INDUSTRY REPORT
Image : Shutterstock . com .
Image : Bell Textron , Inc .
US $ 308.67 billion in 2023 to US $ 369.24 billion in 2024 at a compound annual growth rate ( CAGR ) of 19.6 %.
“ The aerospace market size is expected to see strong growth in the next few years . It will grow to US $ 461.93 billion in 2028 at a compound annual growth rate ( CAGR ) of 5.8 %. Anticipated growth is propelled by increased commercial drone demand , emerging economies and rapid technological advances . Key trends include smart materials in aircraft manufacturing ; VR
investments for efficiency ; multiphysics simulations for simplicity ; machine learning and advanced features adoption ; the shift to mid-sized twin-engine planes and investments in cloud-based platforms ,” said the analyst .
Anticipated economic growth in emerging economies is also poised to have a positive impact on the commercial aircraft manufacturing market , according to the analyst . The rise in disposable income resulting from economic expansion in emerging markets is expected to fuel the demand for air travel .
“ The escalating demand for commercial aircraft stands as a significant catalyst propelling the aerospace market ’ s expansion . Commercial aircraft , specifically designed for transporting passengers or cargo for profit , play a pivotal role in the aerospace industry . Commercial aircraft drive innovation within the aerospace sector , with companies continuously developing new technologies to enhance aircraft performance , reduce operational expenses and ensure safety standards ,” it commented .
Major players within the aerospace industry are strategically establishing technology hubs to gain a competitive advantage . Aerospace technology hubs serve as centralised locations that bring together technology-driven companies , startups and various entities operating
Major players within the aerospace industry are strategically establishing technology hubs to gain a competitive advantage .
Image : Shutterstock . com .
within the aerospace sector . Digital technologies , such as machine-learning techniques and artificial intelligence ( AI ), help to improve aircraft safety and quality as well as improve manufacturing productivity .
Aerospace parts manufacturing
“ The global aerospace parts manufacturing market size was estimated at US $ 913.13 billion in 2023 and is expected to grow at a compound annual growth rate ( CAGR ) of 4.2 % from 2024 to 2030 . The market is growing on account of the rising passenger traffic , especially in Asia Pacific and Middle East & Africa , and is expected to drive the demand and production of aerospace parts over the coming years . Increasing demand for lightweight and fuel-efficient aircraft to reduce greenhouse gas ( GHG ) emissions is positively influencing industry demand ,” commented analyst , Grand View Research .
The expansion in air passenger and air freight volume worldwide , against a backdrop of economic growth in emerging countries and considerable developments in commercial aerospace , are expected to drive industry growth . An increase in air travel and transport is presumed to propel the demand for manufacturing of aerospace parts that are used in aircraft . This growing demand for transportation is expected to stimulate aircraft production which , in turn , is expected to result in an extension of contracts between aerospace parts suppliers and aircraft manufacturing companies . In addition , increased defence spending to reduce operational costs and improve the efficiency of aircraft is anticipated to create opportunities for innovation , which is expected to boost technological advancements in the industry .
The growth of aircraft maintenance , repair and overhaul ( MRO ) services has also played a crucial role in driving market growth .
“ Aircraft are durable assets and typically remain in service for two or three decades . As the cost to retain and operate the aircraft exceeds the profits generated , they must be replaced . New-generation aircraft and aerospace parts provide improved range and payload capability ,
ISMR December 2024 / January 2025 | ismr . net | 29