The aircraft parts market involves the production and sales of parts for both commercial and military aircraft. Key parts include aircraft engine components, fuselage, wings, flight control surfaces, landing gear, and others. There is an increasing need for aircraft parts as new aircraft are being procured and the existing fleet is undergoing maintenance and replacement of old parts. Commercial air travel has seen steady growth in recent years, prompting airlines to purchase new aircraft and retire older models. On the military side, defense budget increases are driving procurement of new-generation fighter jets and aircraft fleets.
The global aircraft parts market is estimated to be valued at US$ 876.92 billion in 2031 and is expected to exhibit a CAGR of 5.1% over the forecast period 2024-2031.
Key Takeaways
Key players in the aircraft parts market – Key players operating in the aircraft parts market are Airbus Group, Alcoa Corporation, Arconic Corporation, Boeing, Bombardier Inc., Collins Aerospace, Elbit Systems Ltd., Teijin, Lockheed Martin Corporation, and Triumph Group, Inc. These companies collectively hold a major share of the market.
Key opportunities in the market – Growing procurement of new-generation aircraft by commercial airlines and militaries worldwide presents lucrative opportunities for aircraft parts manufacturers. Demand for fuel-efficient and lightweight parts also opens up opportunities to develop and supply advanced materials.
Global expansion of key players – Leading aircraft parts manufacturers have enhanced their global footprint through acquisitions and partnerships with other players. They are expanding into high-growth aviation markets like China, India, Middle East and others to tap the rising demand.
Market drivers – Increasing procurement of new commercial and military aircraft worldwide is a key driver as it fuels the need for replacement of parts in the existing fleet. Rising air passenger traffic is also driving more aircraft orders.
Market restrain – High material and production costs associated with aircraft parts make the industry highly capital intensive. Strict regulatory approvals and quality standards also restrain entry of new players in the market.
Segment Analysis
Engines are the dominating sub-segment in the aircraft parts market. Engines require frequent servicing and repairs during the aircraft lifecycle due to wear and tear from continuous operations. Additionally, engine manufacturers provide upgrade solutions to enhance fuel-efficiency and reduce maintenance costs, which drives the aftermarket demand for engine components. Avionics systems are also gaining traction in the aircraft parts market. Advancements in avionics allow for improved navigation, situational awareness, and communication capabilities. Key players are focusing on developing more electric and connected avionics solutions to meet future requirements.
Global Analysis
North America is currently the fastest growing region in the global aircraft parts market. This is attributed to factors such as an increase in aircraft deliveries from key manufacturers like Boeing and Airbus and a rise in aftermarket spending from mainline carriers in the region. Commercial aircraft operators in North America are actively replacing or upgrading older narrow-body and wide-body aircraft with new fuel-efficient models. Additionally, the presence of global parts suppliers and MRO companies in the region drives the market. The Asia Pacific region exhibits high growth potential in the coming years, supported by strong economic growth, expansion of low-cost carriers, and rising tourism across countries like China and India.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
