Aircraft and Spacecraft: Trends, Developments and Prospects

Asia Pacific and US airlines drives global demand

Market value expanded at 2.9% CAGR over 2008-2014 to US$496.5 billion in the latter year. Growth was mainly driven by demand from Asia Pacific and the US air transport industry.

Developed economies continue to drive production up

Global industry grew at a CAGR of 3.4% over 2008-2014 to US$544.6 billion in the latter year. Production remains concentrated in North America and Western Europe, together generating 75% of production value in 2014.

Emerging countries challenge Airbus and Boeing duopoly

Airbus and Boeing together accounted for over 30% of global production value in 2014 and continue to hold a virtual duopoly in the commercial aircraft market. However, producers such as Brazilian Embraer are making efforts to put pressure on current market leaders by offering cheaper aircraft, attractive to customers in emerging markets.

Consumption of composites surges to improve fuel efficiency

Composites is an attractive solution to reduce fuel consumption. The introduction of B787 and A350 XWB aircraft marks a breakthrough in composites consumption. Consumption of composites is forecast to grow at 10% per annum by 2022.

Stricter regulations encourage new engine designs

Aircraft producers are facing stricter emissions and fuel emissions requirements. As current engine technologies approach technological limits, largest engine producers are developing new technologies such as open rotor engines.

Industry to sustain growth momentum, with current leaders expected to dominate

Global production value is forecast a CAGR of 4% over 2014-2020, thanks to strong demand from airlines and a recovering military aircraft market. Despite efforts from emerging markets, developed economies are set to continue to dominate the industry, as they adopt more innovative production methods.