TRANSPORT EQUIPMENT

(Very) far cry from pre-crisis levels

S

Sensitive risk for entreprises

  • Fragmentation

  • Internationalization

  • Capital Intensity

  • Profitability

  • Fragmentation

  • Internationalization

  • Capital Intensity

  • Profitability

  • Good level of margin usually reckoning with the high value added products of the industry, notably aircraft
  • Surge in people’s mobility across the APAC region considered as the future growth driver for the sector
  • Government support through defense expenditure on the rise
  • US president Biden’s stimulus package of USD1.9trn in new infrastructure to bolster transport equipment
  • Aircraft manufacturing taking advantage of an alluring situation of duopoly
  • Skyrocketing R&D costs in developing new transport equipment models
  • High level of indebtedness among railway and aircraft manufacturers
  • Stringent government rules regarding greenhouse gas emissions that zero in on heavily polluting transport equipment models
  • Aircraft and ship manufacturing along with their supply chains jeopardized by the pandemic fallout

Key players

Country Role Sector risk
China

#1 Market by revenue

C

Sensitive risk

United States

#2 market by revenue

C

Sensitive risk

Germany

#3 market by revenue

B

Medium risk