Worldwide, the commercial aircraft market has experienced a surge in demand for innovative and advanced aircrafts. This trend is largely influenced by the entry of new airline companies and network expansion by existing airline companies.

Increasing Demand for Energy-efficient Engines to Drive the Commercial Aircraft Market

Market forces driving the global commercial aircraft market include rise in air passenger traffic, replacement of obsolete aircrafts, and accelerating growth in emerging economies. Another growth opportunity for market players operating in the global commercial aircraft market is the increasing need for energy-efficient engines. Several countries around the world are committing to reduce their carbon emissions substantially. This has led to a growing demand for aircraft engines which meet the new standards of reduced greenhouse gas emissions.

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It is anticipated that by 2050, the innovative energy-efficient engines will result in a reduction of carbon emissions by 80%. This green trend is further supported by the development of alternative fuels such as bio-fuels, which are safer for the environment and human health. Bio-fuels are expected to emerge as a primary solution towards achieving carbon-neutral growth in the global aviation industry.

Supply Chain Issues to Suppress the Global Commercial Aircraft Market

One of the major hurdles restraining growth in the market is the supply chain ramp-up. The global commercial aviation market is experiencing soaring order books and elevated production rate. In this scenario, supply chain risk is the top priority for manufacturers in the commercial aviation market. Around a fifth of suppliers in this market are not ready to support the high ramp-up lying ahead.

High production rate ramp-up is required across the commercial aviation market. Leading manufacturers such as Airbus and Boeing previously announced a series of record deals for their upcoming generation of commercial aircraft. Additionally, military programs are also accelerating their production for the coming five to ten years. The big rate will influence mean pressure on the supply chain sector, which will leave programs at risk of supply chain delay or failure.

Companies in the global commercial aircraft market and their leading tier 1 suppliers are highly conscious of these potential problems, especially in light of major delays which have affected recent programs.

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Turbofan Engines Sector to Demonstrate Record High Growth in the Commercial Aircraft Market

In spite of environment regulations and supply chain issues that will challenge the commercial aircraft industry; the market will continue to demonstrate a moderate growth in the foreseeable future. In 2012, the global commercial aircraft market was worth US$189.21 billion. The global commercial aircraft market with a 5.0% CAGR during the forecast period will reach a total value of US$265.71 billion by 2019. Geographically, North America registered the highest domestic passenger load (85.4%) in 2013, according to an IATA (International Air Transport Association) report. Alternatively, Asia Pacific will remain undisputed as the largest regional market in the global commercial aircraft market.

On the basis of engine type, the global commercial aircraft market is segmented into turbofan and turboprop. The turbofan engines segment with its high speed and better efficiency at higher altitudes is anticipated to show a record high growth. Component-wise, the global commercial aircraft market is divided into systems, airframe, engines, interior, avionics, and landing gear. The market sectors of landing gear and airframe will show a high growth rate during the forecast period. Collectively, the landing gear and airframe components sector contributed to a total of 72.3% market share in 2012. By aircraft, the global commercial aircraft market is classified into large widebody, business jets, medium widebody, regional jets, small widebody, and narrow body.

The global commercial aircraft market is consolidated in nature, with manufacturers specializing in different types of aircraft models. Airbus S.A.S and Boeing Company are two players leading the global market for commercial aircraft, and collectively held 80.9% market share in 2012. Other prominent players in this market space are GE Aviation, Rolls-Royce Holding Plc., Embraer S.A., Fokker Technologies, and BAE Systems.

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