Aerospace Channel Check - Farnborough Airshow 2026

研报英文原文证据摘录

Aerospace Channel Check - Farnborough Airshow 2026

UpdateMAlloy products appear particularly well positioned given their use in engines and

other high-performance applications. Stainless steel and alloy producers described

aerospace demand as stable with signs of improvement, while some noted that a

recovery in oil and gas investment, once Middle East tensions conclude, could

eventually compete with aerospace for melting capacity and alloy feedstock. This is

consistent with our A&D team’s discussions with ATI: management believes further

investment will be required to meet expected demand over the next decade, and

intends to focus future spending on titanium capacity for airframes and nickel

capacity for aerospace engines, highlighting where incremental materials demand is

concentrated. Our A&D team also noted that where capacity is constrained,

qualification barriers are high, or capabilities are proprietary, customers are focused

on availability and performance rather than minimising price, which should support

pricing power for alloys producers in our view.

Key Supply Chain Bottlenecks:

Human capital was a consistently cited constraint by the supply chain, reflecting

limited employee availability and the need to attract, train and retain specialist

talent. Companies are still playing catch-up following underinvestment in workforce

development during COVID. This was echoed by StandardAero, which told our A&D

team that labour, not physical infrastructure, was likely to be the main constraint on

further capacity growth.

Qualification creates a further source of structural inflexibility. Aerospace

certifications can take five to ten years, meaning alternative suppliers cannot be

onboarded quickly. Only an estimated ~15–20% of supply requirements are dual-