The aircraft parts market involves the manufacturing of a wide range of components and spare parts that are used in aircrafts for ensuring optimal performance and safety. Key product types include engine parts, airframe parts, avionics, landing gear parts and interiors among others. Aircraft parts play a critical role in maintaining and improving aircraft reliability and reducing maintenance time and costs. 3D printing technology is revolutionizing the manufacturing of aircraft parts by enabling the production of complex shapes, reducing weight and lead times.
The Global Aircraft Parts Market is estimated to be valued at US$ 688.63 Bn in 2023 and is expected to exhibit a CAGR of 5.1% over the forecast period 2024-2031. 3D printing technology is enabling aircraft OEMs and MRO companies to develop optimized, functional and durable aircraft parts with reduced lifecycle costs.
Key Takeaways
Key players: Key players operating in the Aircraft Parts Market include Airbus Group, Alcoa Corporation, Arconic Corporation, Boeing, Bombardier Inc., Collins Aerospace, Elbit Systems Ltd., Teijin, Lockheed Martin Corporation, and Triumph Group, Inc. These companies are investing heavily in 3D printing to drive innovation and efficiency in aircraft parts manufacturing.
Key opportunities: Increased spending on aviation infrastructure development globally and the procurement of new generation aircraft by airlines are expected to drive the demand for aircraft parts over the forecast period. 3D printing is also opening up opportunities for on-demand and customized manufacturing of parts.
Technological advancements: The use of advanced materials like titanium and nickel-based superalloys for 3D printing aircraft parts has increased their strength and corrosion resistance. Additive manufacturing enables the production of parts with embedded electronics, reducing assembly steps. Data analytics is also being used to improve part design and predict maintenance needs.
Market drivers
Growth in global air passenger and cargo traffic: Continued growth in global air traffic is necessitating the purchase of new aircraft as well as MRO activities, boosting the demand for aircraft parts. Increasing international trade is driving cargo volumes.
Fleet modernization programs by airlines: Airlines are replacing aging fleets with newer aircraft featuring advanced systems. This is promoting the replacement of older generation parts with new ones.
Stricter aircraft safety and emission regulations: Regulators are mandating improved safety, fuel efficiency and emission norms. This is accelerating the replacement and upgrade of aircraft parts to comply with regulations.
Current Challenges in Aircraft Parts Market
The aircraft parts market is facing several challenges currently. Supply chain disruptions due to COVID-19 pandemic have hampered the production of certain critical parts. Rising raw material costs have increased production expenses for manufacturers. High manufacturing and maintenance costs also pose a major challenge. Stringent regulations regarding aircraft safety and emission norms have increased certification requirements for parts, lengthening approval timelines. Additionally, geopolitical tensions affect global trade and availability of certain raw materials. Aircraft manufacturers need to overcome these hurdles to meet delivery commitments and sustain long-term growth.
SWOT analysis
Strength: Established global supply network and long-standing customer relationships of major players provide a strong competitive edge.
Weakness: High R&D investments and dependence on few large customers increase risks.
Opportunity: Growth in aftermarket services and MRO activities present new revenue streams.
Threats: Intensifying competition from new entrants and technology disruptions can affect market shares over time.
Geographical Concentration
North America dominates the aircraft parts market currently, holding around 35% share in 2023. Established aerospace manufacturing capabilities, large fleet size and high maintenance spend drive high demand. Asia Pacific is growing at a fast pace owing to increasing air travel, expansion of low-cost carriers and local aircraft production. China in particular is emerging as a key market for both original equipment and components.
Fastest Growing Region
Asia Pacific region is forecast to witness the fastest growth in the aircraft parts market over the coming years. Government support for aviation infrastructure development and fleet modernization programs are boosting demand. Rapid economic development and rising living standards are propelling air passenger traffic growth across Asia. Countries like China and India are working to develop indigenous component manufacturing abilities to reduce import dependence. This will create new local opportunities for international as well as domestic suppliers.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
