Post-Pandemic Travel Surge Demands New Airport Infrastructure
The COVID-19 pandemic caused travel to the top 10 most impacted cities in the world to decline by 80 percent in road travel. But post-pandemic aviation surged—up 37 percent in 2023 compared to 2022. Flight volume is forecasted to surpass pre-pandemic demand and reach a new all-time high of 40.1 million global flights in 2024 (see chart).
Considering this return to travel and the spike in projected demand, the need has arisen for airports to review their aging infrastructure. According to the Airports Council International–North America, terminals in the United States are on average almost 50 years old. Aging infrastructure, coupled with new federal investment, means opportunities for engineers. The Airport Infrastructure Grants program allocates $25 billion toward terminal expansions, baggage system upgrades, and runway safety enhancements.
The Federal Aviation Administration is awarding $970 million to 114 airports and $187 million in grants for modernization efforts (see below for a list of the top 10 airports by total initial funding available in fiscal year 2024). A statement released in May by the U.S. Department of Transportation quotes Transportation Secretary Pete Buttigieg: “The funding we’re announcing today will help 91 airports make critical upgrades to improve travel and further modernize our aviation infrastructure.”
Post-pandemic consumer demand, aging infrastructure, and an influx of federal funding aren’t the only drivers in the aviation industry. Technological advancements aimed at improving the customer experience will also drive global airport investment to reach $2.4 billion by 2040, at a compound annual growth rate of 14.4 percent.
