Global Aviation Mro Market Growth, Share, Size, Trends and Forecast (2024 - 2030)
By MRO Type;
Engine Overhaul, Airframe Maintenance, Line Maintenance, Modification, and Components.By Organization Type;
Airline/Operator MRO, Independent MRO, and Original Equipment Manufacturer (OEM) MRO.By Aircraft Type;
Narrow-Body, Wide-Body, Regional Jet, and Others.By Aircraft Generation;
Old Generation, Mid Generation, and New Generation.By Application;
Fixed-wing Aircraft, and Rotorcraft.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2020 - 2030).Introduction
Global Aviation Mro Market (USD Million), 2020 - 2030
In the year 2023, the Global Aviation Mro Market was valued at USD 95,280.18 million. The size of this market is expected to increase to USD 130,709.02 million by the year 2030, while growing at a Compounded Annual Growth Rate (CAGR) of 4.6%.
Rapid urbanization and growing economic prosperity in emerging nations, coupled with heightened business and tourism activities, are poised to drive market expansion. External factors like air traffic volumes, global fleet size, and aircraft utilization will play significant roles in shaping market dynamics. The surge in individual air travel for both business and personal reasons is anticipated to spur aircraft production, thereby exerting a substantial influence on market growth.
Investments in aircraft maintenance, repair, and overhaul (MRO) software are driving new business opportunities. MRO software includes maintenance tracking, logbook tracking, and flight time tracking, among other functions. Foreign direct investments in aircraft MRO industries, as observed in India, contribute to market growth.
Regulatory compliance with organizations like the Federal Aviation Administration (FAA) and International Civil Aviation Organization (ICAO) influences the market. Demand for older planes and environmental concerns emphasize continuous monitoring and maintenance. Government initiatives encourage airports to embrace MRO as a strategic activity, fostering MRO activities. Challenges like workforce shortage and rising labor costs affect the MRO industry. MRO operators explore options like right-sourcing and outsourcing for service provision. Strategic alliances with OEMs help MRO service providers procure aircraft parts amid increasing material prices.
Global Aviation Mro Market Recent Developments & Report Snapshot
Recent Developments
- In November 2021, SIA Engineering Company (SIAEC), based in Singapore, established 23 joint ventures and subsidiaries across seven countries with OEMs like Pratt & Whitney, Collins, Jamco, Rolls-Royce, GE, and Safran. This initiative aimed to develop a diverse range of MRO capabilities.
- In February 2022, AAR, a leading provider of aviation services to commercial, government, MROs, and OEMs, extended its component MRO contract for ten years. Additionally, it secured a contract with the International Aerospace Management Company, responsible for depot-level maintenance for the North Atlantic Treaty Organization E-3A aircraft fleet.
Parameters | Description |
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Market | Global Aviation Mro Market |
Study Period | 2020 - 2030 |
Base Year (for Aviation Mro Market Size Estimates) | 2023 |
Drivers |
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Restraints |
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Opportunities |
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Segment Analysis
Global Aviation Mro Segment Analysis
In this report, the Global Aviation Mro Market has been segmented by MRO Type, Organization Type, Aircraft Type, Aircraft Generation, Application, and Geography.
Global Aviation Mro Market, By MRO Type
The Global Aviation Mro Market has been segmented by MRO Type into Engine MRO, Components MRO, Interior MRO, Airframe MRO, Modifications MRO and Field Maintenance.
The engine overhaul segment is poised to maintain a leading market share, driven by OEM involvement in maintenance activities. Engine MRO encompasses field and depot maintenance, including substantial repairs and rebuilding. Throughout the forecast period, the engine segment is expected to dominate the market, marked by increased dynamism and competition. For instance, AAR's contract with MTU maintenance underscores the significance of engine support contracts.
Strategies adopted by market players, such as serviceable material support, are anticipated to positively impact the aircraft MRO industry. The component segment is projected to witness significant growth, propelled by increasing air travel demand and cargo aircraft maintenance needs. Alliances with key players and OEMs further contribute to segment growth.
Global Aviation Mro Market, By Organization Type
The Global Aviation Mro Market has been segmented by Organization Type into Airline/Operator MRO, Independent MRO, and Original Equipment Manufacturer (OEM) MRO.
Airline/Operator MRO involves maintenance activities conducted by airlines or aircraft operators on their own fleets. These organizations perform routine maintenance, repairs, and overhauls to ensure the airworthiness and safety of their aircraft.
Independent MRO refers to specialized service providers that offer maintenance, repair, and overhaul services to various airlines, operators, and aircraft owners. These independent MRO facilities often cater to a wide range of aircraft types and provide expertise in specific maintenance areas.
OEM MRO involves maintenance services offered by original equipment manufacturers of aircraft and aircraft components. These OEMs leverage their in-depth knowledge of their products to provide comprehensive MRO support, including technical assistance, spare parts supply, and engineering solutions.
Global Aviation Mro Market, By Aircraft Type
The Global Aviation Mro Market has been segmented by Aircraft Type into Narrow-Body, Wide-Body, Regional Jet, and Others.
The Global Aviation MRO Market is segmented by Aircraft Type into Narrow-Body, Wide-Body, Regional Jet, and Others. Narrow-body aircraft, such as the Boeing 737 and Airbus A320 families, are commonly used for short to medium-haul flights, serving various commercial and regional routes. Wide-body aircraft, including the Boeing 777 and Airbus A350, are designed for long-haul flights, offering greater passenger capacity and extended range capabilities. Regional jets cater to shorter regional routes and are typically used by regional airlines and feeder carriers. The "Others" category encompasses aircraft types not classified under narrow-body, wide-body, or regional jet categories, such as turboprops, business jets, and specialized aircraft.
Each aircraft type presents unique maintenance challenges and requirements due to differences in size, complexity, and operational characteristics. Narrow-body aircraft undergo frequent short-haul flights, leading to more frequent maintenance checks for components subject to high wear and tear. Wide-body aircraft require comprehensive maintenance programs to ensure prolonged service life and operational efficiency for long-haul operations. Regional jets demand tailored maintenance solutions to address the specific needs of regional airline operations, focusing on reliability, cost-effectiveness, and fleet availability.
Global Aviation Mro Market, By Aircraft Generation
The Global Aviation Mro Market has been segmented by Aircraft Generation into Old Generation, Mid Generation, and New Generation.
Old Generation aircraft typically refer to those manufactured several decades ago, often characterized by outdated technology and design features compared to modern counterparts. These aircraft may require more frequent and extensive maintenance to ensure continued airworthiness and operational safety.
Mid Generation aircraft represent an intermediate category, featuring advancements in technology and performance compared to older models but not as advanced as newer generations. Maintenance requirements for mid-generation aircraft often balance between legacy systems and modern upgrades, necessitating tailored MRO solutions to optimize performance and extend service life.
New Generation aircraft are the latest models, incorporating cutting-edge technology, materials, and design principles to enhance efficiency, safety, and performance. MRO for new-generation aircraft focuses on leveraging advanced diagnostics, predictive maintenance, and digital technologies to streamline operations, minimize downtime, and maximize fleet availability.
Global Aviation Mro Market, By Application
The Global Aviation Mro Market has been segmented by Application into Fixed-wing Aircraft and Rotorcraft.
Fixed-wing Aircraft encompass various types such as commercial airliners, cargo planes, and private jets. Rotorcraft include helicopters used for both civilian and military purposes, serving roles in transport, emergency medical services, law enforcement, and search and rescue operations.
Fixed-wing Aircraft typically undergo scheduled maintenance based on flight hours, cycles, or calendar time, while Rotorcraft maintenance is often tailored to specific mission profiles and operational environments. Understanding and addressing the specific needs of both Fixed-wing Aircraft and Rotorcraft applications are crucial for effective MRO operations and sustaining the airworthiness of aircraft fleets.
Global Aviation Mro Market, By Geography
In this report, the Global Aviation Mro Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Aviation Mro Market Share (%), by Geographical Region, 2023
Asia Pacific leads the market, expected to maintain dominance with the highest growth rate. The region boasts a third of the global aircraft fleet, with anticipated fleet expansion. Airlines benefit from advanced MRO options, extending fleet lifespans. MRO providers target this region for its client base, investment opportunities, and cost-effective labor.
North America holds a significant share, leveraging advanced technologies for sustainability. The region's extensive aircraft fleet drives substantial demand for MRO services. Market entry is challenging due to stringent regulations and safety standards. Nevertheless, the region's conducive environment for deploying advanced MRO technologies makes it appealing.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Aviation Mro Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers
- Increased flights boost MRO
- Technologies quickens repairs
- Rules push updates
- Aging fleet demands - Over the past decade, the global MRO market has witnessed significant shifts, particularly in the utilization of refurbished and used parts for both engine and non-engine components. This trend has emerged in response to the increasing number of ageing aircraft worldwide, driving up the demand for affordable maintenance solutions. Operators seek to reduce MRO costs without compromising on quality, leading to a notable rise in the demand for pre-owned parts.
The demand for MRO services is expected to surge, especially in matured regional markets, due to the need for maintenance and repair of ageing aircraft. Manufacturers are also focusing on developing more efficient and cost-effective engines for these older aircraft, driving the demand for new components for repair and replacement purposes. These factors collectively contribute to the growth trajectory of the commercial aircraft MRO market in the foreseeable future.
Restraints
- Tough rules make it hard for new players
- Worker shortage slows
- New fleet replaces old - As aircraft design and manufacturing technologies advance, aircraft are becoming increasingly reliable, requiring less maintenance with each new generation. While this is positive for airline operations, it poses a challenge for the aircraft MRO market, as reduced maintenance needs lead to decreased demand for MRO services. Airlines' preference for fuel-efficient aircraft drives quicker fleet replacements, resulting in younger aircraft fleets with lower maintenance requirements.
Advancements in aircraft technology, such as higher range and capacities, enable airlines to focus on cost reduction and explore new business opportunities. The trend of using aircraft for a wider range of operations has also increased their overall demand. A significant portion of the growing demand stems from replacing older generation aircraft with newly constructed fleets. Consequently, the declining demand for maintenance, repair, and overhaul services negatively impacts the profitability of the MRO industry.
Opportunities
- Predictive technologies aids maintenance
- More airlines mean more customers
- Partnerships with makers help
- Engine fixes grow - Specialized services, particularly engine repairs and maintenance, present significant growth opportunities within the aircraft MRO market. As aircraft engines represent one of the most critical components of an aircraft, the demand for specialized engine repair and maintenance services is expected to rise steadily. This growth is driven by the increasing complexity of modern aircraft engines and the need for highly skilled technicians to perform intricate repairs and upgrades.
As airlines strive to optimize their operations and extend the lifespan of their aircraft, they are likely to invest more in specialized services that enhance engine performance and reliability. This trend is particularly evident in the context of fleet modernization initiatives, where airlines seek to maximize the efficiency and cost-effectiveness of their aircraft operations through targeted maintenance interventions.
Competitive Landscape Analysis
Key players in Global Aviation Mro Market include
- AAR Corp.
- Airbus SE
- Delta Airlines, Inc. (Delta TechOps)
- Hong Kong Aircraft Engineering Company Limited
- KLM U.K. Engineering Limited
- Lufthansa Technik
- MTU Aero Engines AG
- Raytheon Technologies Corporation (Previously United Technologies Corporation)
- Singapore Technologies Engineering Ltd
- TAP Maintenance & Engineering (TAP Air Portugal)
- SIA Engineering Company Ltd.
- Korean Air
In February 2021, SIA Engineering Company Ltd. established an Engine Services Division dedicated to researching and developing advanced aircraft engine servicing, repairs, and wing testing. This investment reflects a trend in modern MRO companies leveraging technologies like artificial intelligence, drones, and robots to streamline maintenance and repair processes.
In December 2021, Korean Air showcased its technological advancements by employing drone swarms for full-body aircraft inspections, reducing the process to just four drones. This increased adoption of automation processes is poised to have a positive impact on the market in the forecast period.
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By MRO Type
- Market Snapshot, By Organization Type
- Market Snapshot, By Aircraft Type
- Market Snapshot, By Aircraft Generation
- Market Snapshot, By Application
- Market Snapshot, By Region
- Global Aviation Mro Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Increased flights boost MRO
- Technologies quickens repairs
- Rules push updates
- Aging fleet demands
- Restraints
- Tough rules make it hard for new players
- Worker shortage slows
- New fleet replaces old
- Opportunities
- Predictive technologies aids maintenance
- More airlines mean more customers
- Partnerships with makers help
- Engine fixes grow
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Aviation Mro Market , By MRO Type, 2022 - 2032 (USD Million)
- Engine Overhaul
- Airframe Maintenance
- Line Maintenance
- Modification
- Components
- Global Aviation Mro Market , By Organization Type, 2022 - 2032 (USD Million)
- Airline/Operator MRO
- Independent MRO
- Original Equipment Manufacturer (OEM) MRO
- Global Aviation Mro Market , By Aircraft Type, 2022 - 2032 (USD Million)
- Narrow-Body
- Wide-Body
- Regional Jet
- Others
- Global Aviation Mro Market , By Aircraft Generation, 2022 - 2032 (USD Million)
- Old Generation
- Mid Generation
- New Generation
- Global Aviation Mro Market , By Application, 2022 - 2032 (USD Million)
- Fixed-wing Aircraft
- Rotorcraft
- Global Aviation Mro Market , By Geography, 2022 - 2032 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Aviation Mro Market , By MRO Type, 2022 - 2032 (USD Million)
- Competitive Landscape Analysis
- Company Profiles
- AAR Corp.
- Airbus SE
- Delta Airlines, Inc. (Delta TechOps)
- Hong Kong Aircraft Engineering Company Limited
- KLM U.K. Engineering Limited
- Lufthansa Technik
- MTU Aero Engines AG
- Raytheon Technologies Corporation (Previously United Technologies Corporation)
- Singapore Technologies Engineering Ltd
- TAP Maintenance & Engineering (TAP Air Portugal)
- SIA Engineering Company Ltd.
- Korean Air
- Company Profiles
- Analyst Views
- Future Outlook of the Market
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