July 13, 2024
Commercial Aircraft Market

Commercial Aircraft Market Is Estimated To Witness High Growth Owing To Increased Air Passenger Traffic

The global Commercial Aircraft Market is estimated to be valued at US$ 96.8 Billion in 2021 and is expected to exhibit a CAGR of 5.3% over the forecast period 2022 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Commercial aircraft are airplanes used for commercial air travel. They are designed to transport passengers and cargo. Commercial aircraft offer various advantages such as faster travel, convenience, and cost-effectiveness compared to other modes of travel. With the increasing air passenger traffic, there is a growing need for larger and more efficient commercial aircraft. These aircraft provide the capacity to accommodate a larger number of passengers and enhance profitability for airline operators. Additionally, the need for fuel-efficient and environmentally-friendly aircraft is driving the demand in the commercial aircraft market.

Market key trends:
One key trend in the Commercial Aircraft Market Size is the increasing demand for regional jets. Regional jets are smaller aircraft designed for short-haul flights and have a seating capacity of less than 100 passengers. They are used for connecting smaller cities and towns, providing air connectivity to under-served regions. The growing trend of urbanization, along with rising disposable incomes, has led to increased air travel in regional areas. As a result, airline operators are investing in regional jets to meet the growing demand for air transportation in these regions. These aircraft offer flexibility, efficiency, and cost-effectiveness for short-haul flights, making them popular among airline operators.

PEST Analysis:
Political: The political factors that can impact the commercial aircraft market are government regulations, trade policies, and geopolitical tensions. For example, changes in trade policies can affect the import and export of aircraft components, while geopolitical tensions can impact market stability and demand for new aircraft.

Economic: The economic factors influencing the commercial aircraft market include GDP growth, airline profitability, and fuel prices. Higher GDP growth rates positively impact air travel demand, leading to increased demand for new aircraft. Similarly, when airlines are profitable, they are more likely to invest in expanding their fleet. Fuel prices also play a significant role as they directly impact operating costs for airlines.

Social: Social factors shaping the commercial aircraft market include changing travel patterns, demographic shifts, and consumer preferences. The rise of low-cost carriers and increasing disposable income in emerging economies have contributed to the growing demand for air travel. Additionally, changing consumer preferences towards sustainable travel and environmental concerns have prompted airlines to invest in more fuel-efficient aircraft.

Technological: Technological advancements, such as improvements in aircraft design, materials, and avionics, have a significant impact on the commercial aircraft market. For instance, the development of composite materials has led to lighter and more fuel-efficient aircraft, reducing operating costs for airlines. Furthermore, advancements in avionics have improved safety and passenger experience, driving demand for newer aircraft models.

Key Takeaways:
The global commercial aircraft market is expected to witness high growth, exhibiting a CAGR of 5.3% over the forecast period. This growth can be attributed to increasing air travel demand, driven by factors such as rising GDP, expanding middle class, and increasing tourism.

In terms of regional analysis, Asia Pacific is projected to be the fastest-growing and dominating region in the commercial aircraft market. The growth in this region can be attributed to factors such as rapid economic development, increasing urbanization, and the expansion of low-cost carriers.

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. These companies dominate the market due to their strong brand reputation, extensive product portfolios, and technological innovations.

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