Defence budgets in traditional markets are under pressure with lower budgets anticipated for the next few years, says a report by Deloitte Touche Tohmatsu (DTTL). The midyear outlook for the global aerospace and defence sector says there would be an upswing in sales and production in commercial aircraft, principally due to the popularity of single-aisle aircraft.
The maturing economies of China, India, and the West Asia are expected to take a higher percentage of commercial aircraft sales and deliveries.
?As India, Saudi Arabia, Brazil, and the UAE face security threats, new market opportunities arise for global defense contractors,? according to Tom Captain, Global Aerospace & Defense sector leader, DTTL.
India in particular represents a near-term opportunity for global defense contractors. ?With increasing security requirements for more sophisticated weapons systems, overseas players could leverage programmes within the Indian aerospace, defence, and security industries to gain a cost advantage,? said Captain.