Archive for the ‘Airbus’ Category

Euphoria of Obama’s Election Victory Fades Fast: Markets Down 10%; Toyota Says Auto Crisis “Unprecedented”

November 6, 2008

Toyota Motor slashed its profit forecast Thursday, warning the global auto industry faces an “unprecedented” crisis as Asian stocks tumbled on fears the US is sinking deeper towards recession.

The Japanese giant became the latest automaker to reveal plunging profits due to the financial crisis, following on the heels of BMW, Nissan and Honda.

From Breitbart

The headquarters of German luxury carmaker BMW are pictured ... 

Toyota , vying with General Motors for the title of the world’s top automaker, cut its annual profit forecast by more than half after a terrible year so far.

It now expects a 68 percent plunge in net profit to 550 billion yen (5.6 billion dollars) — the first drop in nine years.

“The financial crisis is negatively impacting the real economy worldwide, and the automotive markets, especially in developed countries, are contracting rapidly,” Toyota executive vice president Mitsuo Kinoshita said.

“This is an unprecedented situation.”

Elsewhere in the transport sector, European aircraft manufacturer Airbus warned it expects a sharp reduction in new orders in 2009 as the global economy slows.

Airbus A380.jpg

Amid the gloomy news, Asian stock markets fell heavily. Japan’s Nikkei stock index plunged 6.53 percent even before the Toyota warning, which came after the close of trade.

The drop wiped out gains seen a day earlier on hopes that US president-elect Barack Obama will get to work on fixing the world’s largest economy in the face of the worst financial crisis in decades.

“Now that the event is over, investors are sobering up and looking at the economic gloom,” said Mizuho Investors Securities broker Masatoshi Sato.

Seoul ended with a loss of 7.6 percent while Sydney shed 4.3 percent. Hong Kong shares were down 6.4 percent at midday.

The sharp falls came after the Dow Jones index slid 5.05 percent on Wall Street on Wednesday as investors braced for a gloomy economic ride after the euphoria of Obama’s election victory faded.

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http://www.breitbart.com/article.php?id=081106082217.v53hc2v7&show_article=1

China’s Big Airshow This Week is About Aviation’s Future

November 3, 2008

The giants of the aerospace industry will jet in to China‘s only international airshow starting Tuesday hoping the country’s aviation sector can provide shelter from the global financial crisis.

by Guy Newey, AFP

US manufacturer Boeing and Europe’s Airbus will head the line-up of 600 civil and military manufacturers and parts suppliers from 35 countries at the 2008 China Airshow, an annual event in the southern city of Zhuhai.

And as airlines across the world report a drop-off in first and business class travel due to the economic turbulence, the firms will be looking to China to provide crucial growth in the next few years.

“China is going to be the fastest-growing market in the world,” Wang Yukui, the spokesman for Boeing in China, told AFP.

An Air China plane lands at Beijing's international airport. ... 
An Air China plane lands at Beijing’s international airport. The giants of the aerospace industry are set to jet in to China’s only international airshow hoping the country’s aviation sector can provide shelter from the global financial crisis.(AFP/File/Peter Parks)

Research released last week by the US giant found China will need 3,710 new commercial planes worth 390 billion dollars over the next 20 years.

The demand will represent 41 percent of the entire Asia-Pacific market, and only the United States will be a bigger buyer, Boeing said.

In addition, Chinese carriers will add about 370 freight-carrying planes by 2027, quadrupling their total freighter fleet, the Boeing research found.

Airbus chief executive officer Tom Enders also said recently it was expecting a “large order” from Chinese airlines by early 2009, on top of existing memorandums of understanding with Chinese carriers for 280 aircraft.

The company’s giant superjumbo, the A380, will be on display at the China Airshow, as the company tries to take a bigger slice of the thriving market.

In 2007, China’s air traffic soared 16.8 percent to 387.6 million passenger trips, on the back of 16.7 percent growth in 2006, state media reported.

The demand has sparked a similar boom in airport construction, with around 100 new airports planned by 2020, previous reports said.

Nevertheless, China’s aviation sector starting to feel the impact of the global economic turmoil, according to Tom Ballantyne, chief correspondent of industry magazine Orient Aviation.

“Although we are not talking about a cessation of growth, we are talking about a slowdown in growth,” he told AFP.

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http://news.yahoo.com/s/afp/20081103/bs_afp/finance
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