April 24, 2024
Aerospace Parts Manufacturing Market

Aerospace Parts Manufacturing Market is Shaping Future Mobility trends with Additive Manufacturing

The aerospace parts manufacturing market involves the designing, development, production, and integration of systems, components, and parts for aircraft, missiles, satellites, and space vehicles. Key products include engines, fuselages, wings, flight control surfaces, landing gears, and other components. The market has witnessed increased adoption of additive manufacturing techniques like 3D printing which provide advantages of cost reduction, design flexibility and supply chain agility.

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 include 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. Key players are investing in R&D to develop innovative and fuel-efficient engines and aircraft components.

The aerospace parts manufacturing market is driven by growing demand for commercial aircraft from low cost carriers and passenger traffic growth. Replacement of aging fleet and introduction of latest aircraft models boost demand for parts. Further, increasing defense expenditure to modernize aircraft fleets support market expansion.
Globally, North America dominates the aerospace parts manufacturing market followed by Europe and Asia Pacific. However, Asia Pacific is witnessing fastest growth due to investments by global OEMs in developing countries like China, India for cost competitiveness and access to skilled workforce.

Market key trends

One of the prominent trends in the aerospace parts manufacturing market is increased adoption of additive manufacturing techniques like 3D printing. Using 3D printing, components can be produced with complex internal features, lightweight geometries and at lower costs compared to conventional methods. Boeing and Airbus are increasingly leveraging 3D printing to produce engine parts, flight control systems and seat components. It is estimated that additive manufacturing can potentially reduce manufacturing costs by over 30% for some aviation parts in the coming years.

Porter’s Analysis

Threat of new entrants: High costs and need for economies of scale in production pose barriers to entry in this market.

Bargaining power of buyers: Large aerospace firms have significant bargaining power over parts suppliers due to consolidations in the industry.

Bargaining power of suppliers: Suppliers of critical components have some bargaining power, but industry concentration limits it substantially.

Threat of new substitutes: Few product alternatives exist for parts needed for aircraft manufacture.

Competitive rivalry: Intense competition exists among a small number of global giants and other specialty suppliers.

Geographical Regions

North America accounts for the largest share of the global aerospace parts manufacturing market, both by value and volume. Major aircraft manufacturers and parts suppliers have production and R&D centres located across the US and Canada.
Asia Pacific region is expected to register the fastest growth during the forecast period due to increasing aircraft deliveries & military spending in China and India. Countries like China, Japan and South Korea are emerging as manufacturing hubs and see rising demand for commercial aircraft with the growth of low-cost carriers in the region.

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