In this episode of the Advanced Manufacturing and Mobility Business Minute podcast, Raman Ram and Mike Cadenazzi discuss what lies ahead for the aerospace and defense (A&D) sector. While the war in Ukraine continues to drive innovation in the defense industry, defense spending in the US and across Europe has been restrained as countries prioritize reducing deficits accrued during the COVID-19 pandemic. On the commercial aerospace side, airlines and major network carriers are seeking to clear debt from their balance sheets in anticipation of expected increases in air travel demand.   This recurring theme of fiscal prudence was also evident in the number of orders placed at Paris Air Show 2023, which came in less than industry analysts had been expecting. At the same time, the US is investing more money into its industrial base to build a new fleet of submarines, and is also making significant investments in ammunition production to support Ukraine. Will these investments open the door to more robust defense spending in the face of ongoing geopolitical uncertainty?  The podcast also includes perspective from EY Americas A&D Leader Raman Ram and EY Americas A&D Managing Director Mike Cadenazzi on the readiness of the supply chain to support stronger levels of production in both the defense and commercial aerospace sectors. Key takeaways: Air traffic demand is projected to double by 2040. Per passenger profits have increased to over US$2, after being in the negative in 2022. Competitive intensity in the A&D sector is not bringing down the yield. Supply chain will play a pivotal role in the ability of A&D companies to meet market demands.