A year has gone by since the pandemic first hit Europe, and, undoubtedly, we’ve all been affected. The Italian Aerospace & Defense sector is no exception. How has this field been hit and what can we expect going forward?
Structurally, the A&D sector, like any military department, is stronger and more resilient. This is mainly due to the fact that, economically, it deals in longer timetables. For this reason, the real effects of this crisis are difficult to analyze just a year in.
What we can expect, however, is that in the long run, product demand will drop. This, naturally, because of the general financial crisis. Additionally, government budget cuts and new policies may also affect the A&D sector.
Companies, now more than ever, need to monitor and protect their financial flow and enhance their supply-chain so as to conform to this new normal. How can they go about doing that?
These are just the first steps a company can take to survive this pandemic, however long it lasts. Although this year has been difficult, A&D companies have already proven their resilience and strength.
The Italian A&D sector is a beacon of excellency, worldwide; it can’t and won’t be broken by this crisis.
For more information on the effects that COVID has had on the Italian A&D sector, check out this brilliant report by Delloitte that we here at LoVar used to write this post. (The report is in Italian).