Aerospace Parts Manufacturing Market Will Grow At Highest Pace Owing To Increased Aircraft Manufacturing

Aerospace Parts Manufacturing Market

The aerospace parts manufacturing market includes firms involved in designing, manufacturing, reworking, repairing, and assembling aircraft parts and auxiliary equipment. Aircraft parts include wings, fuselage, empennage, flight control surfaces, landing gear, and other airframe parts. Auxiliary equipment includes engines, hydraulic and pneumatic systems, electrical systems, cabin environment systems, and auxiliary power units. The aerospace parts manufacturing industry experiences growing demand due to increasing aircraft fleet, modernization and replacement of aging aircraft, rise in air passenger traffic, and defense expenditure.

The Global aerospace parts manufacturing market is estimated to be valued at US$ 918.7 Bn in 2024 and is expected to exhibit a CAGR of 6.4% over the forecast period 2024 to 2031.

Key Takeaways
Key players operating in the Aerospace Parts Manufacturing Market are Airbus Group, Alcoa Corporation, Arconic Corporation, Boeing, Bombardier Inc., Collins Aerospace, Elbit Systems Ltd, Teijin, Lockheed Martin Corporation, Triumph Group, Inc, Safran , JAMCO Corporation, Rolls-Royce plc. These major players account for significant market share and are focusing on expanding their global footprint through new product launches and mergers & acquisitions.

The aerospace parts manufacturing market is driven by growing demand for commercial and military aircraft from emerging economies of Asia Pacific and Middle East. Rising passenger traffic has compelled airlines to purchase new aircraft with modern technologies which is directly increasing the demand for aircraft parts.
Technological advancements such as advanced materials, 3D printing, robotics, and automation are making aircraft manufacturing more efficient. 3D printing allows the manufacturing of complex aircraft parts with minimal material wastage. Automation helps in reducing production time and costs of aircraft parts manufacturing.

Market Trends
Electric aircraft parts is emerging as a key trend in the market with growing focus on sustainable aviation. Major aircraft manufacturers are collaborating to develop more electric and hybrid electric aircraft with lighter and more efficient aircraft systems. Another trend is the increasing use of advanced composite materials such as carbon fiber reinforced polymers for manufacturing lightweight and durable aircraft parts with improved performance.

Market Opportunities
MRO (Maintenance, Repair and Overhaul) is expected to provide major opportunities for aircraft parts manufacturers. With the increasing aircraft fleet, the need for MRO services and replacement of spare parts will drive the demand. Aerospace 3D printing provides new revenue streams for manufacturers with opportunities for mass customization and on-demand spare parts production using advanced metal and polymer 3D printing technologies.

Impact of COVID-19 on Aerospace Parts Manufacturing Market Growth
The COVID-19 pandemic has significantly impacted the aerospace parts manufacturing market. With lockdowns and travel restrictions imposed worldwide, commercial airline operations came to a halt which dried up demand for new aircrafts and parts. Major aircraft manufacturers like Airbus and Boeing witnessed order cancellations and delivery delays. This negatively impacted sales revenues and supply chains of parts manufacturers. Several companies were forced to lay off employees and shut down production facilities temporarily. However, with mass vaccination drives underway, the situation is slowly improving. Demand is recovering as commercial flights resume operations. Companies are focusing on production of spare parts and components required for aircraft maintenance. While the market may take some time to reach pre-pandemic levels, investments in research and development of advanced technologies will help boost growth opportunities in the long run. Strategies around supply chain resilience, flexible manufacturing and talent retention will be crucial for industry players in the post-COVID period.

North America Region Dominates Aerospace Parts Manufacturing Market
In terms of value, North America dominates the aerospace parts manufacturing market owing to presence of major manufacturers and highest demand from commercial, military and business aviation sectors in countries like US and Canada. Important manufacturing hubs are concentrated across states like Washington, California, Kansas, Texas and South Carolina. Established supply chains and skilled workforce have created a conducive business environment in the region. Europe accounts for the second largest share of the market driven by giants like Airbus, Rolls Royce and Safran operating from countries like France, UK and Germany.

Asia Pacific Emerges as Fastest Growing Region
The Asia Pacific region has emerged as the fastest growing market for aerospace parts manufacturing globally. This can be attributed to rising investments by aircraft OEMs and parts suppliers seeking to tap into the growing aviation markets of China and India. Countries such as China, Japan, South Korea are home to well-developed aerospace clusters, offering incentives for foreign companies to establish local manufacturing plants. Rising standards of living have bolstered demand for air travel in the region. Continued government support around infrastructure development, Make in India initiative and growing MRO activities will contribute to Asia Pacific becoming a major manufacturing and aftermarket services hub in future.

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