The Commercial Aircraft Market is estimated to be valued at US$ 107.33 Bn in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Commercial aircrafts are used to transport people and cargo for commercial purposes. They include airplanes and helicopters of varying sizes and capacity. Commercial aircrafts offer safe, reliable, and affordable mode of transportation for long and short distances. Growing air travel demand across the world drives the need for commercial aircrafts.
Market key trends:
Rising income levels and improving standard of living in emerging economies are fueling demand for air travel. According to the International Air Transport Association, the Asia Pacific region is projected to overtake North America as the largest aviation market by 2023, driven by strong economic growth. Air connectivity in smaller cities and towns is also growing rapidly. Aircraft manufactures are developing fuel-efficient aircraft models to reduce operating costs for airlines and minimize environmental impact. For instance, new aircraft such as Boeing 787 and Airbus A350 are estimated to consume 20-30% less fuel as compared to previous generation aircrafts. Manufacturers are also focusing on autonomous technologies for safer and efficient aircraft operations.
Porter’s Analysis
Threat of new entrants: The commercial aircraft market requires massive capital investment and R&D spending which poses high entry barriers for new players. Licensing and regulatory requirements from aviation authorities also increase barriers.
Bargaining power of buyers: Airlines have significant bargaining power as buyers due to large volumes and negotiating abilities. They can negotiate on pricing, delivery timelines and after sales support.
Bargaining power of suppliers: Major suppliers include engine makers, parts manufacturers and leasing companies. Due to requirements of certification and high switching costs, suppliers have some control over pricing and production schedules.
Threat of new substitutes: No viable alternatives exist currently to large commercial aircraft for mass transportation. High-speed rail and hyperloop are emerging but not substitutes for medium to long haul air travel.
Competitive rivalry: Intense competition exists between Airbus and Boeing who dominate the market. Other players strive to make inroads through new aircraft programs and services.
SWOT Analysis
Strengths: Strong brand image and duopoly structure of top players. Extensive service networks and high entry barriers.
Weaknesses: Huge capital requirements and long development cycles. Vulnerable to economic cycles and geopolitical risks.
Opportunities: Growing global economy and expansion of middle-class in emerging nations driving air travel demand.
Threats: Regulatory uncertainties, environmental concerns around emissions can impact demand. Technology disruptions like electric air taxis pose long-term threats.
Key Takeaways
The Global Commercial Aircraft Market Growth is expected to witness high, exhibiting CAGR of 5.3% over the forecast period, due to increasing international trade and travel. Air passenger traffic has nearly doubled since 2009 and is expected to quadruple by 2040. Developing Asia Pacific is projected as the fastest growing market for commercial aircraft owing to increasing disposable incomes and strong GDP growth in countries such as China and India. The North American market currently holds the largest share and is dominated by Boeing while Airbus leads in Europe.
Regional analysis: The Asia Pacific region is anticipated to dominate market growth during the forecast period. China and India are projected to lead aviation sector expansion in the region supported by government initiatives to develop aviation infrastructure and low-cost carriers promoting air travel accessibility.
Key players: Key players operating in the commercial aircraft market include Airbus SE, The Boeing Company, Embraer SA, ROSTEC, ATR, Commercial Aircraft Corporation of China Ltd., and Mitsubishi Aircraft Corporation. Airbus and Boeing collectively hold over 80% share of the commercial aircraft market based on volume of aircraft deliveries. Both companies are innovating in new design concepts for fuel-efficient single-aisle and widebody aircraft programs
Explorer more information on this topic, Please visit -
https://www.dailyprbulletin.com/commercial-aircraft-market-share-size-and-growth-share-trends-analysis-demand-forecast/
Comments
0 comment