 +2<br />

G300/G350 1 1 1 3 +1<br />

GIII 1 1 2 +1<br />

GII 1 1<br />

G500 1 1<br />

Total 102 66 22 14 12 12 12 10 9 8 5 4 3 2 2 283<br />

Change from 2015 +4 +5 +2 +3 +2 +1 +3 -1 +2 -1 +20<br />

*Two of the G650ERs are upgraded from G650s<br />

40<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


OEM OVERVIEW<br />

Hawker<br />

Ranking<br />

#5<br />

Growth<br />

-8 (-9%)<br />

Most Popular<br />

Hawker 850XP<br />

Biggest <strong>Fleet</strong><br />

India 33%<br />

Japan 2 (2%) Bangladesh 1 (1%)<br />

South Korea 2 (2%)<br />

Taiwan 3 (4%)<br />

Singapore 4 (5%)<br />

Thailand 7 (8%)<br />

Philippines 8 (9%)<br />

China 8 (9%)<br />

33+14+11+9+9+8+5+4+2+2+1+1+1+G<br />

86<br />

Macau 1 (1%)<br />

Malaysia 1 (1%)<br />

India 28 (33%)<br />

Indonesia 12 (14%)<br />

Australia 9 (11%)<br />

28+12+9+8+8+7+4+3+2+2 +1+1+1<br />

28<br />

12<br />

9<br />

8<br />

8<br />

7<br />

4<br />

3<br />

2<br />

2<br />

1 1<br />

1<br />

India<br />

Indonesia<br />

Australia<br />

China<br />

Philippines<br />

Thailand<br />

Singapore<br />

Taiwan<br />

South Korea<br />

Japan<br />

Malaysia<br />

Bangladesh<br />

Macau<br />

Total<br />

Change from<br />

2015<br />

Hawker 800A/B/850XP/<br />

XPI/125-1A<br />

10 2 5 5 3 4 1 1 31 -6<br />

Hawker 400/A/B/Diamond I 3 3 2 1 3 1 1 2 16 +1<br />

Hawker 900XP 6 5 1 1 13 -2<br />

Hawker 700A/B/750 2 4 1 7 -1<br />

Hawker 400XP 1 1 1 2 2 7 +2<br />

Premier I/IA 4 1 1 6 -2<br />

Hawker 4000 2 1 1 4<br />

Hawker 1000A/B 1 1 2<br />

Total 28 12 9 8 8 7 4 3 2 2 1 1 1 86<br />

Change from 2015 +1 -5 -4 -1 +1 +1 -8*<br />

*Include one Hawker 800A which left Hong Kong<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

41


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COUNTRY PROFILE: GREATER CHINA<br />

FOR MORE COUNTRY PROFILES VISIT:<br />

WWW.ASIANSKYMEDIA.COM<br />

GREATER CHINA<br />

Home to the largest business jet fleet in the Asia-Pacific region, Greater China has quickly<br />

evolved since its inception in the early 1990s into the leader for business aviation in the<br />

region. Over the last decade, increasingly large corporations and the growing number of<br />

HNWIs in Greater China have come to realize the value of a business jet, significantly expanding the<br />

size of the fleet to 477 aircraft at the end of <strong>2016</strong>, a 4% increase over 2015 and representing 41% of<br />

the total Asia Pacific fleet.<br />

+4.2%<br />

2014 (427)<br />

2015 (458) +7.3%<br />

<strong>2016</strong> (477) +4.2%<br />

94+0+036+0+06+0+04+0+0 0+98+0 0+0+1000+40+0 0+0+430+7+0 0+0+70+<br />

0<br />

288<br />

+4.3%<br />

300 313<br />

+13.7% +4.8% +23.5% +9.5% +0%<br />

109<br />

124<br />

130<br />

-15.4%<br />

17 21 23 13 13 11<br />

China<br />

Hong Kong<br />

Taiwan<br />

Macau<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

43


COUNTRY PROFILE: GREATER CHINA<br />

Net <strong>Fleet</strong> Change by Top Operator 1<br />

68+0+0 0+59+0 0+0+47 45+0+0 0+54+0 0+0+46 35+0+0 0+30+0 0+0+31 10+0+0 0+18+0 0+0+30 31+0+0 0+26+0 0+0+23 20+0+0 0+29+0 0+0+23 16+0+0 0+21+0 0+0+220+13<br />

68<br />

59<br />

47<br />

45<br />

54<br />

46<br />

35<br />

30<br />

31<br />

10<br />

18<br />

30<br />

31<br />

26<br />

23<br />

20<br />

29<br />

23<br />

16<br />

21<br />

22<br />

11+0+0 0+0+15<br />

11<br />

13<br />

15<br />

2014 (252)<br />

16+0+0 0+0+14<br />

2015 (264)<br />

<strong>2016</strong> (251)<br />

16<br />

14<br />

14<br />

Deer <strong>Jet</strong><br />

BAA<br />

TAG Aviation<br />

Sino <strong>Jet</strong><br />

Metrojet<br />

<strong>Jet</strong> Aviation<br />

HongKong <strong>Jet</strong><br />

Lily <strong>Jet</strong><br />

China Eastern<br />

Net <strong>Fleet</strong> Growth by Registration<br />

59+0+0 0+56+0 0+0+51 19+0+0 0+19+0 0+0+237+0+0 0+9+0 0+0+106+0+0 0+5+0 0+0+53+0+0 0+3+0 0+0+43+0+0<br />

0+3+0 0+0+30+3+0<br />

0+0+2<br />

59%<br />

56%<br />

51%<br />

19%<br />

19%<br />

23%<br />

7%<br />

9%<br />

10%<br />

6%<br />

5%<br />

5%<br />

3%<br />

3%<br />

4%<br />

3%<br />

3%<br />

3%<br />

3+0+0 0+0+0<br />

3%<br />

3%<br />

2%<br />

0%<br />

1%<br />

2%<br />

China<br />

United States<br />

Cayman Islands<br />

Hong Kong<br />

Isle of Man<br />

Taiwan<br />

Bermuda<br />

Others<br />

Individually, Mainland China continued to have the largest<br />

business jet fleet in the Asia-Pacific region, with 313 business<br />

jets at yearend <strong>2016</strong>, up from 300 in 2015. Taiwan’s fleet slightly<br />

grew from 21 in 2015, to 23 in <strong>2016</strong>. Hong Kong’s fleet increased<br />

to 130 from 124 in 2015, while Macau’s fleet decreased from 13<br />

business jets in 2015 to 11 in <strong>2016</strong>.<br />

While the mainland’s anti-corruption campaign has in recent<br />

years instilled buyers with caution regarding how purchasing<br />

such an expensive asset might be perceived by peers and the<br />

government, the market’s potential remains extremely high<br />

as it continues to produce the largest numbers of HNW and<br />

UHNWIs in the region.<br />

Note (1): Only include the operator’s fleet in Greater China<br />

44<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COUNTRY PROFILE: GREATER CHINA<br />

Net <strong>Fleet</strong> Growth by OEM<br />

2014 (427)<br />

2015 (458)<br />

80+0+0 0+86+0 0+0+90 59+0+0 0+64+0 0+0+69 21+0+0 0+22+0 0+0+23 19+0+0 0+19+0 0+0+186+0+0 13+0+0 0+14+0 0+0+169+0+0<br />

10+0+0 0+12+0 0+0+10<br />

160<br />

171<br />

179<br />

117<br />

127<br />

138<br />

41<br />

43<br />

45<br />

38<br />

38<br />

35<br />

25<br />

27<br />

32<br />

19<br />

23<br />

19<br />

9<br />

12<br />

17<br />

18<br />

<strong>2016</strong> (477)<br />

17<br />

12<br />

Gulfstream<br />

Bombardier<br />

Dassault<br />

Cessna<br />

Embraer<br />

Airbus<br />

Boeing<br />

Hawker<br />

Net <strong>Fleet</strong> Growth by Size Category<br />

18+0+0 0+21+0 0+0+21 75+0+0 0+82+0 0+0+95 72+0+0 0+78+0 0+0+77 29+0+0 0+27+0 0+0+24 13+0+0 0+13+0 0+0+158+<br />

0<br />

16<br />

Corp. Airliner<br />

Long Range<br />

Large<br />

Mid-Size<br />

Light<br />

Very Light<br />

14<br />

35<br />

18<br />

41<br />

42<br />

26<br />

26<br />

48<br />

29<br />

57<br />

54<br />

149<br />

163<br />

144<br />

156<br />

154<br />

190<br />

The Chinese general aviation industry was also delivered with<br />

overall positive news in <strong>2016</strong> when the government announced<br />

steps toward further enhancing and opening up the industry in<br />

the coming years.<br />

According to the <strong>2016</strong> Chinese State Council <strong>Report</strong>, “As part of<br />

efforts to promote industry transformation and upgrades, and<br />

to further tap consumption potential, an initiative is set to build<br />

a general aviation industry that has more than 500 general<br />

aviation airports, 5,000 aircraft, and a group of competitive<br />

enterprises by the end of 2020.”<br />

Additionally, the plan would open the country’s lower airspace<br />

below 3,000-meters, up from 1,000-meters, as well as simplify<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

45


COUNTRY PROFILE: GREATER CHINA<br />

<strong>Fleet</strong> by Size Category<br />

Very Light 14 (3%)<br />

Light 29 (6%)<br />

Corp. Airliner 42 (9%)<br />

Mid-Size 48 (10%)<br />

Large 154 (32%)<br />

<strong>Fleet</strong> by OEM<br />

Boeing 17 (4%)<br />

Airbus 19 (4%)<br />

Embraer 32 (7%)<br />

Cessna 35 (7%)<br />

Dassault 45 (9%)<br />

Bombardier 138 (29%)<br />

40+32+10+9+6+3+G<br />

477<br />

38+29+9+7+7+4+4+2+G<br />

477<br />

Long Range 190 (40%)<br />

Hawker 12 (2%)<br />

Gulfstream 179 (38%)<br />

Long-range business jets are still the<br />

most popular aircraft type in Greater<br />

China, making up 40% of the fleet, an<br />

increase from 36% in 2015. Large-sized<br />

business jets represent 32%, with midsized<br />

business jets following with 10%.<br />

Gulfstream continues to be the OEM of<br />

choice in Greater China making up 38%<br />

of the fleet, with a net increase in <strong>2016</strong><br />

of 8 aircraft. Bombardier maintained its<br />

position from 2015, holding 29% of the<br />

fleet, while Dassault followed with 9%.<br />

Cessna, Airbus and Hawker all suffered<br />

losses in <strong>2016</strong>.<br />

The majority of Gulfstream’s growth in<br />

<strong>2016</strong>, particularly in Mainland China,<br />

came by virtue of the G650ER, with<br />

four deliveries of the aircraft to the<br />

Mainland and two additional G650ERs<br />

in Hong Kong, one new delivery and one<br />

eventually upgraded to the ER version.<br />

The top operator in Greater China<br />

continues to be Mainland-based Deer<br />

<strong>Jet</strong>. In 2014, Deer <strong>Jet</strong> had a fleet of 68,<br />

which fell to 59 in 2015 and 47 in <strong>2016</strong><br />

though, after selling a total of seven,<br />

mostly older Hawker models, to buyers in the US.<br />

and reduce the application time and process for flight approvals;<br />

a move beneficial to general aviation aircraft.<br />

The country’s growing fleet and rising air travel demand has, in<br />

recent years, been limited due to a lack of proper infrastructure.<br />

The International Air Transport Association (IATA) has declared:<br />

“China is expected to overtake the United States as the world’s<br />

largest passenger market by 2024.” By 2035, IATA also forecasts<br />

China will be a market of 1.3 billion passengers.<br />

With this new initiative promoting general aviation, hopes<br />

are high for new and improved facilities to cater towards<br />

commercial aviation and more specifically, business jets, as<br />

well as training schools, FBOs, MROs and hangar facilities.<br />

Already in the works is Beijing’s Daxing International Airport.<br />

Expected to serve Beijing, Tianjin and Hebei, the new airport will<br />

free up capacity at current airports and provide considerable<br />

support to the business aviation industry. The airport is<br />

expected to be finished in 2019.<br />

<strong>Business</strong> Aviation Asia (BAA) also experienced a reduction in<br />

fleet size. In 2014, BAA maintained a fleet of 45 and increased<br />

this to 54 in 2015. After a change of management and overall<br />

strategy in <strong>2016</strong>, BAA reduced its fleet back to 46.<br />

Aircraft operator Sino <strong>Jet</strong> was one of the few Hong Kongbased<br />

operators to see a big increase. In 2015, the operator<br />

maintained 18 aircraft, which increased to 30 in <strong>2016</strong>. Newly<br />

established Bellawings <strong>Jet</strong>, based in Hong Kong, celebrated<br />

its two-year anniversary in <strong>2016</strong>. The milestone came with the<br />

addition of several new aircraft, with the company reaching 11<br />

in <strong>2016</strong>, from just three in 2015.<br />

Subsidiary of the Chinese conglomerate HNA Group, HongKong<br />

<strong>Jet</strong> wasn’t as successful as some of the other local operators.<br />

The business jet operator had a fleet of 21 in Greater China in<br />

2015 and just 22 in <strong>2016</strong>.<br />

As far as the preferred choice of country of registration for<br />

the fleet, Mainland China, the USA and Cayman are the top 3<br />

representing 84% of the aircraft. The popularity of Chinese<br />

registrations – either Mainland China, Hong Kong, Macau or<br />

46<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COUNTRY PROFILE: GREATER CHINA<br />

FOR MORE COUNTRY PROFILES VISIT:<br />

WWW.ASIANSKYMEDIA.COM<br />

Taiwan – all decreased in <strong>2016</strong> versus 2015. Mainland China<br />

in particular saw the biggest decline in registrations (7%) and<br />

until the tax environment for business jets improves, this trend<br />

is unlikely to change. The USA saw the biggest growth through<br />

<strong>2016</strong> (4%) and individually increased its market share across<br />

Greater China. Cayman and Isle of Man also experienced<br />

growth (1% each).<br />

As the largest market in Asia Pacific region, Greater China’s<br />

business jet sector still faces challenges — increased traffic<br />

levels, infrastructure and lack of sufficient human capital.<br />

Although the region’s new general aviation regulations will<br />

benefit the industry, the market will need continued growth to<br />

uphold support from the government. .<br />

<strong>Fleet</strong> by Registration<br />

Cayman Islands China Hong Kong Isle of Man Taiwan United States Others<br />

China 77% 14% 4% 3%<br />

Hong Kong 38% 28% 18% 5% 3% 8%<br />

Taiwan 57% 43%<br />

Macau 73% 9% 18%<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

47


COUNTRY PROFILE: GREATER CHINA<br />

China <strong>Fleet</strong> by OEM<br />

Boeing 10 (3%)<br />

Hawker 8 (2%)<br />

Airbus 15 (5%)<br />

Embraer 26 (8%)<br />

Cessna 35 (11%)<br />

Dassault 37 (12%)<br />

Bombardier 80 (26%)<br />

33+26+12+11+8+5+3+2+G<br />

313<br />

Gulfstream 102 (33%)<br />

Hong Kong <strong>Fleet</strong> by OEM<br />

Embraer 3 (2%)<br />

Airbus 1 (1%)<br />

Boeing 5 (4%)<br />

Dassault 7 (5%)<br />

Bombardier 48 (37%)<br />

51+37+5+4+2+1+G<br />

130<br />

Gulfstream 66 (51%)<br />

Taiwan <strong>Fleet</strong> by OEM<br />

Embraer 1 (4%)<br />

Airbus 2 (9%)<br />

Boeing 2 (9%)<br />

Hawker 3 (13%)<br />

Bombardier 6 (26%)<br />

39+26+13+9+9+4+G<br />

23<br />

Gulfstream 9 (39%)<br />

Macau <strong>Fleet</strong> by OEM<br />

Dassault 1 (9%)<br />

Airbus 1 (9%)<br />

Hawker 1 (9%)<br />

Embraer 2 (18%)<br />

37+18+18+9+9+9+G<br />

11<br />

Bombardier 4 (37%)<br />

Gulfstream 2 (18%)<br />

FOR MORE COUNTRY PROFILES VISIT:<br />

WWW.ASIANSKYMEDIA.COM<br />

48<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


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COUNTRY PROFILE: GREATER CHINA<br />

<strong>Fleet</strong> by Model<br />

477 in Total<br />

Airbus 19 (4%)<br />

Boeing 17 (4%)<br />

Bombardier 138 (29%)<br />

Cessna 35 (7%)<br />

8+6+3+1+116+127+24+19+17+12+9+7+6+5+5+4+312+12+4+4+1+1+1<br />

ACJ319 8<br />

ACJ318 6<br />

A319ER 3<br />

ACJ320<br />

ACJ330<br />

BBJ<br />

B787-8<br />

Global 6000<br />

Challenger 605<br />

Global 5000<br />

Challenger 800/850<br />

Challenger 870<br />

CRJ100/200/VIP<br />

Challenger 300/350<br />

Global Express XRS<br />

Challenger 604<br />

Learjet 35/A/36/A<br />

Global Express<br />

Learjet 60/XR<br />

Citation 525/CJ1/+/M2<br />

Citation Excel/XLS/+<br />

Citation S/II/Bravo/II/SP<br />

Citation Sovereign/+<br />

Citation X/+<br />

Citation III/VI/VII<br />

Citation Mustang<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

3<br />

4<br />

4<br />

4<br />

5<br />

5<br />

6<br />

7<br />

9<br />

12<br />

12<br />

12<br />

16<br />

17<br />

19<br />

24<br />

27<br />

50<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COUNTRY PROFILE: GREATER CHINA<br />

Dassault 45 (9%)<br />

Embraer 32 (7%)<br />

Gulfstream 179 (38%)<br />

Hawker 12 (3%)<br />

33+5+3+1+1+1+118+6+3+3+1+1 74+52+17+14+12+6+1+1+1+1 5+2+2+2+1<br />

Falcon 7X<br />

Falcon 900LX<br />

Falcon 2000LX/LXS<br />

Falcon 900/C/DX<br />

Falcon 900EX/EASy<br />

Falcon 2000/DX/EX EASy<br />

Falcon 2000S<br />

Legacy 650<br />

Lineage 1000 6<br />

Phenom 300 3<br />

Legacy 600 3<br />

Legacy 500 1<br />

Phenom 100 1<br />

G550<br />

G450<br />

G200<br />

G650<br />

G650ER<br />

G280<br />

GV<br />

GIV/IV-SP<br />

G100/G150<br />

G300/G350<br />

Hawker 800A/B/850XP/XPI/125-1A<br />

Hawker 400/A/B/Diamond I<br />

Hawker 4000<br />

Hawker 400XP<br />

Hawker 900XP<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

1<br />

2<br />

2<br />

2<br />

3<br />

5<br />

5<br />

6<br />

17<br />

14<br />

12<br />

18<br />

33<br />

52<br />

74<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

51


COUNTRY PROFILE: GREATER CHINA<br />

<strong>Fleet</strong> by Operator<br />

91 Operators in total<br />

33<br />

58<br />

Operators shown represent 84% of the fleet<br />

Operators - 1-2 aircraft each<br />

Deer <strong>Jet</strong><br />

BAA<br />

TAG Aviation<br />

Sino <strong>Jet</strong><br />

<strong>Jet</strong> Aviation<br />

Metrojet<br />

HongKong <strong>Jet</strong><br />

Lily <strong>Jet</strong><br />

China Eastern<br />

China United<br />

Bellawings<br />

CAAC Inspection<br />

Nanshan <strong>Jet</strong><br />

China Ocean<br />

Global <strong>Jet</strong><br />

CAFUC<br />

Executive Aviation<br />

Sparkle Roll<br />

Beijing Airlines<br />

Zetta <strong>Jet</strong><br />

NRSCC<br />

China Zhongfei<br />

EVA Airways<br />

Mandarin Air<br />

Win Air <strong>Jet</strong><br />

Astro Air<br />

Hanergy<br />

AllPoints <strong>Jet</strong><br />

Donghai <strong>Jet</strong><br />

Fortuna <strong>Jet</strong><br />

Gama Aviation<br />

Vision Aviation<br />

Wanfeng<br />

47<br />

47+46+31+30+23+23+22+15+14+13+11+11+11+9+9+8+7+7+6+6+5+5+5+5+5+4+4+3+3+3+3+3+3<br />

3<br />

3<br />

3<br />

3<br />

3<br />

3<br />

4<br />

4<br />

5<br />

5<br />

5<br />

5<br />

5<br />

6<br />

6<br />

7<br />

7<br />

8<br />

9<br />

9<br />

11<br />

11<br />

11<br />

13<br />

15<br />

14<br />

23<br />

23<br />

22<br />

31<br />

30<br />

46<br />

CAFUC: Civil Aviation Flight University of China<br />

NRSCC: The National Remote Sensing Center of China<br />

52<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COUNTRY PROFILE: GREATER CHINA<br />

Top Operator’s <strong>Fleet</strong> by Model<br />

Deer <strong>Jet</strong><br />

BAA<br />

TAG Aviation<br />

Sino <strong>Jet</strong><br />

Metrojet<br />

<strong>Jet</strong> Aviation<br />

HongKong <strong>Jet</strong><br />

Lily <strong>Jet</strong><br />

China Eastern<br />

47+46+31+30+23+23+22+15+14<br />

47 46<br />

31 30<br />

23 23 22<br />

15 14<br />

Total<br />

Airbus<br />

Boeing<br />

Bombardier<br />

Dassault<br />

Embraer<br />

Gulfstream<br />

Hawker<br />

ACJ318 2 1 1 4<br />

ACJ319 1 2 3<br />

ACJ320 1 1<br />

BBJ 2 3 1 3 9<br />

B787-8 1 1<br />

Global 6000 4 9 3 1 17<br />

Challenger 605 1 3 2 3 1 1 1 12<br />

Global 5000 5 1 2 1 2 11<br />

Challenger 800/850 1 3 5 9<br />

Challenger 604 1 2 3<br />

Global Express XRS 1 1 2<br />

Challenger 300/350 1 1 2<br />

Global Express 1 1 2<br />

Learjet 60/XR 1 1<br />

Falcon 7X 4 9 3 1 1 2 20<br />

Falcon 900LX 1 2 1 1 5<br />

Falcon 2000S 1 1<br />

Legacy 650 4 1 5 1 5 16<br />

Lineage 1000 1 1<br />

Legacy 600 1 1<br />

G550 18 9 4 8 8 3 3 53<br />

G450 12 8 3 5 3 3 3 2 39<br />

G650ER 2 5 3 1 11<br />

G200 2 1 1 1 3 2 1 11<br />

G650 1 4 1 2 8<br />

GV 1 1<br />

GIV/IV-SP 1 1<br />

G280 1 1<br />

G300/G350 1 1<br />

Hawker 800A/B/850XP/<br />

XPI/125-1A<br />

2 1 3<br />

Hawker 4000 1 1<br />

Total 47 46 31 30 23 23 22 15 14 251<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

53


COUNTRY PROFILE: GREATER CHINA<br />

Additions & Deductions by Model<br />

+19 in total<br />

New Deliveries<br />

New Deliveries (+34)<br />

Dassault 2 (6%)<br />

Boeing 2 (6%)<br />

Pre-owned (+19)<br />

Deductions (-34)<br />

Airbus<br />

-4<br />

ACJ318<br />

ACJ319<br />

-3<br />

-1<br />

Embraer 4 (12%)<br />

44+32+12+6+6+G<br />

+34<br />

Boeing<br />

+5<br />

BBJ<br />

B787-8<br />

1<br />

1<br />

3<br />

Bombardier 11 (32%) Gulfstream 15 (44%)<br />

Bombardier<br />

+11<br />

Global 6000<br />

Global 5000<br />

Challenger 300/350<br />

CRJ100/200/VIP<br />

Learjet 60/XR<br />

Global Express<br />

-1<br />

-1<br />

-1<br />

-2<br />

2<br />

1<br />

2<br />

1<br />

8<br />

2<br />

Pre-owned Additions<br />

Dassault 1 (5%)<br />

Cessna 1 (5%)<br />

Cessna<br />

Dassault<br />

-3<br />

+2<br />

Citation Excel/XLS/+<br />

Citation 525/CJ1/+/M2<br />

Citation Mustang<br />

Falcon 7X<br />

Falcon 2000/DX/EX EASy<br />

Falcon 900LX<br />

-3<br />

-1<br />

-1<br />

1<br />

2<br />

1<br />

Embraer 1 (5%)<br />

Boeing 3 (16%)<br />

Bombardier 5 (27%)<br />

42+27+16+5+5+5+G<br />

+19<br />

Gulfstream 8 (42%)<br />

Embraer<br />

+5<br />

Legacy 650<br />

Phenom 300<br />

Legacy 500<br />

1 1<br />

2<br />

1<br />

Deductions<br />

Gulfstream<br />

+8<br />

G650<br />

G650ER<br />

G550<br />

G450<br />

G200<br />

G100/G150<br />

G280<br />

GIV/IV-SP<br />

GV<br />

-6<br />

-3<br />

-1<br />

-1<br />

-1<br />

-1<br />

-1<br />

-1<br />

6<br />

5<br />

3 1<br />

1 1<br />

1<br />

5<br />

Cessna 4 (12%)<br />

Airbus 4 (12%)<br />

Hawker 5 (15%)<br />

Bombardier 5 (15%)<br />

44+15+15+12+12+2+G<br />

-34<br />

Dassault 1 (2%)<br />

Gulfstream 15 (44%)<br />

Hawker<br />

-5<br />

Hawker 900XP<br />

Hawker 800A/B/850XP/<br />

XPI/125-1A<br />

-4<br />

-1<br />

54<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


COUNTRY PROFILE: GREATER CHINA<br />

<strong>Fleet</strong> by Age<br />

477 in Total<br />

70<br />

60<br />

50<br />

40<br />

30<br />

20<br />

10<br />

0<br />

1977<br />

1978<br />

1979<br />

1980<br />

1981<br />

1982<br />

1983<br />

1984<br />

1985<br />

1986<br />

1987<br />

1988<br />

1989<br />

1990<br />

1991<br />

1992<br />

1993<br />

1994<br />

1995<br />

1996<br />

1997<br />

1998<br />

1999<br />

2000<br />

2001<br />

2002<br />

2003<br />

2004<br />

2005<br />

2006<br />

2007<br />

2008<br />

2009<br />

2010<br />

2011<br />

2012<br />

2013<br />

2014<br />

2015<br />

<strong>2016</strong><br />

Year of Manufacture<br />

<strong>Fleet</strong> Growth<br />

<strong>Business</strong> <strong>Jet</strong>s in Greater China<br />

Growth Rate<br />

<strong>Fleet</strong> Size<br />

600 60%<br />

500<br />

49%<br />

458<br />

477 482<br />

50%<br />

42%<br />

43%<br />

427<br />

400<br />

379<br />

40%<br />

315<br />

300<br />

28%<br />

25%<br />

30%<br />

211<br />

20%<br />

200<br />

148<br />

20%<br />

118<br />

13%<br />

92<br />

100 65<br />

7%<br />

10%<br />

4%<br />

1%<br />

0 0<br />

2007 2006 2009 2010 2011 2012 2013 2014 2015 <strong>2016</strong> 2017<br />

At the beginning of <strong>2016</strong>, ASG saw a difficult year ahead<br />

for Greater China and forecasted growth of only 5.2% at the<br />

high end, down from 7.3% in 2014. This was also predicated<br />

on China’s macro-economic performance. In the end, GDP<br />

worsened through <strong>2016</strong> and growth for the Greater China<br />

business jet fleet was only 4.2%. Growth was also impacted<br />

by infrastructure issues in Hong Kong which finally started<br />

to influence buyer sentiment, and the Taiwanese market<br />

which failed to deliver the expected growth.<br />

For 2017, ASG predicts growth finally flattening out at around<br />

1% as new deliveries continue to decline and pent up demand<br />

for G650s recedes. The good news is the market shouldn’t<br />

get any worse through 2017 and ASG sees a modest return<br />

to growth in 2018 when the market should also get some<br />

stimulation from deliveries of 8Xs, G500s and G7000s.<br />

ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

55


APP<strong>EN</strong>DIX<br />

SIZE CATEGORY<br />

CORPORATE AIRLINER<br />

ACJ318<br />

ACJ319<br />

ACJ320<br />

ACJ330<br />

Airbus A319ER<br />

Airbus 340-200<br />

BBJ<br />

BBJ2<br />

Boeing 727-100<br />

Boeing 737-400<br />

Boeing 747-400<br />

Boeing 757-200<br />

Boeing 767-200ER<br />

Boeing 787-8<br />

BAE 146<br />

Dornier 328JET<br />

Lineage 1000<br />

LONG RANGE<br />

Global 5000<br />

Global 6000<br />

Global Express<br />

Global Express XRS<br />

Falcon 7X<br />

Gulfstream G500*<br />

Gulfstream G550<br />

Gulfstream V<br />

Gulfstream G650<br />

Gulfstream G650ER<br />

LARGE<br />

Challenger 600/601<br />

Challenger 604<br />

Challenger 605<br />

Challenger 800/850<br />

Challenger 870<br />

CRJ100/200/VIP<br />

Legacy 600<br />

Legacy 650<br />

ERJ135ER/LR<br />

Falcon 900/C/DX<br />

Falcon 900EX/EASy<br />

Falcon 900LX<br />

Falcon 2000/DX/EX EASy<br />

Falcon 2000LX/LXS<br />

Falcon 2000S<br />

Gulfstream II<br />

Gulfstream G300/G350<br />

Gulfstream III<br />

Gulfstream G450<br />

Gulfstream IV/IV-SP<br />

MID-SIZE<br />

Challenger 300/350<br />

Learjet 60/XR<br />

Citation Sovereign/+<br />

Citation X/+<br />

Legacy 500<br />

Falcon 20D/F-5<br />

Falcon 50<br />

Gulfstream G100/G150<br />

Gulfstream G200<br />

Gulfstream G280<br />

Hawker 700A/B/750<br />

Hawker 800A/B/850XP/XPI/125-1A<br />

Hawker 900XP<br />

Hawker 1000A/B<br />

Hawker 4000<br />

LIGHT<br />

Learjet 31/A<br />

Learjet 35/A/36/A<br />

Learjet 40<br />

Learjet 45/XR<br />

Learjet 75<br />

Citation 500/I/SP<br />

Citation CJ2/+<br />

Citation CJ3<br />

Citation CJ4<br />

Citation Encore/+<br />

Citation Excel/XLS/+<br />

Citation III/VI/VII<br />

Citation S/II/Bravo/II/SP<br />

Citation Ultra/V<br />

Phenom 300<br />

Falcon 10<br />

Hawker 400/A/B/Diamond I<br />

Hawker 400XP<br />

Nextant 400XT/XTi<br />

Sabreliner 65<br />

Westwind 1/2<br />

VERY LIGHT<br />

Learjet 24/B/D/E/25B<br />

Citation 525/CJ1/+/M2<br />

Citation Mustang<br />

Eclipse 500<br />

Phenom 100<br />

Premier I/IA<br />

* Gulfstream G500 is a former variant of the G550,<br />

introduced into service in 2004.<br />

56 ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong>


ASIA PACIFIC REGION BUSINESS JET FLEET REPORT – YEAR <strong>EN</strong>D <strong>2016</strong><br />

57


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