CFM sees strong demand over 20 years, inflation to pressure raw material prices
CFM International forecast strong aircraft demand over the next two decades, but expressed concern over the pressure on raw material costs as production hits new records (Reuters, 19-Jun-2011). "We don't see pressure from shortages of raw materials, but we do on price as we get into an inflationary environment," Executive VP Chaker Chahrour said. The company has forecast that airlines would require 35,000 aircraft in the next 20 years, two thirds of them in the narrowbody B737/A320 class. Half of these will be to replace existing aircraft, the company forecast. CFM has already acquired its supplies of high-strength titanium for use inside its engines for the next two years. CFM also stated it would announce "a lot of good news" on CFM Leap engines for the A320neo at the Paris Air Show.