The global A&D industry will strengthen in 2018 as revenues are forecasted to increase by 4.1 percent, doubling last year’s 2.1 percent growth. The recovery of global gross domestic product (GDP), stable commodity prices, and heightened passenger travel demand are likely to ramp up growth in the commercial aircraft sector in 2018. On the defense sector side, heightened global security threats as well as higher defense spending from other major regional powers such as India, China, and Japan are likely to drive global defense sector revenue growth in 2018 and beyond.
This outlook reviews the performance of the A&D industry in 2017 and forecasts its growth in the coming years. It also outlines performance across major A&D markets and discusses trends that will impact the industry. The report forecasts the mergers and acquisitions activity in 2018 that lays the foundation for further growth in this space.