U.S and Canada See $2.6 Billion in Active Aircraft-Related Projects Despite COVID-19

Researched by Industrial Info Resources (Sugar Land, Texas)--Industrial Info is tracking active aircraft-related projects worth $2.6 billion in the U.S. and Canada, despite COVID-19's effect on passenger air travel and aircraft production.

Click on the image at right for a graph showing active airplane-related projects in the U.S. and Canada, by project type.

Fewer than 100,000 travelers passed through airport checkpoints on several days in April, according to data from the Transportation Security Administration. Stay-at-home orders and travel restrictions have since eased, and the agency saw almost 442,000 travelers on June 17. Although an improvement, that figure is far off from the 2.5 million on the same weekday in 2019.

Boeing (NYSE: BA) (Chicago, Illinois) and Airbus SE (Leiden, Netherlands) -- the world's major manufacturers of large passenger aircrafts -- both have cut production rates due to the COVID-19 pandemic.

Boeing's production of its 737 Max aircraft will resume at low rates later in 2020, the company announced in its first-quarter 2020 earnings release. In addition, production of its 787 aircraft will be reduced from 14 per month to 10 per month this year, and gradually reduced to seven per month by 2022. Similarly, Airbus has cut production on several programs, and is looking to hold its output at 40% below pre-pandemic levels for two years.

Airbus accounts for four projects out of the active U.S. and Canadian airplane-related projects in Industrial Info's database:

• a A $300 million expansion at its A220 aircraft assembly plant in Mobile, Alabama, scheduled for completion at the end of June; see project report
• At the same plant, a $43 million calibration hangar addition, designed to support increased output of the A320 family of aircraft; see project report
• Under its umbrella, Airbus Helicopters (Marignane, France), 2021 and 2022 maintenance programs at its helicopter assembly and manufacturing plant in Columbus, Mississippi; see 2021 and 2022 project reports

American Airlines Incorporated (NASDAQ:AAL) (Fort Worth, Texas) is looking toward the highest-dollar project: a $550 million expansion at its maintenance, repair and overhaul facility at the Tulsa International Airport in Oklahoma, to support newer and larger jets in its fleet. This project is expected to kick off in March 2021, with completion in October 2022. For more information, see Industrial Info's project report.

Meanwhile, Canada is home to Bombardier (Montreal, Quebec), a leading manufacturer of business and specialized airplanes, like those for search and rescue and surveillance. Its $350 million global business jet assembly plant in Mississauga, Ontario, is designed to produce a new family of jets, along with two continuing series. Kickoff is scheduled for August, with completion in October 2023. For more information, see Industrial Info's project report.

Also in Mississauga is Cyclone Manufacturing Incorporated's assembly line addition at its aircraft part and processing plant, which is set for kickoff in March 2021. For more information, see Industrial Info's project report.

The defense-related project with the highest investment value being tracked by Industrial Info belongs to BAE Systems Incorporated and its $45.5 million precision munitions and aircraft equipment manufacturing plant in Huntsville, Alabama. The 83,000-square-foot facility will include engineering development, manufacturing and laboratory space that will support the U.S. Department of Defense. Construction kicked off in October 2018 and is scheduled to end in September. For more information, see Industrial Info's project report.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com.