Private jet demand is booming so much  so that companies can't make them   fast enough even used jets are  disappearing from the market. We're here at the Dubai Air Show where some  of the newest and most advanced aircraft   are on display for customers and  governments from around the world. This executive jet has a flight time of 16 hours   meaning you can fly from dubai to  hawaii without having to refuel. The pandemic has converted a lot of travelers  to private flying many for the first time But it's not just that there's been a wealth  boom, especially among the already rich as more   companies go public and the stock market hits  record highs. This chart tracks the number of business jet deliveries since the start of 2019. As IPO activity hit record highs in 2021,   the number of private jets sold spiked along with it. analysts tell me a lot of newly listed companies   Analysts tell me a lot of newly listed companies   are buying their first company jets but the  market's attracting individuals too whether it be   an executive, a startup founder or a lucky crypto  investor with their first hundred million looking  

for a new toy with a high price tag. This is the Dassault Falcon 6X. The price tag? $50 million. In the U.S. business jet takeoffs and landings  are up 40 year on year and are at their highest   point since before the 2008 financial crisis  partly driven by the pandemic as big companies   expanded private jet privileges for their top  executives. The demand for private air travel   has grown so much along with the global supply  chain crunch that some customers are turning to   the used jet market and even then the supply of  second-hand private jets is near record lows too.   If you look at today compared to 2019, the market has almost exploded. I mean 16 percent higher in the U.S., 25 percent higher in Europe  I mean things are really tight in the used   business jet aircraft inventories I  mean the lowest we've seen in years   and yet prices are 20 to 30 percent higher  so it's a really hot market right now. This is Embraer’s flagship Praetor 600. The price tag of about $24.5 million subject to options. Let's take a look inside.  

We've got a mini espresso machine and  here where you can keep the crystal   First-time entrants to the private jet market now  make up over 30 percent of buyers for Brazilian   plane maker Embraer new buyers account for 34 percent of  deliveries year-to-date. I asked Embraer’s chief commercial officer Steven Friedrich what stood out  to him in the market. The addressable market right now for business jets has expanded The pie has gotten bigger and the result is from continued   wealth creation of over 12 percent when you take a  look at the billionaires through the world   but also from what was traditionally been  Fortune 100 and large private companies.   People are looking at ways to become more  productive, more certain in the missions that they   have to perform and that's the key right now is  that private aviation business aviation really is   a productivity tool. And obviously with the longer  flights you want to take a nap you can do that   Next up is the Bombardier Global 7500, VistaJet’s newest business jet.

Vistajet is an on-demand charter flight service  for customers who want to fly private but can   pay by flight hours rather than buying their own  jet if you want to take a trip in this plane it'll   cost you roughly twenty thousand dollars per hour  and you have to buy at least 100 hours per year   but if you want your own global 7500 that'll  cost you between $70 million and $100 million.   Well demand in this industry has been really off  the scale I've been in the industry for 20 years   now I've never seen anything like it and then  you've just seen a huge surge of new customers   coming to the industry and staying.  And if you want some space from the kids, some privacy, soundproof doors. Now we have a classic supply  demand curve this is not enough supply and   demand has been skyrocketing so prices are  going up availability is very very tight   The increase in wealth since the pandemic began  has been visibly unequal with U.S. billionaires   getting approximately 62 percent richer gaining  more than 1.8 trillion dollars since march of 2020

Rising inflation also means prices on just about  everything are going up from basic goods to things   like airplane parts. Private jets were a common  site at the recent COP26 climate summit getting   heat from environmental activists because private  jets carry less people and typically have shorter   ranges compared to commercial flights they have  a disproportionate impact on the environment   a recent report found that private jets are 5  to 14 times more polluting per passenger than   commercial planes.   Say you want something a little  more versatile than your standard executive jet   This is the Cessna Grand Caravan EX.    Pilots call this the SUV of private planes.   It can take off from and land on dirt grass and even water  and because it's a turboprop it actually has   greater fuel efficiency for the distances that  it travels. More carriers are starting to use   sustainable aviation fuel or SAF which generates  80 percent less carbon emissions than fossil fuels   but there are challenges to this too. Those are expensive and hard to get although right now  

there's over 20 locations globally where you can  get sustainable aviation fuels and you look at   companies like netjets and last year they did 2.5  million miles on the sustainable aviation fuels   so i see that as being kind of the next step in  sustainability for business aviation followed by   new programs, new engines and the continuation  of technologies to drive sustainability. Around 14 billion liters of SAF are in forward purchase  agreements and 45 airlines now have experience   using them 100 million liters of SAF will be  produced in 2021 according to the IATA Embraer says it's using SAF among other technologies to  meet its goal of being carbon neutral by 2040.   What we found is we knew it was good for business  to make sure that we had a sustainable product   it's not just the right thing to do, it's also  good for business it's the right thing to do for the company.    So will jet manufacturers ramp up  production to meet the demand? Industry forecasts say no in part because of supply chain issues  but also because of the uncertainty about the  

future of the market. The shortage also helps boost their prices Industry analysts tell me they don't see demand dying down anytime  soon even once the pandemic is over meaning   if you think this pastime is expensive  now you probably haven't seen anything yet.