June 23, 2024

Aircraft Parts Market is Poised to Witness Steady Growth by 2031 Despite Global Chip Shortage

 

The global aircraft parts manufacturing industry plays a vital role in meeting the growing demand for commercial aircraft fleet globally. Aircraft parts such as wings, fuselage, engine parts, landing gear, and other airframe components are manufactured and distributed to ensure safe and reliable air travel. The industry is working continuously to develop newer and advanced lightweight materials, crash-resistant structures, and smart maintenance technologies to enhance passenger safety and aircraft performance.

The Global Aircraft Parts Market is estimated to be valued at US$ 726.63 Bn in 2024 and is expected to exhibit a CAGR of 5.1% over the forecast period 2024-2031.

Aircraft parts are an integral part of aircraft manufacturing, maintenance, repair, and overhaul industry. Major commercial aircraft manufacturers outsource some parts manufacturing to specialized component suppliers to benefit from economies of scale and component expertise. The aircraft parts industry caters to demands from both military as well as commercial aircraft fleets.

Key Takeaways

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 players account for a major share of the market. Airbus and Boeing dominate the commercial aircraft manufacturing industry, generating significant demand for aircraft parts globally.

The growing global commercial aircraft fleet is driving significant demand for various aircraft parts such as engine components, aircraft structure, hydraulic and pneumatic systems, and cabin interior parts. Major aircraft fleet operators are procuring newer and more fuel-efficient aircraft models to expand their fleet size and global network. This is creating robust demand for replacement aircraft parts.

The aircraft parts market is witnessing increased globalization with the emergence of new MRO hubs across Asia Pacific and Middle East regions. Countries such as China, India, and Singapore are emerging as lucrative markets for international aircraft parts suppliers driven by opportunities in MRO and aircraft leasing sectors. The North American aircraft parts industry is also expanding aggressively through strategic acquisitions and global partnerships.

Market Key Trends
The increasing emphasis on development and certification of 3D printed aircraft parts present a notable trend in the market. 3D printing enables complex geometric designs and reduces waste generation during production. It is well-suited for low-volume parts and on-demand manufacturing. Major players are leveraging 3D printing to produce critical components with complex geometries with reduced lead times. This is supporting efforts towards modernizing aircraft fleets with advanced lightweight components.

Porter’s Analysis

Threat of new entrants: New entrants face high level of capital requirement for production facilities and R&D.

Bargaining power of buyers: Buyers have moderate bargaining power due to presence of several established manufacturers.

Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of substitutes and importance of reliability.

Threat of new substitutes: Threat of substitution is low as aircraft parts require high level of certification and quality standards.

Competitive rivalry: Intense competition exists among key global players to gain higher market share.

Geographical Regions

North America holds the largest share of the global aircraft parts market mainly due to strong presence of leading OEMs and MRO companies in the region. United States contributes significantly to the market value led by large domestic fleet of aircrafts.

Asia Pacific is expected to witness the fastest growth during the forecast period. Emerging economies such as China and India are experiencing growth in passenger and freight travel that drives the demand for new commercial aircrafts and corresponding aircraft parts in the region. Additionally, expanding MRO sector further aids the market expansion

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it