On the Radar:
Economic Environment

Richard Nadeau, Chief Financial Officer

On the radar May 25, 2023
The aerospace industry is at a crossroads. Our sector must react to a number of external events and adjust its business strategies accordingly. This is why I believe that significant changes are underway.

First, the pandemic has imposed a reality check to the aviation industry as it went through a significant business downturn. Airlines and other businesses shifted their focus on cost control and tight expense management. As a result, they started doing more with less and I believe this should have an impact on the ongoing consolidation of the aviation industry.

In the last months, the highly uncertain economic environment has brought along additional challenges. The airlines will need to find creative ways to maintain profitability while the inflation and the risks of a recession are rising.

In this context of economic uncertainty and volatility, the aviation industry is also under pressure to go green. All aerospace stakeholders are solicited to reduce their environmental footprint throughout the supply chain, including airlines and airports.

These factors, although challenging, are making our industry smarter. We are now focusing on efficiency and new ways of doing business. Innovation will continue to be a driving force to take aviation to the next level. From the automation of processes to new sources of energy that are less harmful to the environment, these changes should bring economic benefits to all stakeholders.

At Aeromag, we fully endorse these challenges through innovative thinking and our strategic vision to be a carbon-neutral company by 2035. To make this happen, we are investing in the electrification of our deicing fleet as well as constantly improving our glycol recycling technology.

Over the years, we have been proactive in offering innovative solutions to recover, recycle and reuse glycol, and we truly feel that our message is being heard. Industry stakeholders – airports, airlines and other service providers – understand that Aeromag can help them reduce their environmental footprint and therefore contribute to achieving their goals.

The aerospace industry will continue to face significant yet exciting challenges in the future and Aeromag is fully committed to meeting them with its innovative and positive leadership.