Trusted Business Insights answers what are the scenarios for growth and recovery and whether there will be any lasting structural impact from the unfolding crisis for the Aerospace Parts Manufacturing market.
Trusted Business Insights presents an updated and Latest Study on Aerospace Parts Manufacturing Market 2019-2026. The report contains market predictions related to market size, revenue, production, CAGR, Consumption, gross margin, price, and other substantial factors. While emphasizing the key driving and restraining forces for this market, the report also offers a complete study of the future trends and developments of the market. The report further elaborates on the micro and macroeconomic aspects including the socio-political landscape that is anticipated to shape the demand of the Aerospace Parts Manufacturing market during the forecast period (2019-2029).
It also examines the role of the leading market players involved in the industry including their corporate overview, financial summary, and SWOT analysis.
Industry Insights, Market Size, CAGR, High-Level Analysis: Aerospace Parts Manufacturing Market
The global aerospace parts manufacturing market size was estimated at USD 907.2 billion in 2019 and is expected to expand at a CAGR of 4.1% from 2020 to 2027. Rising demand for lightweight, new-generation, and fuel-efficient aircraft, owing to the emphasis on reducing greenhouse emissions is predicted to boost the growth.
Replacement of in-service aging aircraft with fuel-efficient aircraft is impelled by rising energy costs, which accounts for a significant share in the operation of commercial airlines. In addition, increasing emphasis to reduce total aircraft weight by using lightweight parts attempting to improve its energy efficiency is likely to have a positive impact on market growth.
The U.S. exhibits the largest market for aircraft parts manufacturing, owing to the presence of established aircraft manufacturing base, coupled with huge potential for aerospace Maintenance, Repair, and Overhaul (MRO) activities. Also, advanced technological capabilities, coupled with airworthiness for the production of superior quality products, including critical aircraft parts, such as wings and fuselage is expected to surge the market growth.
Tier 1 suppliers, such as systems and major structure manufacturers are engaged in the manufacturing of aero engines, turbines, jets, and engine propulsion systems, experience severe pressure from Original Equipment Manufacturers (OEMs). As a result, the industry demonstrates increasing consolidation through tier 1 of the supply chain, owing to rising mergers and acquisitions to reduce the supply chain complexity.
The market has witnessed an inclination toward the incorporation of lightweight materials for aerospace parts manufacturing, on account of improvement in terms of performance and cost-efficiency of the end-use structure. The market participants are exhibiting a preference for lightweight aluminum alloys on account of its superior corrosion resistance and ability to retain strength at high temperatures.
The players operating in the aerospace parts manufacturing market face competition in terms of product quality and design. They are targeting the customers with customized requests to sustain in the market. The major players are likely to adopt emerging technologies such as additive manufacturing to replace the traditional manufacturing process of smaller aircraft components with complex structures.
Product Insights of Aerospace Parts Manufacturing Market
The insulation components segment was valued at USD 22.3 billion in 2019 and is expected to witness the fastest CAGR of 6.3% over the projected period, owing to rapid replacement rate of the products. Rising aircraft MRO activities, owing to the expanding aircraft fleet, is predicted to fuel the demand for these components over the projected period.
Increasing usage of composites for manufacturing fuselage to reduce fatigue maintenance, in high tension loaded environment, is expected to drive the overall cost of aero-structure thereby impacting the market on a positive note. The segment led the market in 2019 and this trend is expected to continue over the forecast period.
Cabin interior manufacturing is estimated to reach USD 117.4 billion by 2027, owing to extensive use of high-strength and lightweight materials. Cabin interiors exhibit less complex structure as compared to airframe parts, however, it demonstrates mechanical requirements set by regulatory authorities, such as stringent fire, smoke, and toxicity limits.
Avionics manufacturing is expected to grow in line with aircraft manufacturing, as they are designed to increase the safety and utility of an aircraft. Actuators account for a major share of avionics manufacturing, as they are used in all the systems of an aircraft including oxygen, air, hydraulic, fuel, and water systems. In addition, actuators are used in flaps, landing gear, and weapon systems.
Commercial aircraft dominated the market for aerospace parts manufacturing in 2019 with a value of USD 467.4 billion in 2019. The segment estimated the highest demand owing to the rise in passenger and freight traffic. Increasing demand for cargo services, with improved trade relations across the globe is expected to drive the segment growth over the forecast period.
The product demand for business aircraft is expected to rise owing to low prices and an increase in the size of the aircraft. Business aircraft are anticipated to boost productivity, as air travel requires less time compared to other modes of travel. This is expected to drive the demand for business aircraft over the forecast period, thereby benefitting the growth.
Increasing demand for advanced composite materials for the manufacturing of innovative fighter planes is expected to aid the market growth. Also, increasing demand for aerospace parts from NATO countries for surveillance aircraft as well as fighter aircraft, owing to rising security threats is anticipated to positively impact the growth over the forecast period.
Increasing government initiatives for space exploration is predicted to benefit growth of the market for aerospace parts manufacturing. Rising demand for drones and Unmanned Aerial Vehicles (UAVs) is expected to play an essential role in the growth. Rising use of unmanned aerial vehicles for military reconnaissance is expected to aid the segment expansion in near future.
Regional Insights of Aerospace Parts Manufacturing Market
North America contributed to over 50% of the total revenue share in 2019, owing to the presence of key aircraft parts manufacturers coupled with the huge aircraft manufacturing industry in the region. Ascending demand for new-generation aircraft is expected to boost the regional growth over the forecast period.
The aerospace parts manufacturing market in U.S. is characterized by the ascending demand for landing gear and other support components, on account of the upward trend of replacing old landing gear with advanced systems. In addition, the rising demand for fixed-wing aircraft in U.S. is anticipated to drive demand.
Asia Pacific is estimated to be the fastest-growing market, registering a CAGR of 6.7% durign the forecast period, owing to the rapid growth of the aviation industry in the region, augmenting the growth of maintenance, repair, and overhaul service market.
Europe is anticiapted to witness stable growth owing to the stability of investments in R&D in the aerospace and defense sector in the region. The market also boasts of a highly innovative and cutting-edge research approach. Rapid rise in the production of cabin interior components is anticipated to drive the regional market growth over the forecast period.
Market Share Insights of Aerospace Parts Manufacturing Market
The market has witnessed an increased competition, on account of the rapid growth of Asian manufacturers. The players compete on the basis of differentiation in technology, design, product performance, and compliance with the customer specifications. In addition, timely product delivery, market goodwill, superior customer service and support, and price also affect the competition.
The key market players often enter into long-term supply contracts with aircraft manufacturers. They also provide customized solutions to the suppliers and aircraft manufacturers. The aircraft manufacturers often monitor the component manufacturing throughout the value chain, from designing the component to its manufacturing in order to ensure its quality.
Segmentations, Sub Segmentations, CAGR, & High-Level Analysis overview of Aerospace Parts Manufacturing Market Research Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis on the latest industry trends in each of the sub-segments from 2019 to 2030. For the purpose of this study, this market research report has segmented the global aerospace parts manufacturing market report on the basis of product, end use, and region:
Product Outlook (Revenue, USD Billion; 2016 – 2027)
Equipment, System, and Support
End-Use Outlook (Revenue, USD Billion; 2016 – 2027)
Quick Read Table of Contents of this Report @ Aerospace Parts Manufacturing Market Trends, Market Research and Industry Forecast Report, 2027 (Includes Business Impact of COVID-19)
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