Factors influencing change in our markets
The world’s population is expected to reach over nine billion by 2050, an increase of more than two billion from 2015, with growth mainly in urban areas.
Population growth and urbanisation, along with increased a luence, are driving change across our markets – increased demand for flights and larger aircra ; more and di erent cars on the roads; increasing pressure on agriculture to feed the world; and the development of infrastructure in cities. All of these influence our product development and o er signi cant growth opportunities for GKN. There is also a continual drive to improve the fuel e ciency of aircra , cars and other vehicles, while at the same time increasing manufacturing e ciency and product safety. Demand for fuel-e cient solutions remains high due to concerns over CO2 emissions and increasing concerns over air quality. In automotive and agricultural markets, advanced electric and hybrid alternatives are replacing traditional mechanical power. GKN has speci c expertise in electric and hybrid vehicle technology and electrically driven machinery which help our customers meet this challenge. Manufacturers increasingly require lightweight designs and materials. Composite aerostructures and engine components are already relatively common on new platforms, while in the automotive industry, components are continually being designed to reduce weight and size. Development work is under way in both sectors to increase the opportunities for lightweight materials. GKN has signi cant know-how in lightweight materials and increasingly in advanced production technologies that o er the opportunity to optimise product design.
Airbus and Boeing deliveries in 20152
Airbus and Boeing commercial backlog 2
Light vehicle production in 2015
Global population by 2050
Expected growth in global vehicle production 2015-2020
Car and light vehicle production (rounded millions of units)
Europe North America Brazil Japan China India Others Total
1 2 3 4 5 6 UN World Population Prospects, The 2015 Revision. Source: Teal. Source: IHS Automotive. Growth is derived from unrounded production gures. Freedonia Group, World Agricultural Equipment Market, 2014. UN World Urbanisation Prospects, The 2014 Revision.
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Global demand for agricultural equipment in 20185
Growth in world urban population by 20506
GKN plc Annual Report and Accounts