TIA’s Vice President of Military / Aerospace Segment, Gia Hayes, outlines factors that manufacturers need to be prepared for during post-pandemic disturbances and growth.
These are unprecedented times for commercial spaceflight. In addition to the widely touted SpaceX, Blue Origin and Virgin Galactic flights, smaller companies are looking to gain market share, including small satellite vendor Rocket Lab and launch vehicle company Astra Space.
At the same time, we are seeing new investments and innovations from industry leaders such as Boeing and Northrop Grumman. These contributions include missiles, engines, cargo / crew spacecraft, defense systems and the technologies that support them.
This competition to bring future people and vehicles into low Earth orbit has the potential to make science fiction dreams a reality.
For example, with NASA’s recent announcement that the International Space Station will be decommissioned after 2030, new space stations such as Blue Origin’s orbital reef concept may begin to move us toward the dream of more people living and working in space. .
This period of boom in space flight will have far-reaching impacts beyond commercial space, creating a new demand for components with nice specifications and space classes beyond anything we’ve experienced before.
Another factor to consider is the speed of recovery in commercial air. We still do not know how quickly business travel will return to pre-pandemic levels, nor do we know how quickly aircraft production will increase.
Current trends seem to suggest that demand for one-way and regional aircraft will continue to recover, reaching pre-pandemic levels much earlier than wide-body aircraft. While everyone agrees that there are still many challenges to overcome, most of TTI’s customer base expects some growth in 2022.
The resumption of air transport will lead to new streams of revenue from after-sales services. Warehouse depletion checks and decommissioning maintenance continue to lead to a gradual secondary market in 2022, which may deplete existing inventory.
Even for components with shorter lead times, the rapid increase in aircraft production along with high demand from commercial space and defense can lead to delays in manufacturers’ programs. With the current long delivery times for capacitors and other critical parts, this combination could create a new wave of uncertainty and complications in the supply chain.
Now is the time for buyers to make sure their company has strong partnerships and guarantees the supply of components. As a dedicated distributor serving the defense and aerospace industries, TTI works with customers to make sure they understand the current state of the supply chain and help them plan for market conditions.
In response to disruptions in the pandemic supply chain, TTI encouraged customers to share forecasts – by part number – to ensure they stay up to date with realistic deadlines and inventory positions.
In addition, while we often hear that customers have inventory available that needs to be consumed, we also want to make sure that demand during this critical period is as accurate as possible.
Robust planning and partnerships can now position businesses to make the most of the recovery and growth in space, aviation and defense we expect.