(CNN) — Order books may have been slower to open, but optimism has reigned at the Singapore Airshow this week given the bright prospects for aviation growth in the region.
More than 650 delegates from around the world made their way to Asia's largest air show for four intense opening days of showcasing their products to the world.
This year, the Changi Exhibition Center boasts the largest display of static aircraft since its first edition, with over 60 commercial, private, military and experimental aircraft.
The biannual show is being held February 16-21, just five months ahead of the Farnborough Airshow in London -- the world's second largest -- which marks its 50th show in July.
Executives worried? Naaaah
Orders and agreements are never as big in Singapore as in London or Paris (Le Bourget), but the economic significance of this show is paramount for the Asia-Pacific commercial aviation and defense industry.
In 2014, more than $32 billion in orders and agreements were signed in Singapore (a 3% increase over 2012), but expectations for this year's show remained low as rumors of an upcoming aerospace downturn have been floating in the air.
"Some people are saying we're in the middle of a bubble," Airbus COO John Leahy said at a press conference. "But reality is, the only thing that worries me is to not be able to deliver the aircraft our customers have ordered."
Airbus CEO Fabrice Brégier says falling oil prices around the world have no impact on aircraft industry.
In fact, both Airbus and Boeing have strong backlogs and even though sales have been weak during the past year, optimism remains high at both manufacturing houses as the number of airplanes they have to deliver is, in Leahy's words, large.
Boeing CEO Dennis Muilenburg agreed that worries of an upcoming crisis are unfounded.
He said aircraft demand will increase at a much faster pace than economic growth, as income and urbanization will continue to rise in Asia.
Embraer's CCO John Slattery concurred, saying demand for new regional jets in the Asia-Pacific region will escalate to 6,350 new aircraft by 2020.
Asia to be aviation epicenter of the world ... just not yet
Most of this growth will be powered by China, where urbanization and middle-class growth will require an enhanced aviation infrastructure.
"By 2025, there will be 200 mega-cities in China," said Andreas Meisel, COO of the Ameco Beijing maintenance/repair (MRO) center, at the Asia Business Forum on the show's second day.
"Each of these cities will need to be connected by air and rail, and this needs to be properly forecasted by both airplane manufacturers and the Chinese government."
Asia is, in fact, becoming the aviation epicenter of the world.
Both mainline and low-cost carriers (LCC) are introducing new routes and demand continues to rise.
Aircraft manufacturers and MROs are heavily investing in the region.
Airbus has an A320 final assembly line in Tianjin, China, while Boeing produces key parts for its several programs at different locations throughout Asia, and expects to build a 737 completion center in China as well.
The Brazilian regional jet manufacturer, Embraer, also sees big opportunities in Asia.
"One of every four Embraer aircraft will be delivered to the Asia-Pacific region in the next 10 years," Mark Dunnachie, VP Asia Pacific, said at a press briefing.
"We have the momentum of 176 sales and over 100 deliveries in 2015 -- a strong 60% market share in the regional jet segment."
Dunnachie said Embraer plans to improve on the current LCC model in Asia, which he called unsustainable and in need of change.
"Direct connectivity is key for the development of air transport in the Asia-Pacific region," he said. "For those who travel from A to C, they have to go via B."
That's not a practical solution for the traveler, he said.
"Direct connectivity is a must, and Embraer will provide that solution."
Military aircraft is a big part of the show: visitors got a chance to inspect this Singapore Air Force AH-64D Apache Longbow helicopter,
Fuel-efficient aircraft no longer hot properties
The recent rout in oil prices have taken a bite out of the sales prospects of all new, fuel-efficient aircraft, evidenced at the recent Dubai Air Show and now in Singapore.
Vinay Bhaskara, senior business analyst at Airways Magazine, notes that the impetus for new fuel-saving technologies came at a time when oil prices were above the $90/barrel mark.
"The Boeing 737 MAX and Airbus A320neo technologies offer cash savings in operating cost per seat miles of up to 8% (about $3 savings per gallon) against its preceding technology," he says. "With current fuel prices, airlines are looking at pricing and capital deployment rather than fuel-saving capabilities."
In other words, fuel-efficient aircraft have shifted from being essential purchases to nice-to-haves.
And that's being reflecting in the order books.
New orders for some aircraft
Both Boeing and Airbus secured small, yet significant orders in Singapore.
The American-based builder announced a commitment for 12 Boeing 737s (eight -8 MAX, three -9 MAX and one -900ER) with China's first privately owned airline, Okay Airways.
In the announcement, Boeing CEO Ray Conner noted that the Beijing-based carrier became the first in its country to launch the 737-9 MAX.
That airplane has been unsuccessful in the competition against the Airbus A321neo -- what Airbus' Leahy called "the airline's favorite."
Leahy, in fact, took the opportunity to poke Boeing's chest: "I know the 'paper airplane company' in Seattle loves to talk, I could give Boeing some advice on how to fill that hole," referring to Airbus's 68% dominance in the neo vs. MAX programs.
Airbus, for its part, announced an order for six A350-900s from Philippine Airlines, which will expand the airline's reach into the United States and Europe.
The airline signed a memorandum of understanding worth $1.8 billion at list prices.
In addition, the Toulouse-based manufacturer announced that an undisclosed customer ordered 14 A330-900neo, bringing up the count to 186 aircraft for the new re-engined A330 program backlog.
Mitsubishi regional jet moves
In the regional jet segment, Miami-based Aerolease Aviation signed a letter of intent (LOI) for 10 Mitsubishi Regional Jets (MRJ) and options for 10 more.
This deal marks the first order for brand-new aircraft for the leasing company, which had specialized in dealing used cargo aircraft in the past.
It's the first leasing company to show interest in the MRJ program.
In the turbo-prop segment, Aviation PLC -- a leasing company based in Singapore --ordered five ATR 72-600s turbo props, valued at $130 million.
"The ATR is a superb aircraft for lessors," said Patrick de Castelbajac, CEO of ATR. "Our success among leasing firms underlines our product's ability to consolidate and expand regional connectivity in different operational environments."
New life for old planes and long-haul routes
South Korea's Black Eagles created a Ying and Yang logo during the Singapore Airshow.
Its Canadian counterpart, Bombardier, announced a new 90-seat variant for its Q400 turboprop program, to enter service by 2018.
No similar aircraft in the market will have such capacity for passengers and cargo.
Bombardier also announced that Air Canada signed an LOI to purchase 75 CS300 aircraft, which includes 45 firm orders and 30 options with substitution rights to the smaller variant, the CS100.
This order gives life to the suffering CSeries program, which hadn't seen any firm orders since September 2014.
British engine manufacturer Rolls-Royce said a new variant of its successful Trent XWB engine will fly with Singapore Airlines on its A350s.
The carrier plans to take delivery of its first A350-900 in 2019.
That plane will begin flying nonstop to the United States, resuming the airline's direct flights to Los Angeles and the world's longest to New York, both suspended in November 2013.
Rolls-Royce says the new engine, with enhanced performance, will offer a 1% improvement in fuel burn over the preceding version.
The British manufacturer claims to have a 50% market share in global orders for widebody aircraft engines.
CEO seeks compensation from Airbus
Qatar Airways and its controversial CEO, Akbar Al Baker, were at the show with the airline's two newest airliners, the Airbus A380 and A350.
Al Baker told reporters he's seeking compensation from Airbus after rejecting the delivery of the first A320neo powered by Pratt & Whitney's PW 1100GTF engines in December because of alleged cooling issues.
Al Baker said PW is a long way from providing a solution, and until then the airline will not take delivery of the aircraft.
Despite the low number of orders and commitments, there was an overall feeling that the aviation industry in the region is booming and there's nothing but a bright future ahead for airlines, manufacturers and MRO businesses.
All eyes remain on Farnborough in July, where perhaps Boeing could announce its long-waited middle-of-the-market airliner, and Airbus could decide on a larger A350, adding a new page to this never-ending competition story.