Sponsored by: Investment Center

Something new in your business?  Click here to submit your business press release

Chamber Corner | Main Street News | Job Hunt | Classifieds | Calendar | Illinois Lottery 

Civil aviation seen leading U.S. aerospace growth next year

Send a link to a friend 

[December 19, 2013]  WASHINGTON (Reuters)  The U.S. aerospace and defense industry expects sales to grow modestly in 2014, helped by the civilian sector, after a relatively flat performance in 2013 under the shadow of budget cutbacks, the industry's chief trade group said on Wednesday.

The Aerospace Industries Association forecast sales of $232.1 billion in 2014. That is up from $220.1 billion this year, which in turn will be down slightly from $222 billion in 2012.

Civil aircraft sales are seen rising to $72.1 billion in 2014, up from $67.0 billion this year.

U.S. aerospace exports grew by $12.5 billion this year, resulting in a $73.5 billion favorable balance of trade for the industry, up from $65.7 billion in 2012, the AIA said in its annual report. Export growth is forecast for the next several years due to a large backlog of civil aircraft orders.

Industry employment is forecast to have declined by 13,000 jobs to a total of 618,200 employees.

U.S. budget cuts, including the across-the-board cutbacks known as sequestration, are "clearly hurting our industry's skilled and professional workforce and ultimately may stifle U.S. global competitiveness," the group said.

[to top of second column]

The association said its major concern is erosion of the industry through further federal budget cuts called for through 2021  about $1.2 trillion in deficit reduction, of which $500 billion would be absorbed by defense spending.

(Reporting by Jackie Frank; editing by Ros Krasny and Jan Paschal)

[ 2013 Thomson Reuters. All rights reserved.]

Copyright 2013 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

< Recent articles

Back to top